U Mobile must first meet specific obligations outlined in the shareholder agreement with Digital Nasional Bhd (DNB) before moving forward with the deployment of Malaysia’s second 5G network. The communications minister, Fahmi Fadzil, confirmed that this process is expected to take a minimum of five months, though details on the exact obligations were not provided.
While U Mobile awaits approval for these obligations, it may proceed with preliminary groundwork as per a detailed business plan that is currently under review by the Malaysian Communications and Multimedia Commission (MCMC). Fahmi, responding to an inquiry from Chong Zhemin (Pakatan Harapan-Kampar) during a parliamentary session regarding the expected timeline for the 5G network’s launch, clarified that the MCMC is evaluating the business plan submitted by U Mobile, a key step before any formal progression can be made.
U Mobile was selected in November 2024 to deploy the country’s second 5G network. The company aims to roll out the network within 15 to 18 months, as stated by its chairman Vincent Tan in January 2025. Additionally, U Mobile holds a 16.3% stake in DNB, as part of share subscription agreements made between the government and various mobile network operators.
Fahmi adds that an official letter of award to U Mobile for the 5G roll-out is anticipated to be issued in February 2025. However, this depends on the final approval of U Mobile’s detailed business plan.
On a related note, digital minister Gobind Singh announced in December 2025 that the rollout of Malaysia’s second 5G network is on hold until all Mobile Network Operators (MNOs) involved with DNB repay the government for the initial loan used for the first 5G network rollout. He emphasised that the government will not bear any losses, as the Ministry of Finance had provided RM16.5 billion in funding for the first network, to be repaid over ten years.
(Source: The Edge Malaysia)
Follow us on Instagram, Facebook, Twitter or Telegram for more updates and breaking news.
