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Report indicating telcos to receive discounts on 5G wholesale pricing is erroneous, says DNB CEO

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Digital Nasional Bhd CEO Augustus Ralph Marshall speaks during a press conference at Angkasapuri in Kuala Lumpur July 1, 2022. — Picture by Firdaus Latif

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KUALA LUMPUR, July 1 — A recent report indicating that wholesale pricing would be discounted until Digital Nasional Berhad (DNB) achieves 80 per cent of nationwide 5G coverage is erroneous, DNB chief executive Augustus Ralph Marshall said.

This is following a Straits Times (ST) report citing industry sources as claiming that Malaysia’s top telecommunication corporations have agreed on shared ownership of DNB.

Ahead of the June 30 deadline for telcos to sign up for 5G network contracts and shares in DNB, the report said that a non-binding term sheet has been agreed on by six telecommunication operators and is set to be put to paper early next month. It also indicated that wholesale pricing would be discounted until DNB achieves 80 per cent of nationwide coverage, which is estimated to happen by 2024.

“I think that it is erroneous. We do have 5G available for free until June 30, which was yesterday, and that is for anybody who now uses 5G. Whoever offers 5G services, will end up having to pay for it until they sign all the access agreements (RAO).

“Once the access agreement is signed, I would think that it would be reasonable to expect some availability of 5G at special prices or hope it will be free, depending on the banks, if the banks say yes, it’s ok. At least until August 31.

“I do not know who said that. I am not a reporter, I didn’t speak to any reporter,” he added.

Putrajaya has been in constant negotiations with telcos in the country over the rollout of 5G, with CDMU constantly pushing back for more favourable terms — advocating for a dual wholesale network (DWN) model instead of the government’s single wholesale network (SWN) — which they claim would provide better optimising availability and pricing of 5G.

CDMU represents Celcom, Digi.Com Bhd, Maxis Bhd, and U Mobile Sdn Bhd, the big four telecommunications firms.

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