Maxis, U Mobile decline stakes in 5G agency

Maxis, U Mobile decline stakes in 5G agency

Malaysian operators Maxis and U Mobile have reportedly refrained from taking stakes in 5G state-owned agency Digital Nasional Berhad (DNB) as a deadline loomed, a setback which could delay the country’s 5G rollout, Reuters reported.  

Sources speaking to the news agency said the apprehension from the two operators has disturbed plans by the government to sign other operators to the plan.

The government wanted the six operators of Malaysia to take a collective 70% stake in DNB today (August 31).

Maxis, U Mobile, Celcom and Axiata, Malaysia’s four largest mobile operators, have previously counter-proposed for them to take a combined majority stake but the government denied this request which would have left out Telekom Malaysia and YTL. 

Sources said Maxis and U Mobile did not see the benefit of being a minority shareholder of DNB, but they still have an interest in access to the government’s 5G network through DNB.

DNB is a company set up by the government and owned by the Ministry of Finance Malaysia and regulated by the Malaysian Communications and Multimedia Commission.    

The company will offer 5G wholesale services to operators but in a manner to maintain an even playing field and overall, deploy 5G efficiently and throughout Malaysia.  

Malaysia’s operators were reportedly close to agreeing on a deal earlier this month.

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