Digital Nasional Berhad (DNB) today announced its partnership with Ericsson (Malaysia) Sdn Bhd (Ericsson) to accelerate the deployment of Malaysia’s nationwide fifth generation (5G) network and ecosystem. This concludes the rigorous tender exercise initiated in March.
DNB has adopted an approach where the Design and Build of the National 5G Network will be undertaken by Ericsson at a total cost of RM11 billion, including tower rental and fibre leasing, of which more than 60% is expected to benefit Bumiputera and other Malaysian contractors over the next 10 years.
Dato’ Asri Hamidon, Chairman of DNB said, “DNB remains on track in its efforts to bring the best, competitively-priced technology and solution to drive 5G adoption nationwide. I thank the Malaysian Communications and Multimedia Commission (MCMC), and the Mobile Network Operators (MNOs) for their continued support and guidance.”
He highlighted DNB’s three (3) main priorities: The first being to encourage private participation and investment – both domestic and foreign – in Malaysia; secondly, to eliminate and mitigate duplication of infrastructure; thirdly, to futureproof the network and support the local telecommunications industry whilst generating socioeconomic value.
This partnership model will also fast-track the roll-out to Sabah and Sarawak, allowing the country to advance quickly towards providing inclusive and enhanced 5G services and connectivity under the MyDIGITAL Blueprint.
This is amplified by Ericsson’s committed value-creation activities in Malaysia’s knowledge economy through varied initiatives such as, 5G-related knowledge building and technology transfers, which is estimated at a value of RM4 billion over the period of the contract. The second is to achieve significant coverage by making available 5G services in the targeted areas by end 2021, and achieving the 80% population coverage goal by 2024.”
DNB will collaborate with the MNOs to identify key verticals, to co-create unique, resilient, and proprietary applications for the consumer, enterprise, and government segments. At the same time, we will provide infrastructure and technology services to support and enable businesses as well as government capabilities, open new opportunities, and most importantly, meet changing customer needs.”
5G will be launched by end 2021 in Kuala Lumpur, Putrajaya, and Cyberjaya. By 2022, DNB will start deploying 5G to five (5) major cities and districts in the states of Selangor, Pulau Pinang, Johor, Sabah and Sarawak; and thereafter, nationwide to cover 17 cities as well as rural areas from 2023 onwards.
