Internet consumption in Malaysia: Growth all the way

The Malaysian Internet Exchange of MyIX, have shared insights into Internet data patterns recorded in 2015. This is based upon traffic that traversed or peered over the National Internet Exchange nodes directly connected with the country’s major Internet Service Providers (ISPs) and content providers.

These insights were shared at the official launch ceremony of MyIX’s new office in Setiawalk, Puchong.

MyIX Chairman Chiew Kok Hin said, “The highest bandwidth travelling through MyIX infrastructure last year took place in November 2015 whereby MyIX recorded 145 Gbps of data travelling, the highest so far. When compared to November 2014, this shows a 53 percent increase in data travelling per second through MyIX.”

Driving factors

This increase in data traffic usage is due in part to many factors; a prominent trend in mobile Internet surfing, rapid expansion of 4G networks, as well as increased usage of smartphones.

As of Q2 of 2015, there was 74-percent of broadband penetration into households in Malaysia, whereas mobile devices enjoyed 144-percent penetration.

During the launch ceremony, the association announced plans to increase the technical knowledge of the telecommunications industry’s workforce. Conducted in collaboration with the regional Internet registry for this region, the Asia Pacific Network Information Centre (APNIC), the focus of these programmes would be on mid-level to senior technical and design employees who are involved in day-to-day network operations and planning functions.

Chiew commented that these training programmes would be the first of its kind, in the sense that they emphasised the end user, as well as because it was in collaboration with APNIC and being held at MyIX’s premises.

Moving forward

According to chairman of MCMC or the Malaysian Communication and Multimedia Commission (MCMC), Halim Shafie, savings for domestic peering from 2007 to 2015 because of MyIX, amounted to some RM188million.

Two of the main roles of the MyIX, are to make broadband connectivity prices more competitive, and keeping local Internet data traffic domestic – not having to go through expensive international routes for content, means more savings.

Chiew shared about MyIX’s plans to reduce port pricing by as much as 11 to 35-percent. When asked about the rising cost per megabyte (MB) of the local incumbent; their Streamyx service costs RM116 per one MB; Chiew said, “With the port pricing being reduced, whether ISPs pass the savings on to customers, is another matter. We have optimised our infrastructure, and are able to (reduce port pricing) now.” MyIX does target to further reduce port charges.

They also have plans to increase their central node interconnection capacity to 100GB by year end, an exercise which would cost RM3.7million.

With two more submarine cables landing in Malaysia later in 2016; the Asia Pacific Gateway (AAG) and the Asia-Africa-Europe 1(AAE-1), Chiew sees year-on-year total cost of ownership (TCO) to deliver Internet service to consumers becoming lower.

“They also bring more capacity  for future growth,” he said.