MyDigital initiative a positive development for TM
KUALA LUMPUR: The recent MyDigital initiative announcement has been viewed as a positive development for Telekom Malaysia Bhd (TM) given that the group is pivotal in providing the critical backhaul backbone system for 5G networks.
Last Friday, Prime Minister Tan Sri Muhyiddin Yassin announced the MyDigital initiative which includes the Malaysia Digital Economy Blueprint.
“This initiative will complement the national development policies such as the 12th Malaysia Plan (12MP) and the Vision for Shared Prosperity 2030 (WKB 2030),” Muhyiddin said in his speech text.
“MyDigital sets out a combination of initiatives and targets across three phases of implementation until the year 2030
“A total of RM15 billion will be invested over a period of ten years for the implementation of 5G nationwide.
“This effort will be carried out by a special purpose vehicle (SPV) under the Malaysian Government. This entity will then be given the appropriate spectrum to own, implement and manage the 5G infrastructure.
“All licenced telecommunication companies will have equal access to this infrastructure, in marketing their 5G services to their customers.”
It was also revealed that by the end of this year, the rakyat will be able to enjoy the 5G technology in stages.
“We view this as positive for TM, which has been recommending this structure to the Malaysian Communication and Multimedia Commission for two years,” AmInvestment Bank Bhd (AmInvestment Bank).
“Being the owner of the nationwide High Speed Broadband fiberised network, TM is pivotal in providing the critical backhaul backbone system for 5G networks,” it said.
While other telcos could be invited to the SPV, the research firm expected TM to be the key driver for the 5G rollout implementation.
According to Muhyiddin, as part of the measures to empower cloud computing services in the public sector, the government through its Cloud First strategy, has targeted the migration of 80 per cent of public data to hybrid cloud systems by the end of 2022.
“Between RM12 billion and RM15 billion will be invested by Cloud Service Provider (CSP) companies over the next five years.”
“Here, I am pleased to announce that the government has so far given conditional approvals to four CSP companies - Microso , Google, Amazon and TM - to build and manage hyper-scale data centres and cloud services.”