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COMMENT | 5G: Spectrum value, the Singapore link, and other issues
COMMENT | Appointing U Mobile as the second operator of the 5G network in Malaysia has raised a plethora of problems that can only be solved with a return to the “one service provider” model.

That model was agreed upon, signed, and sealed earlier in March 2021 but cavalierly abandoned in May 2023. U Mobile’s award was announced 17 months later on Nov 1, 2024.

The varying of the contract to include other parties - CelcomDigi and Maxis - is only a partial solution and will come with major risks to the roll-out of the 5G network and danger to the government-owned sole network operator, Digital Nasional Bhd (DNB).

On top of that, things get rather complicated with U Mobile’s major and controlling shareholder - the Singapore government through Temasek Holdings owns a 48.3 percent stake in U Mobile via a wholly-owned subsidiary. This throws up key questions of valuation and disposal as we shall see.

Ever wondered why telecommunication companies fought tooth and nail against establishing a single network provider for 5G services and lobbied strongly against DNB as the sole provider of such services?

Spectrum, the magic word

The magic word is spectrum, the frequency band for transmission which...


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