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Kuala Lumpur
2 Septmber 2015


Agreement Set to Support Future High Speed Broadband (HSBB) Deployment and Bridging the Digital Divide


Telekom Malaysia Berhad (TM) further strengthened its position as the Convergence Champion when the Company recently signed a Construction and Maintenance Agreement (C&MA) with TT dotcom Sdn. Bhd. (TTdC); a wholly-owned subsidiary of TIME dotCom Berhad (TIME) for the development and construction of a new submarine cable system, called "Sistem Kabel Rakyat 1 Malaysia ("SKR1M")". SKR1M will link Peninsular Malaysia with Sabah and Sarawak.

Under this 20-year agreement, TM and TTdC will be working hand-in-hand to provide, construct, implement and manage the SKR1M cable system. Both companies also pledged to operate and maintain the SKR1M network for the lifetime of the cable system including funding all fault repairs.

The establishment of this new submarine cable system is part of the Government's initiatives to increase the capacity of high-speed broadband, as outlined by our Prime Minister, YAB Dato' Sri Mohd. Najib Tun Haji Abd.Razak in Budget 2014 and 2015.

The new SKR1M cable system will be utilising the latest 100Gbps wavelength technology with initial capacity of 4 Terabit per second (Tbps) and upgradeable to a minimum of 12.8Tbps. It is a repeatered 2 fiber pair cable system with an estimated total length of 3,500 km.

Commenting on the agreement, Rozaimy Abd. Rahman, Executive Vice President, Global & Wholesale, TM said, "We view this collaboration as a positive move in paving the way to enabling enhanced customer experience when they access high-bandwidth digital content, high definition video streaming or run real-time applications via their devices. As the nation's Convergence Champion, we are committed to deliver higher quality services that will enrich the digital lifestyle of Malaysians, in line with our mantra of 'Life and Business Made Easier'."

Rozaimy further added, "The SKR1M cable system development is also in line with the efforts to replace TM's aging Malaysian Domestic Submarine Cable System (MDSCS) which has been in service since 1995. Currently, MDSCS is already carrying 400Gbps, slightly over 10% of the new SKR1M initial equipage and is facing technological obsolescence, thus limiting its capability to support the growing domestic capacity demand."

The partnership would certainly bring enormous benefits to the nation's ICT development initiatives, in line with the Government's Economic Transformation Programme (ETP) for EPP10 - "Extending the Regional Network" as well as National Key Economic Area (NKEA) for the Communications Content and Infrastructure (CCI) sector in improving communications infrastructure and the uptake of services.

SKR1M will serve to enhance the existing domestic submarine cable connectivity between Peninsular Malaysia and Sabah and Sarawak on East Malaysia thus catering for future bandwidth growth requirement. Its huge bandwidth will improve Malaysians' Internet experience by minimising potential traffic congestion between Peninsular Malaysia, and Sabah and Sarawak. In addition, the establishment of the new cable system also enables further growth of bandwidth-hungry as well as internet-based applications.

This new submarine cable system is expected to start carrying commercial traffic by mid 2017.

TM, well experienced in the domestic, regional and global submarine cable development and investments owns more than 12 submarine cable systems, which span more than 100,000 fiber-route miles around the globe, including several submarine cable routes that the Company uses to carry traffic between Asia-Pacific region and North American region.

TM is also a member of the various consortiums for submarine cable systems in the region, which include the newly established state-of-the-art; Malaysia – Cambodia – Thailand (MCT) submarine cable system, South East Asia-Middle East-Western Europe Cable System 5 (SEA-ME-WE 5), Asia America Gateway Cable Network (AAG), South East Asia-Middle East-Western Europe Cable System 3 (SEA-ME-WE3 – SMW3), SEA-ME-WE4 (SMW4), Asia Pacific Cable Network 2 (APCN2), Batam-Rengit Cable System (BRIGHT) and Batam-Dumai-Melaka Cable System (BDM), Cahaya Malaysia and the Bay of Bengal (BBG) cable system. Additionally, TM also invests in other cable systems such as Japan – US Cable Network (JUSCN), China - US Cable Network (CUSCN) and South Atlantic 3 / Western Africa Submarine Cable / South Africa Far East (SAT-3/WASC/SAFE). To date, TM's total design capacity of its international submarine cables stands at 30 Tbps and it is sufficient to cater for future international bandwidth demand increase. 

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