16 Dec 2021
TM inks agreement with DNB to provide fibre connectivity in accelerating rollout of 5G network services nationwide
With a total contract value of RM2 billion over 10 years, the signing of a Fibre Leasing Service agreement with DNB demonstrates TM’s commitment to enable the provision of 5G infrastructure in supporting the Government’s ambitious digital aspiration
Telekom Malaysia Berhad (TM) today announces the signing of a Fibre Leasing Service agreement with Digital Nasional Berhad (DNB) to speed up the deployment of the Government-owned 5G network nationwide.
Taking on a leading role in enabling a Digital Malaysia, and as the national connectivity and digital infrastructure provider, TM is at the forefront of technology and innovation to support the country as it moves forward to realise a more digital society, digital business, digital industry and digital Government by 2030.
The term sheet agreement with a total contract value of RM2 billion over 10 years was duly signed by Imri Mokhtar, Group Chief Executive Officer of TM and Amar Huzaimi Md Deris, Executive Vice President, TM Wholesale while DNB was represented by Augustus Ralph Marshall, Chief Executive Officer and Dushyanthan Vaithiyanathan, Chief Operating Officer.
Commenting on the signing, Imri said: “Today’s signing further reinforces the Government’s aspiration of putting in place Malaysia’s digital infrastructure and network. We have always been a strong advocate of infrastructure sharing in providing connectivity services and end-to-end solutions, to enable excellent wireless solutions and services.”
DNB will be able to leverage on TM’s extensive fibre and network infrastructure, and subscribe to TM’s 5G RAN-to-Edge Fronthaul and Backhaul solution for the provision of fibre connectivity, enabling DNB to provide 5G network services nationwide.
Under the agreement, TM will provide DNB with 5G fibre leasing services for connectivity between DNB’s 5G mobile sites and nodes, leveraging on TM’s domestic fibre cable network spanning over 640,000 km across Malaysia. Prior to this, TM along with other fibre providers in Malaysia had participated in the 5G Fiber Leasing Request for Quotation (RFQ) exercise conducted by DNB in June 2021.
“As DNB’s selected partner in implementing the Government’s 5G network rollout plan in Malaysia, the signing of this Fibre Agreement is testament to our advanced network technology and workforce capabilities in delivering fibre solutions throughout the country. Critical in executing this mission is to ensure our network is robust to support the future requirements of 5G and further fuel technological innovation in Malaysia,” Imri added.
“In delivering the fibre connectivity for DNB’s 5G network, the local telecommunications vendors and suppliers’ ecosystem shall benefit too, in areas such as engineering services, supply of fibre, accessories, poles, manholes and premise equipment. Based on our current fibre implementation, we expect more than 70% of the work to involve and benefit bumiputera and local companies.”
“TM is also excited to utilise DNB’s 5G network to provide 5G services and solutions to our home, SME, enterprise and public sector customers. With the launch of DNB 5G network services yesterday, we will be able to test the 5G network and offer services on a trial basis in selected areas across Kuala Lumpur, Putrajaya and Cyberjaya,” Imri concluded.
Today’s signing is in tandem with the implementation of Jalinan Digital Negara’s (JENDELA) action plan and cements TM’s commitment of enabling Digital Malaysia through MyDIGITAL. It is also in support of the Government’s other digital plans encompassing digital connectivity (domestic fiberisation, international connectivity), digital infrastructure (cloud, data centre and cybersecurity) and digital talents (via Multimedia University and TM Digital Academy).
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TM SUPPORTS GOVERNMENT’s DECISION FOR TWO-PHASED IMPLEMENTATION OF 5G
TM supports the Government’s decision to implement 5G over two phases, as announced by Communications and Digital Minister YB Fahmi Fadzil on 3 May 2023. TM will work closely with the Government and the industry to ensure the success of both Phase 1 (80% service coverage by DNB) and Phase 2 (shift to two networks) for Malaysia’s 5G implementation. TM looks forward to continue playing an active role in the 5G implementation, leveraging its nationwide fibre infrastructure, extensive digital platforms (data centres, edge nodes) and rollout experience. TM shall continue to deliver converged connectivity and solutions across fibre and 5G to its home, SME, enterprise and Government customers through Unifi and TM One. TM is committed to serve as the nation’s trusted partner to grow Malaysia’s overall connectivity and digital ecosystem, including 5G. It is committed to shaping a Digital Malaysia through technology that empowers communities, businesses and Government.
The future of 5G begins with TM! #bersamasama5G
The Company is ready to bring 5G to all Malaysians; Becomes the First Telco to Deploy Stand Alone (SA) network As the national telecommunications infrastructure provider of Malaysia's Digital Nation aspirations, Telekom Malaysia Berhad (TM) is embarking on delivering 5G infrastructure to the country by participating in the 5G Demonstration Project undertaken by the Malaysian Communications and Multimedia Commission (MCMC). The demonstration project is for TM to test the new 5G features, explore the 5G technology system and assess the best way to deploy 5G infrastructure nationwide. The Company plans to test the implementation of a converged 5G core network which allows co-existence of Non-Stand Alone (NSA) and Stand Alone (SA) network. SA is the future of the 5G network deployment and this demonstration is crucial to fast track 5G implementation in the country. Towards this end, TM through its enterprise and public sector business solutions arm, TM ONE, recently started its 5G demonstration in Subang Jaya, Selangor together with Majlis Perbandaran Subang Jaya (MPSJ) to test its 5G solutions namely Smart Traffic Light, Smart Safety & Security and Smart Parking. Besides that, TM is also expanding its 5G Demonstration Project in Pulau Langkawi, Kedah with the demonstration of more 5G use cases. The transmission of 5G service in Pulau Langkawi is going live today, where TM is deploying the first 5G SA network in the country. Commenting on the milestone development, Dato' Noor Kamarul Anuar Nuruddin, Group Chief Executive Officer, TM said: "We are very excited to be part of this 5G Demonstration Project which demonstrates our capabilities to deploy 5G in Malaysia and to roll-out the first 5G SA network in the country. These reflect our commitment to accelerate the delivery of 5G services nationwide. The deployment of our tested and proven 5G-enabled smart solutions for the showcase in Subang Jaya and Langkawi are testament of our commitment in accelerating the delivery of 5G services nationwide. This is in support of the Malaysian Communication and Multimedia Commission's (MCMC) efforts in progressing humanity towards improving the quality of lives of the Rakyat. TM, via our innovative and comprehensive products and solutions will continue to lay the foundation for Industrial Revolution 4.0 (IR4.0) and enabling Internet of Things (IoT) – to serve a more digital society and lifestyle, digital businesses and industry verticals, as well as digital Government." TM's aspiration is to deliver efficient and cost effective 5G infrastructure via infrastructure sharing approach, through the access regulations implemented by MCMC. This is by leveraging on its extensive fibre networks, including the submarine cables, telecommunications towers, and Cloud computing as well as ready Data Centres to support the 5G era in Malaysia. In terms of devices and use cases, its wholly-owned subsidiary, TM Research & Development Sdn Bhd (TM R&D), is also developing and experimenting 5G related equipment to get ready for the upcoming 5G. In addition, the Company plans to test and demonstrate the Dynamic Spectrum Sharing feature where it can dynamically share the same spectrum to support different mobile technologies, dynamically. "This approach is expected to minimise duplication of network which will lead to cost reduction, translating the savings to lower prices for consumers/customers, be more environmentally friendly and allow the savings to be channeled for better innovation and improved customer services. We are open and ready to work together with other operators during this demonstration project. True to our position as the national telecommunications infrastructure provider of Malaysia's Digital Nation aspirations, we have established the communications backbone of Malaysia with the widest connectivity and convergence network," added Dato' Noor Kamarul.
TM data centres now powered by clean energy
TM secures Green Electricity Tariff (GET) from TNB for its KL, Cyberjaya and Johor Bahru data centres, adding to their Green Building Index (GBI) and Leadership in Energy and Environmental Design (LEED) certifications Customers of data centre services provided by Telekom Malaysia Berhad (TM) will now be able to accelerate their sustainability journey, with the Group recently securing Green Electricity Tariff (GET) from Tenaga Nasional Berhad (TNB) for three (3) of its data centres. The data centres comprise the Klang Valley Core Data Centre (KVDC) in Cyberjaya, Iskandar Puteri Core Data Centre (IPDC) in Johor Bahru and KL City Data Centre (CTDC) in Brickfields. This adoption of green energy supply complements the data centres’ Green Building Index (GBI) and Leadership in Energy and Environmental Design (LEED) certifications obtained previously for their efficient energy use, further cementing TM’s commitment towards reducing carbon emission and impact on the environment. GET is one of the Government’s initiatives to provide Malaysian consumers the option to use green electricity coming from renewable energy supply as the country moves towards achieving net-zero Greenhouse Gas (GHG) emissions by the year 2050. GET subscribers are supplied with electricity coming from solar and hydro generators instead of fossil-fuel based. Imri Mokhtar, Group Chief Executive Officer, TM said, “The largest source of carbon emission worldwide is from electricity generation as well as heat management, and data centres use significant amounts of power to run the IT and Cloud workloads. This indirectly contributes to high level of carbon emission as the electricity typically comes from fossil fuel-based energy supply. With this clean electricity, we will substantially reduce the impact our data centres have on the environment, while continuing to enable our customers, from large enterprises, the public sector or global hyperscalers, to enjoy the convenience, stability and security of our data centre services. “For our data centre customers who are conscious of the green efforts in their business operations, GET fulfills this need, enabling them to deliver their products and services in a greener manner to their end customers. This green initiative by TM will provide a total energy saving of 27 million kWh per year, which is equivalent to a total carbon emission of 19,134 metric tons,” he added. “To put that into perspective, this is comparable to the amount of electricity used at 3,476 homes for a year, or 9.7 million litres of petrol consumed by the average automobile.” The adoption of GET is the latest among the Group’s various initiatives under the Environmental pillar of its Environmental, Social and Governance (ESG) commitment. Mindful of its responsibilities towards environment conservation and climate impact, the Group has included sustainability factors in all its operations in addition to running nature preservation activities via its foundation, Yayasan TM. In promoting sustainability, TM remains steadfast in its ESG commitments. For Environmental, the Group will progressively cut down emissions by 30% in 2024, 45% by 2030 and achieve Net-Zero emission by 2050. On Social, TM is set to provide access to high-speed internet to at least 70% of premises nationwide. The Group promotes gender diversity in decision-making roles by having a minimum of 30% women on its Board of Directors and in Management. Under Governance, TM will continue working with the Malaysian Anti-Corruption Commission (MACC) to uphold its zero-tolerance to any form of corruption and maintain the highest standards of corporate governance.
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