Page 126 - SAMENA Trends - May-June 2023

REGULATORY & POLICY UPDATES SAMENA TRENDS

Italy's Industry Ministry is studying a set of measures its ability to fund investments needed to upgrade their
worth around 1.5 billion euros ($1.65 billion) to support infrastructure. Under the draft, details of which were not
battered domestic telecoms firms, a draft decree seen previously fully disclosed, the ministry proposes to cut
by Reuters showed. Italy's telecoms sector has been levies weighing on energy bills paid by firms deemed by
Italy grappling with cut-throat price competition which has the state to be of strategic importance, including telcos,
put margins under pressure in recent years, dampening
for three years until 2025. (May 19, 2023) www.reuters.com

Macau’s Post and Telecommunications Bureau (CTT) months later. The territory’s two other mobile operators,
says that more than 20% of the territory’s population Hutchison 3 and SmarTone, did not acquire 5G licenses
are now using 5G mobile services, six months after when they were made available last year. CTM said that
their launch. The first 5G network was switched on by at launch its entire mobile network was 5G-capable.
Macau Companhia de Telecomunicacoes de Macau (CTM) (May 19, 2023) www.macaudailytimes.com
in November, followed by China Telecom Macau two

The Malaysian Communications and Multimedia coverage. In a statement confirming the government’s
Commission (MCMC) claims to have exceeded the plans, Communications Minister Fahmi Fadzil was
initial targets set out under the action plan of the cited as saying: ‘This model also takes into account
first phase of the Jalinan Digital Negara (JENDELA) the sustainability of the telecommunications industry
Malaysia program. According to the MCMC the first phase ecosystem in Malaysia thus ending the monopoly
element that is often associated with DNB.’ Response
achieved: the passing of 7.74 million premises with
gigabit speed broadband connectivity, compared to to the development has been largely positive from
a target of 7.5 million; the extension of 4G coverage local cellcos, with CelcomDigi – the enlarged entity
to 96.92% of populated areas, broadly in line with the formed following last year’s merger of Celcom
target of 96.90%; boosting average mobile broadband Axiata and Digi Telecommunications – issuing a
speeds to 116Mbps, against a target of 35Mbps; and press release welcoming the decision, given ‘the
the provision of fixed wireless broadband via satellite opportunity [it provides] to play a more active and
connectivity to 839 locations. Looking ahead, a second direct role in the country’s 5G implementation’. A
phase of the JENDELA program is now expected to get similar statement was issued by Maxis, which remains
underway later this year and will focus on extending the only one of the country’s incumbent cellcos yet to
access to broadband service for the remaining 3% of begin providing 5G services via DNB’s network. The
the population not currently covered. In addition, the company said it was ‘committed to working closely
next phase will look to extend gigabit access for fixed with the industry to accelerate 5G for the nation in
broadband to a total of nine million premises nationwide. line with the Government’s digital ambitions’, adding
Meanwhile, at a press briefing regarding the end of the that when the second 5G network is rolled out it ‘looks
first phase of the JENDELA program, the MCMC’s COO forward to playing a more direct role in the country’s
Dato’ Mohd Ali Hanafiah Mohd Yunus revealed that 5G 5G implementation leveraging its expertise, resources
uptake remains relatively low, despite coverage having and existing infrastructure’. For its part, U Mobile said it
now reached 59.5% for the network being rolled out by ‘[shared] the belief that the upcoming shift in 5G network
Digital Nasional Berhad (DNB). According to statements model would increase efficiencies and also encourage
made by the executive, there are currently around 1.2 greater adoption for both consumers and enterprises’.
million 5G subscriptions in Malaysia, translating to an In a related development, meanwhile, Celcom and Digi
adoption rate of around 3.1%. Telecommunications have terminated their respective
(June 2, 2023) www.mcmc.gov.my share subscription agreement (SSA) with DNB, effective
The government has confirmed that it is to allow the 3 May 2023. According to a filing lodged with Bursa
deployment of a second 5G network in the country Malaysia by CelcomDigi, the termination was made ‘as
from next year, subject to Digital Nasional Berhad the long stop date to fulfil all the conditions precedent
(DNB) – the company currently tasked with the under the SSA has lapsed’. (May 4, 2023) www.commsupdate.com
rollout of the technology – achieving 80% population

126 MAY-JUNE 2023