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Telecoms, Mobile, Broadband and Forecasts - Malaysia

Telecoms, Mobile, Broadband and Forecasts - Malaysia

Malaysia achieving large scale access to broadband as household penetration nears 70%

There has been strong growth in Malaysia’s telecom sector over the last decade, but the growth has not been consistent across the sector. The number of fixed-line services, after growing rapidly at first, had been relatively static for around ten years; then we saw clear evidence of a shrinking subscriber base. The mobile market by contrast has been more spectacular, racing to around 45 million subscribers by early 2014, a penetration approaching 150%; this was up from just 6 million mobile subscribers in 2000. After starting off slowly, broadband internet has been expanding strongly in recent years and by early 2014 had reached a remarkable 67% household penetration.

Over the last two decades Malaysia has been working towards a clear national objective to see it ranked as a fully developed nation by the year 2020. This Vision 2020 was a concept introduced by the former Prime Minister Mr Mahathir in 1991 when he launched the Sixth Malaysia Plan. The task of building an advanced telecom sector has been regarded as central to achieving this national objective. It has also been a matter of national pride. For a period in the 1990s the country was busy promoting itself as a regional high technology hub. In recent times, however, it has adopted a quieter profile and simply gone about the task of putting what might be described as a technologically progressive economy in place. With the widespread application of modern technologies such as fibre optics, wireless transmission, digitalisation and satellite services, Malaysia has been steadily moving towards achieving its national goals.

The generally strong growth across the country’s telecom sector inevitably brought with it considerable investment interest and activity. The telecommunication sector in Malaysia has seen a general opening up and expansion of the market with a significant number of new licences being granted. While still in ongoing expansion mode Malaysia’s telecom sector has undergone some important restructuring. This has involved the regulator progressively introducing reforms. In the meantime, the telecom companies have been doing battle in an increasingly competitive and changing market. The last decade or so has seen healthy overall growth in Malaysia’s telecom sector. At the same time, substantial government participation in Information & Communications Technology (ICT) development has also been a particular characteristic of the Malaysian market.

The developmental effort in the telecom sector has been led by a booming mobile market, although subscriber growth has slowed somewhat. More recently, a major move by the operators into mobile broadband has seen vigorous growth in the market, with strengthening ARPUs. The momentum surrounding mobile broadband was set to continue with the issue of multiple 4G/LTE licences in late 2012 and the launch of a series of advanced mobile broadband networks in 2013.

The fixed-line market by contrast has moved along a much more subdued path. The number of fixed-line subscribers having peaked in 2010, the market has gone into a steady decline. There were no real signs that the fixed-line market was going to pick up again, this despite the government still having some rather ambitious targets in place. The national fixed-line network nevertheless remains an important element in the building and ongoing operation of the country’s telecom infrastructure.

As already noted, the adoption of broadband internet has been the big news in Malaysia over the last few years. Finally the long awaited surge in internet demand has arrived, this happening after a period of slower than expected development. High speed broadband first started to take off in 2008; by early 2014 there were over six million broadband subscribers with around 60% of these being wireless-based. The arrival of wireless broadband overwhelmed a market previously dominated by Digital Subscriber Line (DSL) technology. Telekom Malaysia had been the dominant broadband service provider. Even this was being challenged as the market opened up and mobile broadband became more widespread. At the same time fibre-based broadband services have also started to impact the market.

The country’s broadband strategy was given a major boost when the government chose Telekom Malaysia to roll out a National Broadband Network (NBN). In what was referred to as the High-Speed Broadband (HSBB) project, Telekom Malaysia (TM) has been busy building a fibre-based open system. In late 2013, as part of its 2014 budget announcement, the government committed a further US$1 billion for the second phase of the HSBB project.

Data in this report is the latest available at the time of preparation and may not be for the current year


  • EXECUTIVE SUMMARY
  • KEY STATISTICS
    • Table Country statistics - 2014
    • Table Telephone network statistics - March 2014
    • Table Internet user statistics - 2013
    • Table Broadband statistics - March 2014
    • Table Mobile statistics - March 2014
    • Table National telecommunications authorities
    • COUNTRY OVERVIEW
      • Background
      • Economy
        • Table Malaysia's GDP real growth rate - 2006 - 2014
  • TELECOMMUNICATIONS MARKET
    • OVERVIEW
    • TENTH MALAYSIA PLAN AND ICT
    • BACKGROUND TO DEVELOPMENT
  • REGULATORY ENVIRONMENT
    • REGULATORY AUTHORITY
      • Telecom legislation
      • Malaysian Communications and Multimedia Commission (MCMC)
      • MCMC policy
    • PRIVATISATION AND LIBERALISATION
    • UNIVERSAL SERVICE PROVISION (USP)
    • LICENCES
    • REGULATORY DEVELOPMENTS
      • Digital Terrestrial TV Broadcasting (DTTB)
      • Investigation into business activity by Maxis in India
      • Regulator's appeal to online users
      • Alcatel-Lucent bribery case
      • Allocation of 700MHz frequency spectrum
      • Allocation of 2.6GHz frequency spectrum
      • Mobile Number Portability (MNP)
      • Quality of Service (QoS)
  • MAJOR OPERATORS
    • OVERVIEW
    • STATISTICS
      • Table Mobile operators, subscribers and annual change - 2012
      • Table Mobile operators, subscribers and annual change - 2013
      • Table Total mobile subscribers and market share by operator - 2012
      • Table Total mobile subscribers and market share by operator - 2013
      • Table 3G mobile subscribers and market share by operator - March 2013
    • TELEKOM MALAYSIA
      • Overview
      • Corporate structure
        • Table Telekom Malaysia at a glance - 2013
        • Table Telekom Malaysia's top 10 shareholders - March 2014
      • Financial performance
        • Table Telekom Malaysia's revenue share by product segment - 2008 - 2014
        • Table Telekom Malaysia's ARPU - by service category - 2011 - 2014
        • Table Telekom Malaysia's capital expenditure - 2007 - 2014
      • Background
      • Fixed-line services
        • Table Telekom Malaysia's fixed-line subscribers - 2007 - 2014
      • Broadband
        • Table TMNet's broadband subscribers - 2003 - 2014
        • Table TM's broadband subscribers - FttX v. DSL - 2013 - 2014
        • Table TM's UniFi broadband subscribers - 2010 - 2014
        • Table TMNet broadband subscribers - business v. residential - September 2013
      • Celcom/Telekom Malaysia merger
    • AXIATA
      • Overview
        • Table Axiata's total mobile subscribers - 2010 - 2013
      • Tower assets
      • Corporate structure
        • Table Axiata's major shareholders - August 2013
      • Financial performance
      • Operations
    • CELCOM
      • Overview
      • Operating statistics
        • Table Celcom mobile subscribers - 2005 - 2014
        • Table Celcom - prepaid and postpaid subscribers - 2011 - 2014
        • Table Celcom ARPU - prepaid and postpaid - 2008 - 2014
        • Table Celcom's 3G mobile subscribers - 2012 - 2013
      • Business strategies
      • 3G development
        • Table Celcom's mobile broadband subscribers - 2008 - 2014
      • Network development
      • Altel
    • MAXIS COMMUNICATIONS
      • Overview
        • Table Maxis at a glance - 2013
      • Financial performance
        • Table Maxis capital expenditure - 2007 - 2014
      • Background
      • Maxis/Time merger
      • IPO
      • Mobile services
        • Table Maxis mobile subscribers - 2006 - 2014
        • Table Maxis 3G mobile subscribers - 2012 - 2013
        • Table Maxis mobile subscribers - prepaid, postpaid, - June 2013
        • Table Maxis mobile subscribers - prepaid, postpaid, - June 2014
        • Table Maxis mobile ARPU - prepaid, postpaid, wireless and blended - 2007 - 2014
        • Table Maxis' wireless broadband subscribers - 2009 - 2014
      • Fixed services
    • DIGI COMMUNICATIONS
      • Overview
        • Table DiGi at a glance - 2013
        • Table DiGi's top 10 shareholders - November 2013
      • Operating statistics
        • Table DiGi mobile subscribers - 2006 - 2014
        • Table DiGi's 3G mobile subscribers - 2012 - 2013
        • Table DiGi's mobile subscribers - prepaid v. postpaid - June 2014
        • Table DiGi's ARPU - prepaid, postpaid, blended - 2008 - 2014
        • Table DiGi's mobile internet subscribers - 2009 - 2013
      • Financial performance
        • Table DiGi capital expenditure - 2006 - 2014
        • Table DiGi service revenue - proportion of voice v. data - 2009 - 2013
      • Background
      • Development
      • Business strategies
      • 3G - licensing and development
      • 4G / LTE
      • Fixed-line and other services
    • U MOBILE
      • Overview
      • Corporate structure
      • Operational statistics
        • Table U Mobile subscribers - 2008 - 2013
      • Service launch
      • Network development
    • TIME DOTCOM
      • Overview
      • Background
      • Corporate structure
      • Financials
      • 3G licence
      • Fixed network
      • Broadband
  • TELECOMMUNICATIONS INFRASTRUCTURE
    • OVERVIEW
    • NATIONAL TELECOM NETWORK DEVELOPMENT
      • Fixed-line networks
        • Table Fixed lines in service and teledensity - 1995 - 2014
        • Table Fixed-line household penetration rate - 2000 - 2014
      • Sharing / leasing of infrastructure
      • Fibre optic backbones
      • Next Generation Networks (NGNs)
    • HIGH-SPEED BROADBAND (HSBB) NETWORK
      • Telekom Malaysia's HSBB project
      • Other HSBB proposals
    • INTERNATIONAL INFRASTRUCTURE
      • International gateways
      • Malaysia-Thailand
      • Submarine cable networks
        • Table International submarine cable systems with landing points in Malaysia - 2014
      • Submarine system developments
      • Proposed submarine cable networks
      • Satellite networks
    • VOICE OVER INTERNET PROTOCOL (VOIP)
  • BROADBAND MARKET
    • OVERVIEW
      • National Broadband Plan (NBP)
        • Table NBP broadband penetration targets - 2007 - 2010
      • Background to broadband development
      • Bandwidth capacity consortium
      • Tablets
    • BROADBAND AND INTERNET STATISTICS
      • Table Fixed broadband subscribers - 2002 - 2014
      • Table Total broadband subscribers and household penetration - 2009 - 2014
      • Table Broadband subscribers by access type - March 2014
      • Table Mobile broadband subscribers and penetration - 2007 - 2014
      • Table Fixed broadband subscribers and households - 2013
      • Table Internet users and penetration - 1995 - 2014
      • Table Total internet subscribers - 1995 - 2013
      • Table Dial-up internet subscribers - 1995 - 2009
      • Table Total international internet bandwidth - 1999 - 2014
    • HIGH-SPEED BROADBAND (HSBB) NETWORK
      • Background
      • Commercial launch and operation
        • Table UniFi broadband subscribers and premises passed - 2010 - 2014
      • Second phase
      • Regional comparison
      • Pahang project
    • DEVELOPMENT OF INTERNET IN MALAYSIA
      • Overview
        • Table Malaysia's ICT rankings - 2008 - 2012
      • Background
      • Malaysian Internet Exchange (MIX)
      • Other developments
      • Government control
      • E-Government
    • DIGITAL SUBSCRIBER LINE (DSL)
      • Table DSL subscribers - 2001 - 2013
    • FIBRE-TO-THE-HOME (FTTH)
      • Table FttX subscribers - 2001 - 2013
    • WIRELESS BROADBAND
      • Background development
        • Table Wireless hotspots and hotspot subscribers - 2005 - 2014
      • WiMAX: 2.3GHz licences
      • WiMAX: other developments
      • WiMAX operators
        • Table Packet One WiMAX subscribers - 2009 - 2013
        • Table YTL's WiMAX subscribers - 2011 - 2013
    • BROADBAND POWERLINE (BPL)
    • INTERNET VIA SATELLITE
  • DIGITAL MEDIA / DIGITAL ECONOMY
    • BROADCASTING MARKET
      • Overview
        • Table Key broadcasting statistics - 2013
        • Table Broadcasting sector households by technology and revenue - 1997 - 2012
        • Table Overview of major Malaysian broadcasters and their channels
        • Table Overview of programming
      • Regulatory environment
      • Digital TV
      • Cable TV
      • Satellite TV
        • Table Astro DTH pay TV subscribers - 2003 - 2013
        • Table Astro pay TV ARPU - 2010 - 2013
      • Interactive TV (iTV)
      • Internet Protocol TV (IPTV)
        • Table IPTV subscribers - household v. non-household - 2010 - 2014
    • FREE-TO-AIR TV
      • Background
      • Free-to-Air major players
  • MOBILE COMMUNICATIONS
    • OVERVIEW
    • MOBILE STATISTICS
      • Table Mobile subscribers, annual growth and penetration rate - 1995 - 2014
      • Table Mobile services revenues - 1993 - 2013
      • Table Mobile operators, subscribers and annual change - 2012
      • Table Mobile operators, subscribers and annual change - 2013
      • Table Total mobile subscribers and market share by operator - 2013
      • Table Mobile prepaid, postpaid and blended ARPU by operator - 2013
    • MOBILE INFRASTRUCTURE
    • REGULATORY DEVELOPMENTS
      • International roaming
      • Service tax on prepaid services
    • THIRD GENERATION (3G) MOBILE
      • Background
      • Bidding and auction
      • Network planning and development
      • Service launch
        • Table 3G mobile subscribers and market share - 2006 - 2009; 2012 - 2013
      • Further development
    • FOURTH GENERATION (4G) / LONG TERM EVOLUTION (LTE)
    • MOBILE VIRTUAL NETWORK OPERATORS (MVNOS)
    • MOBILE VOICE SERVICES
      • Prepaid services
        • Table Postpaid and prepaid mobile subscribers and market share - 2002 - 2014
      • Mobile Number Portability (MNP)
    • MOBILE DATA SERVICES
      • Short Message Services (SMS)
        • Table SMS volume and subscriber ratio - 2002 - 2014
      • General Packet Radio Service (GPRS)
      • Mobile TV/Video-on-Demand (VoD)
      • Blackberry
    • MOBILE CONTENT AND APPLICATIONS
      • M-commerce (micropayments)
      • Airline services
  • FORECASTS
    • FORECASTS - FIXED-LINE SUBSCRIBERS - 2015; 2020
      • Table Forecast fixed-line subscribers - 2015; 2020
    • FORECASTS - BROADBAND INTERNET SERVICES - 2015; 2020
      • Table Forecast broadband internet subscribers - 2015; 2020
    • FORECASTS - MOBILE SERVICES - 2015; 2020
      • Table Forecast mobile subscribers - 2015; 2020

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