KUALA LUMPUR Reuters -- Malaysian state agency Digital Nasional Berhad DNB will charge telecom firms less than the cost operators have incurred for 4 G, the finance minister said in parliament on Thursday.
DNB, an agency under the finance ministry, is the sole licensee for 5 G spectrum in Malaysia to build and maintain the entire network.
The 5 G network of com technology is exclusive-no takers-malaysias -- 5 g-plan major-telcos balk-over pricing -- 2021-11 -- 10, and they have yet to agree to use the government's 5 G network ahead of the roll out set to begin next month.
Finance Minister Zafrul Abdul Aziz said each telco will pay between 350 million and 400 million ringgit per year for 5 G, compared to the 1 billion ringgit that telcos invest as capital expenditure for 4 G every year.
The pricing is currently going to be approved by the industry regulators to make sure the price is fair and not a profit Telcos have said that they could end up paying more than they would have if they rolled out 5 G on their own, as the plan did not take into account additional requirements related to issues such as traffic volumes and contingency costs.
Zafrul said that the telecommunication companies will welcome the pricing when they are informed of it.
Zafrul said that steps have been taken to make sure the same mistakes do not happen in Malaysia, because the government is aware of the challenges of a single wholesale network, as experienced in other countries.