Kuala lumpur: Malaysia's strong digital infrastructure as well as political and policy stability are driving technology and digital investments into the country, Communications Minister Datuk Fahmi Fadzil said. He noted that the success of the National Digital Network (JENDELA) infrastructure initiative has laid a strong backbone for further growth, making Malaysia an attractive destination for data centres and other digital investments.
According to BERNAMA News Agency, Fahmi emphasized the substantial results achieved through JENDELA Phase 1 and Phase 2, highlighting the national fiberisation programme's impact. 'The cost has been significant, but we see it as an investment for the people,' he told BERNAMA in an exclusive interview. The initiative, launched under the 12th Malaysia Plan (2021-2025), was designed to bolster Malaysia's digital infrastructure in preparation for 5G technology.
The RM21 billion initiative, co-funded by the Malaysian Communications and Multimedia Commission's (MCMC) Universal Service Provision (USP) Fund and industry players, aims to provide nationwide broadband access, enhance 4G network quality, and phase out 3G services. Fahmi stated that this positioning has made Malaysia attractive to international firms, including Canada's BlackBerry and Italy's Leonardo, which have established regional operations in the country.
Fahmi highlighted that investors consider not only infrastructure and costs but also political and policy stability. Malaysia's neutral geopolitical stance and governance under the MADANI Government have boosted investor confidence. He expressed confidence that Malaysia will continue attracting digital and technology investments due to its stable environment, strategic location, and resilient digital infrastructure.
Telecommunication companies in Malaysia are evolving beyond basic connectivity to offer innovative, value-added services, Fahmi noted. He cited the transformation of Telekom Malaysia (TM) into a technology-driven company, reflecting the sector's future where fiber-based infrastructure serves as the foundation for differentiated services and solutions.
Fahmi explained that telecommunication companies can no longer rely solely on basic telephony and data services. The industry's future lies in understanding customer segments and developing services tailored to lifestyle and industry needs. Malaysia's 5G rollout has progressed rapidly, transitioning from a single wholesale network to a dual-network model, offering consumers more options and fostering healthy competition.
As of now, the first 5G network has achieved over 82.4 per cent coverage of populated areas, while UMobile's second network has reached about 57 per cent in just a few months. Fahmi noted that competition in the coming years will be driven by innovation and service offerings that fully leverage 5G capabilities, given that most infrastructure is shared.
Fahmi reported that approximately 60 per cent of Malaysia's 45 million accounts are 5G users, a significant achievement compared to other countries. He highlighted Malaysia's swift adoption of 5G, positioning it ahead of many peers, and noted that the country offers some of the fastest and cheapest internet speeds globally, contributing to its status as a digitally connected society.