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TMCNet:  TM to rake in up to RM600m from deal [New Straits Time (Malaysia)]

[December 15, 2013]

TM to rake in up to RM600m from deal [New Straits Time (Malaysia)]

(New Straits Time (Malaysia) Via Acquire Media NewsEdge) KUALA LUMPUR: TELEKOM Malaysia Bhd (TM) will rake in up to some RM600 million revenue from a broadband deal with two mobile operators.

TM yesterday inked the wholesale bandwidth collaborative agreement with Celcom Axiata Bhd (Celcom) and DiGi Telecommunications Sdn Bhd (DiGi).

The extendable 10-year contract is to provide extensive robust backhaul network infrastructure for broadband rollout in Peninsular Malaysia via "TM Next-Gen Backhaul" services.

"This TM Next-Gen Backhaul Services will contribute between RM400 million and RM600 million to TM's revenue over the next 10 to 15 years," TM group chief executive officer (CEO) Tan Sri Zamzamzairani Mohd Isa said.

"It comprises aggregation and access sites jointly owned by Celcom's unit Celcom Networks Sdn Bhd and DiGi, covering between 3,000 and 3,500 kilometres in the peninsula," he said after the signing ceremony, here, yesterday.

Also present were Celcom CEO Datuk Seri Shazalli Ramly and DiGi CEO Henrik Clausen.

The contract involves two phases of development, with phase one starting from 2014 until 2016, followed by the second phase deployment of additional sites for mobile access and aggregator sites.

Riding on TM's nationwide fibre coverage and resilient network platform, the initiative allows Celcom and DiGi subscribers to enjoy seamless and quality services via their mobile devices, anywhere.

The deal reflects the ongoing demands and needs of the indus-try requiring local mobile network operators (MNOs) to deliver a big improvement in their network quality to offer low latency and high bandwidth to mobile devices.

Hence, MNOs need to gain access to more backhaul networks providing higher degrees of flexibility and better scalability.

"TM will optimise its extensive nationwide network infrastructure coverage to provide cost-effective and high-capacity bandwidth," Zamzamzairani said.

DiGi and Celcom said the pact forms an important part of the ongoing network collaboration initiative between the two telcos announced in early 2011.

This is with regard to the joint ambition to roll out more than 10,000km of fibre network nationwide, they added.

(c) 2013 ProQuest Information and Learning Company; All Rights Reserved.

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