“Telekom Malaysia Tak Boleh Pakai”

To know whether Telekom Malaysia boleh pakai or Tak Boleh Pakai, continue reading here.

Competition healthy for broadband industry

TWO spectra were issued in less than a year. DiGi.Com Bhd was not a recipient although it has helped revolutionise the cellular industry in Malaysia.

Rates for voice calls have dropped drastically over the years and now we pay a pittance for SMS. There are plenty of choices in terms of packages for the consumer, and that would not have been possible if DiGi did not strike out in a market controlled by giants.

Competition benefits the consumer, but the cellular companies are also making a lot more money now.

DiGi failed to get a WiMax (Worldwide Interoperability for Microwave Access) licence, but so did Jaring, Maxis Communications Bhd and even Telekom Malaysia Bhd that put in three different bids for the spectrum.

“But why not DiGi?” many are wondering. It failed the second time around, first for the 3G spectrum and now WiMax. Those evaluating the bids know the reason best. Could it be because DiGi did not meet the conditions set, or that it is majority foreign-owned, or that Telenor has not sold down its stake to 49%?

Or is there a game plan to cajole DiGi to team up with Time dotCom Bhd to create a second cellular/broadband company to give TM Net Sdn Bhd a run for its money?

The reasons are not known, but foreign-owned companies should be allowed to grow, not stifled, if Malaysia wants to continue to attract foreign direct investments.

Teaming up with Time dotCom is a good idea, as Time certainly needs a strong partner and DiGi has the capabilities to drive change at Time.

But more importantly, the emergence of a strong player would shake up the broadband industry, which is also the reason why four WiMax spectrum winners were announced recently.

With competition, rates will fall and service quality will improve. Competition is necessary if Malaysia is to have a wider broadband penetration.

Malaysia has only 13 years before it is expected to become a developed nation. Its broadband service, when benchmarked against world standards now, is atrociously poor.

Users are fighting a constant battle to get higher speeds and uninterrupted access, and getting one gigabit is rare.

But do the four players have the financial muscle or willpower to make a difference in the broadband arena? Can they take on TM Net?

In terms of shareholders, it is pretty impressive. For one, YTL Corp (BizSurf (M) Sdn Bhd) has the track record in delivery. It is even willing to build a bullet train to Singapore, which speaks volumes of what it can do. So it would be worth watching.

Green Packet Bhd is an up-and-coming company, in tune with technology, but let’s see how it performs from a consumer’s perspective.

REDTone will concentrate on Sabah and Sarawak. Asiaspace Sdn Bhd has the track record in building telecommunication towers, but this is a consumer service. We shall have to wait for the delivery.

With the WiMax spectrum out, the Government is essentially opening up the last mile connectivity. The winners are likely to opt for wireless connectivity to bridge the gap, but is that the best move?

Jaring has not been hugely successful with its wireless broadband offering and Time failed with its Webbit. WiMax itself has yet to be vastly successful, given issues regarding the standard. But these four new winners appear to be very ambitious for they believe they know better how to reach out to the marketplace.

It would be good if they can make a difference to the broadband scene. Monopoly has not benefited Malaysians, so injecting more competition into the broadband sector would be good for consumers.

But Malaysia has seen the consolidation of the cellular sector from a seven-player environment to a three-player one. There were three broadband failures in the past, so is there any room left for failures?

The onus lies on the regulator to ensure the delivery schedules are met and the spectra put to use. Otherwise, give the spectra to others that can deliver. In any case, it is time the regulator takes a tough stance if Malaysia is to have a higher broadband penetration rate.

As for DiGi, try again when the 2.5GHz spectrum tender is out next year. -TheStar

DiGi plans third round capital repayment

DiGi.Com might plan a third capital repayment under a proposal to optimise its balance sheet says chief executive officer Morten Lundal.

“Right now, we have too much cash and too little debt” Lundal added.

“Our balance sheet is under-leveraged and we have to make good, to get to a more optimal balance sheet. We will announce, at some point, a better restructuring of the balance sheet.”

Last year, DiGi made two capital repayment totaled RM1.01b.

The Edge Daily quoted:

“On wireless broadband, he(Lundal) said DiGi would consider pursuing WiMAX on a 2.5Ghz spectrum following similar moves by Telekom Malaysia Bhd (TM) and Maxis Communications Bhd.”

“We had a strong application and we would be a strong contender if we focus on the broadband area. It is going to be a crowded market place,” Lundal said.

TM on WiMAX(updated)

TM is planning to launch their WiMAX services on the 2.5GHz spectrum if they are given a green light by the Multimedia Communication and Multimedia Commission(MCMC).

TM says they are ready to spend the same amount (RM250million-RM300million) as the current 2.3GHz spectrum owners which is expected by MCMC.

Quoted from The Edge Daily:

“Since we were not able to get the 2.3GHz spectrum, we will be looking at utilising the other spectrum for WiMax purposes.” says TM chief executive Datuk Abdul Wahid Omar.

“At the end of the day, it is about the ability to deploy broadband effectively to the suburban and rural areas,” he added.

“The promise of WiMax is twofold, one is about the network, which is cheap compared to the rest because the reach is very far and you need fewer base stations to cover a larger area.”

“The other area is the commitment made by Intel, who has stated that every notebook from end-2008 would be pre-loaded with a WiMax chip and because we have a prevalence of wide availability of equipment, WiMax is more cost effective,” Wahid said.

Yesterday, Celcom’s Chief executive officer Datuk Seri Shazalli Ramly was quoted saying:

“There is a window of opportunity for us to grab before the WiMax players come in. We have to grab the window as quickly as possible.”

TM is more than 60 per cent owned by state asset firms Khazanah Nasional Bhd, the Employees Provident Fund and Permodalan Nasional.

Updated:

Later today, Energy, Water and Communications Minister Datuk Seri Dr. Lim Keng Yaik said “Yes, there is no problem for them (TM) to roll out the WiMAX using the existing 2.5GHz. Just go and talk with the Malaysian Communications and Multimedia Commission to get enough bandwidth for rolling out the WiMAX via 2.5GHz”

“Now you know why we distribute the WiMAX licences to the small companies… the big fellows, including the TM already have the 2.5GHz. Why you want the 2.3 GHz when you can roll out the WiMAX via 2.5GHz?,” he added.-BTimes

TM Net has 915,000 happy customers

TM Net Sdn Bhd is planning a one million customers this years as they currently has some 915,000 customers as at end of February.

TM Net also announced its partnership with QSR Brands Bhd on the installation of tmnet hotspot services at 128 Pizza Hut restaurants in the country.

TM Malaysia business integrated marketing general manager Zainab Hashim is quoted saying:

“We welcome competition. The readiness (of WiMax) would be in 2008. Whereas for WiFi, most of the laptops and PDAs are WiFi-enabled.

“This is the strength that we have. We will definitely focus on our strength and come up with more marketing programmes with our partners,” she said.

“Our initiatives in the broadband have been very strong. Soon we will be getting our one millionth subscriber for broadband. Definitely it will be this year,”

QSR operates the Pizza Hut and KFC chain of restaurants in Malaysia and Singapore. It has 156 Pizza Hut outlets in the country.

Celcom launch Podcast services

Celcom (Malaysia) Bhd will be launching its new mobile podcast services.

“We will source for the news through stringers and freelancers, as well as from international wire services. Initially we are looking at a 30-second audio service that covers local news,” said its chief executive officer Datuk Seri Shazalli Ramly

A new service called AJoke was also launched where customers can receive daily jokes via audio. The service is free when retrieving the audio joke for the first time but customers will be charged when they decided to re-listen or forward those audio jokes.

“Customers will be charged 20 sen per call if they wish to re-listen the joke and 10 sen if the user wishes to forward the joke to others. At present the service is limited to Celcom users only,” he said.

Customers will receive short messaging service (SMS) from Celcom that they had received a joke, which can be retrieved by dialing *000. To replay the audio, they can dial *008, and to un-subscribe for the service, users must send “AJoke Off” to 25653.

He said Celcom would initially send one joke daily between 6am and 3pm in Bahasa Malaysia to three million subscribers, and aims to cover its whole subscriber base in three months.

TM plans RM18.1b revenue this year

Telekom Malaysia Bhd (TM) is targeting to achieve a revenue of RM18.1 billion this year.

TM said revenue growth was expected to be largely driven by its international operations in Indonesia, Sri Lanka, Bangladesh and its domestic mobile operations.

Quoted from The Edge Daily:

“The plan for TM in the next three years is to become a strong regional player with a firm business on the home front. “

“We will continue to drive our business towards fixed and mobile related revenues, whereby acquisitions in ‘closer to home’ markets will be based on appropriate opportunities,” it said.

It said lower earnings were also expected from its domestic fixed line business from lower tariffs and the increasing usage of mobile phones and voice-over Internet protocol.

“The lower traditional fixed line revenue is expected to be mitigated by growth in broadband revenue,” TM added.

For the past few years, TM has been looking into the international market as the domestic market reaches saturation.

Since then, most of TM’s Business has been doing good in Malaysia. Celcom has a good customers service and a very professional service while TMNet has a very good response from the Malaysians. TM has also done a good job in spending little in advertisement but more on their products.

Streamyx has been successful in Malaysia as there are lesser complaints heard. If you want to know how many bloggers supports streamyx click here.

After all this supports and a good service, I believe TM is going to generate RM18.1b this year and also be successful in the INTERNATIONAL market as they are in Malaysia.

TM our National Telecom Provider

Comments are appreciated.

Mail Me your Mobile Question…

Hi…If you have any general question on the Mobile Telecommunication Market, just drop me an email to malaysianwireless@gmail.com

Please don’t ask question related to:

1. Stocks
2. Product and service problem that you face(DiGi, Maxis and Celcom)
3. Mobile Phones
4. Directories in Telecommunication

ASK ME about:

1. New Mobile Phone technologies that you need to know more
2. Latest Telco news that you want to discuss
3. This Blog
4. Mobile Phone forums that you might want to join
5. Share with me about upcoming events in the Malaysian Telecommunication Industry
6. Problems you face with your telco(DiGi, Maxis or Celcom) that you need my advice (I am hopping for interesting problem)
7. ANYTHING ELSE THAT RELATES TO THE MOBILE COMMUNICATION INDUSTRY

Drop me an email>>>>> malaysianwireless@gmail.com and I will try to answer all your question as best as I can and as soon as possible.

Have a great day!!

Why Malaysians need WiMAX

Wow, everyone is taking about WiMAX…The blogs, the prints, the magazine(coming issue)….Everywhere…..so what the fuss is it all about?

WHAT IS WiMAX?

WiMAX stands for Worldwide Interoperability for Microwave Access. WiMAX can deliver last mile wireless broadband services in our country. In other words, it can replace streamyx and even the fixed line service itself!!!

WiMAX can deliver high speed Internet services up to 72Mbps over 70km. With just a few WiMAX base station, the whole KL can be covered easily.

The 802.16d is a standard for fixed wireless connectivity(from a base station to a subscriber station where you need a receiver on top of your house) which can offer the non-line-of sight service.

The 802.16e standard is made for Mobile WiMAX. This standard offers high speed Internet to a user’s mobile phone. Mobile WiMAX is not comparable to 3G(384kbps) and also 3.5G(up to 7.2Mbps).

WiMAX Market Highlights

• The worldwide WiMAX equipment market is forecast to increase more than 10-fold between 2006 and 2010, when it will reach almost $5.6 billion
• Mobile WiMAX is forecast to grow to $3.7 billion in 2010, a 5-year CAGR of 201%

• In 4Q06, Alvarion leads in fixed WiMAX equipment revenue share, followed by Redline and Airspan

• Tropos leads in outdoor mesh equipment revenue in 4Q06, followed by Strix and BelAir

Why Malaysians need WiMAX?

NasionCom is currently deploying WiMAX service in Kl since last year. Why? WiMAX is far much better than 3G. Currently, 3G is a failure in Malaysia and there is no question about it. Imagine you are moving in a car while you are watching your favourite show on your notebook or mobile phone(no buffering at all) which supposedly you will be watching it at home(and you are rushing to a meeting now). That’s technology.

Our current national broadband provider has put us 10 years behind countries like South Korea and Singapore. What is taking us so long? Why is there a term “best effort”? and not a promising effort? Why charge us then limit us on the service we use? WHY?

With WiMAX coming in, it does not only gives the Malaysians a new, better technology but also a new hope that things will change as the new WiMAX licenses did not fall on the broadband failures.

Internet is the future. I believe the computer will be replaced by mobile phone someday(its already being replaced now!!), soon everyone in malaysia can say that they have a real so called broadband service at home. In U.S , broadband must have a minimum speed of 200kbps which I believe even this speed cannot be achieved on our main Internet Service Provider’s network, not even half of a day.

WiMAX can offer cheap (even free) voice call where VoIP is also possible(better quality than current fixed line service). With WiMAX, you can even have Video Call service on your WiMAX fixed line telephone. WiMAX is also more secured than WiFi where you can do a transaction on your account(while you are not in front of a computer) or even pay your bills while waiting for your bus!

Dear Malaysian, WiMAX does not only comes with a new technology of broadband service, but also a true broadband service which we should have enjoyed it years ago.

DiGi: We will take the challenge

DiGi Telecommunications Sdn Bhd which is suppose to get a 3G license almost one year ago is now denied the WiMAX license too. DiGi which has been “very successful” in offering Mobile Telecommunication services in the Malaysian market, lost to four small companies.

DiGi is proven to be better on every aspect point of view if they are to be compared to the current WiMAX winners. DiGi is also proven innovative in offering the best mobile services through the country.

As at 14 February 2007, DiGi posted a strong result which recorded an after-tax profit of RM806 million which is up 71% from the previous year. It is also said around the end of last year that DiGi has RM1.13 billion in cash.

DiGi, the smallest, strongest, one of the most profitable and the only foreign mobile operator ,majority owned Telenor. DiGi could be denied, both 3G and WiMAX license just because it is a majority foreign controlled mobile operator.

DiGi is quoted below as in Bernama after they were denied a WiMAX license yesterday:

“We will continue to pursue our strategy to give our customers a continually richer communications experience” DiGi’s chief executive officer Morten Lundal said in a statement.

Lundal said DiGi respected the government’s decision but regretted the loss of opportunity to use of the company’s resources and skills which could benefit all consumers, enabling Malaysia to be a reference country for successful mobile broadband development.

“We remain committed as always in our support of the government’s telecommunication objectives,” he said.

“We stand ready with practical and realistic solutions to quickly enable high-speed connectivity for both urban and rural areas in Malaysia,” he added

DiGi also says that this decision does not impact the company’s core business.

You may also want to read this article titled “Why Digi should be granted a WiMAX license” by Stock Tube.

Please also vote the poll on the right side of this blog to see the Malaysian response on the MCMC decisions.

This is what DiGi will plan(as earlier announced) if they failed to win the WiMAX spectrum.

DiGi could also follow Maxis to run on the 2.5Ghz spectrum.

REDtone: WiMAX a "meaningful role"

REDtone International Bhd via its subsidiary, Redtone-CNX Broadband Sdn Bhd which is one of the four winners of the 2.3Ghz spectrum expects this license to drive and enhance it broadband plans.

REDtone is designated to deploy its WiMAX service in Sabah and Sarawak. All WiMAX winners must cover 25 percent of the population by end of the year and at least 40 percent of coverage on the third year.

Quoted from The Edge Daily:

“We are honoured to be given the opportunity to be the first to offer high speed mobile Internet services to businesses and homes in East Malaysia in addition to enabling the company to further drive its broadband business.”

“Our good track record, experience, capabilities and leading edge in innovation are plus points that will help facilitate our rollout of high speed broadband services in Sabah and Sarawak,” REDtone said.

The company said it would make an announcement soon on “an exciting collaboration” for its nationwide high-speed broadband plans.

ABOUT CNX

CNX Solutions Sdn. Bhd. focuses on the provision of Broadband services to both commercial and residential projects. The company has Broadband-Enabled a number of projects for renowned developers. We believe that in the years to come, Broadband connectivity will be the norms of society rather than a luxury item for the selected few. With this thought in mind, our products are geared towards meeting the consumer’s demands in terms of pricing and quality of service.

ABOUT REDtone

REDtone is the number one discounted call provider by revenue, in Malaysia. It commands a lion’s share of 35% of the local discounted call market which, according to global market advisory firm, IDC (International Data Corp), is worth some RM 143.507 M in year 2005.

Listed on the Malaysian Exchange Of Securities Dealing & Automated Quotations (MESDAQ) market of Bursa Malaysia (formerly The Kuala Lumpur Stock Exchange) in January 2004, REDtone has the highest market capitalization amongst companies listed on this technology market as of 11th July 2005.

The Multimedia Super Corridor or MSC-status company has earned a reputation for its in-house research and development (R & D) capabilities and is distinguished by its homegrown technological innovations which have won a string of awards, both in Malaysia and abroad. Presently, it has eight patents pending registration in Malaysia.

REDtone’s line-up of innovative discounted call packages offers consumers and businesses feature-rich (at no additional cost) and good quality phone services as an affordable alternative to traditional phone service.
It has replicated its successful business model in other countries. Currently, its services for both consumers and corporate customers are offered in Pakistan, Indonesia and China.

Green Packet: Klang Valley is ours

Packet One Networks (Malaysia) Sdn Bhd is a subsidiary of Green Packet Bhd says that the WiMAX license presents the company with a rare and valuable opportunity to roll out its wireless communication infrastructure.

They were quoted saying:

“The WiMaX licence with a 2.3Ghz spectrum will complement and enhance the quality of service and throughput of the current SONmetro wireless broadband network deployment underway in Klang Valley on the unlicensed 2.4Hz band”

“Packet One will be the owner and operator of an alternative last-mile wireless broadband network to empower virtual network operators (VNOs) to resell the broadband services”

“Packet One’s network would also be wholesaled out to VNOs to offer broadband services to end users”

“Trials for the SONmetro solution are also being conducted in Bahrain, Singapore, China and Hong Kong. Plans are underway to start trials of SONmetro in Europe”

Green Packet also says that the wireless broadband service will offered at an affordable price.

ABOUT GREEN PACKET

Green Packet is a leading global developer of next generation mobile broadband networking solutions. Green Packet’s mission is to provide a seamless and unified platform for the delivery of user centric multimedia communication and services regardless of the nature and availability of the backbone infrastructure.

The company offers an extensive range of flexible and scalable solutions for carriers, mobile enterprises and mobile workgroups through a technology that is integral and critical to the entire wireless value chain. Already, it counts several major telecommunication operators, original equipment manufacturers and enterprises within its clientele. These include China Telecom Group, Maxis Communications Bhd, Far EasTone Telecommunications Co Ltd, Chunghwa Telecom Co Ltd, Dell, BenQ, NEC, Intel and many others.

Green Packet has replicated its successful business model in other regions. Currently it has offices in USA, China, Taiwan and Malaysia.

Asiaspace: WiMAX license a dream come true

Asiaspace as one of the winner for the WiMAX spectrum says that they will invest 300-400 million to roll out the service.

In a statement quoted from Bernama:

“Asiaspace has no problems working with any party or parties to realise our dreams,” it said.

It said with the spectrum, it would be able to play a much bigger role than merely providing the infrastructure for the operators.

“We will be able to contribute to the realisation of the ministry’s aspirations to achieve the targets provided for in the MyICMS 886 strategy,” it said.

Asiaspace will be operating in Peninsular Malaysia where they are expected to cover 25 percent of the population by end of the year and at least 40 percent 2 years from now.

ABOUT ASIASPACE:

Asiaspace is an infrastructure company for broadcasting and telecommunication network. The company is a licensed entity under the provision of Communication and Multimedia act 1998 (CMA).

Main areas of activity:

• Infrastructure needs for all communication companies, particularly telecommunication companies

• Digital transmission for audio and video broadcasting

• Support structure for infrastructure build up to optimise telecommunication network integration

Malaysian Blogger Not Liars…….BUT

TM exploring Indochina opportunities

Telekom Malaysia Bhd (TM) is exploring opportunities to acquire wireless operators in Vietnam and Laos as part of its expansion plans, said its chief executive officer Datuk Abdul Wahid Omar.

“We have always said we are looking at this region and Indochina (for expansion). It is not going to be easy as it is very competitive as others (telcos) are looking into Vietnam and Laos as well,” he said.

He was speaking to reporters in Putrajaya on March 15 after signing a memorandum of understanding (MoU) with Verizon Business to explore the development of a Malaysian-based Internet Protocol (IP) hub.

Meanwhile, Bloomberg quoted Yusof Annuar Yaacob, who oversees TM’s international units, as saying that TM was interested in Vietnam Military Telecom Corp.

He said TM was also talking to “a few”‘ companies in Laos and planned to expand in India as competition was eroding earnings growth at home.

On the MoU with Verizon, Wahid said TM and Verizon were exploring the establishment of a physical node in Cyberjaya that both parties could jointly operate.

He said TM would invest RM40 million in infrastructure and additional equipment to establish the IP hub, adding that it would provide the impetus for Malaysia to become a regional transit hub for global Internet service providers’ (ISP) routing traffic.

“This partnership will lead to significant cost savings on international bandwidth connectivity for TM and other ISPs as the Internet queries and traffic are contained within the country,” he said.

Wahid said by establishing such a hub, Malaysian and foreign-owned companies located here would have the opportunity to use cutting-edge IP network technology and prepare for future IP communications services.

“Furthermore, Internet users will also experience lower latency for accessing international websites,” he said.

He said the collaboration with Verizon would serve to attract new opportunities for Internet peering by major regional Tier-1 ISPs such as those from Korea, Japan, China and India to Malaysia and establish the country as a leading IP hub.

Wahid also said the availability of Verizon’s network in Malaysia would attract more international content providers to relocate to the country thus spurring the growth of local content development.

He said the partnership would also open avenues for TM and Verizon to explore joint development initiatives to tap into new market opportunities in the 13 countries TM operates.

Minister of Energy, Water and Communications Datuk Seri Dr Lim Keng Yaik, who witnessed the signing, said the initiative would complement the key objective of the Malaysian Internet Exchange (MyIX).

“MyIX was developed to increase the localisation of domestic Internet traffic and turn Malaysia into a regional hub for Internet peering and networking.

“This will reduce the need for Malaysian service providers to source IP services from neighbouring countries while positioning Malaysia as a regional bandwidth provider, which can cater to requirements from other countries in the region,” he said.-The Edge