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Celcom signed HSBB agreement with TM

Celcom Axiata and TM have signed an agreement where TM will provide High Speed Broadband (HSBB) services to Celcom.

The agreement provides Celcom access to the last-mile and end user premises covered by the HSBB project. However it is not clear if this agreement will change the way how Celcom offers their broadband service to customers. It is unclear if Celcom would offer a fixed-broadband service or if TM would bundle Celcom Broadband service together with the UniFi subcription.

Official press release below.

Kuala Lumpur,3 June 2011-Celcom Axiata Berhad (Celcom) and Telekom Malaysia Berhad (TM) have inked a service agreement for TM to provide High Speed Broadband (HSBB) Services to Celcom.

The agreement provides Celcom access to the last-mile and end user premises covered by the national HSBB project and thus offer seamless fixed and mobile solutions to complement its leading position in mobile broadband services in Malaysia. The deal also strengthens TM’s position as the nation’s premier ‘open access’ wholesale service provider.

Dato’ Sri Shazalli Ramly, Chief Executive Officer of Celcom said: “Today represents a leap forward in Celcom’s extension of its leadership in the mobile space and nomadic space into the home sphere. Our motto “This Is Celcom Territory” throughout Malaysia reinforces our extensive network coverage and reaffirms our position to meet the communication needs of the Malaysian consumer throughout their daily life.”

Celcom continues to have the strongest and widest mobile network coverage in Malaysia and has established itself as the leading mobile broadband provider in Malaysia. The agreement enables Celcom to increase the appeal of its high speed broadband services portfolio. This agreement paves the way for Celcom to provide differentiated Internet Protocol (IP)-based high speed broadband services to its customers.

Dato’ Sri Shazalli further added, “Consumer behaviour is changing rapidly and the paradigm of fixed versus mobile access is becomingly increasingly irrelevant. We are pleased to be working together with TM to move one step closer to giving our consumers what they want, in the best possible format, on any device, whenever and wherever they maybe.”

The HSBB (Access) service offered by TM is open to all Malaysian Communications and Multimedia Commission-licensed service providers who wish to offer IP-based services and applications to end users.

“With the signing of this deal with Celcom, TM is demonstrating that we are at the forefront of a new era in industry collaboration which further strengthens our position as a neutral wholesale service provider,” said Datuk Bazlan Osman, Executive Director and Group Chief Financial Officer of TM. “As we said at the start of the HSBB project in late 2008, we are keeping our promise of open access to all MCMC-licensed service providers.”

The signing of the HSBB Service Agreement with Celcom also reiterates TM’s commitment to boosting the HSBB ecosystem locally by getting service providers to come on board and roll out their differentiated value-added services directly to consumers.

“HSBB (Access) service offers a new world of opportunities and a platform that supports nation-building, given its potential to raise online engagement in the knowledge economy to the next level to benefit Malaysian end users — that is why we encourage as many partners as possible to come on board,” Datuk’ Bazlan added.

TM has to date built more than 855,000 premised passed and this will eventually lead to 1.3 million premises by end of 2012. This coverage is in accordance with the completion of the first phase of the Public Private Partnership signed in September 2008 between TM and the Government of Malaysia. The RM11.3 billion national HSBB project is aimed to develop next generation high speed broadband infrastructure and services for the nation. TM is investing RM8.9 billion into the project while the Government is contributing RM2.4 billion on an incurred claims basis based on project milestones reached by TM.

Kugan is the co-founder of MalaysianWireless. He has been observing the mobile industry since 2003. Connect with him on Twitter: @scamboy

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