Malaysia has made notable progress in rolling out 5G, with populated area coverage reaching 81.7%—a milestone many neighbouring countries achieved later in their rollouts. By late 2023, the country had surpassed the 80% coverage mark in populated areas (CoPA), reflecting sustained deployment efforts.
Deputy Communications Minister Teo Nie Ching told the Dewan Rakyat that 7,114 sites have been deployed nationwide. While the initial focus has been on urban centres that generate significant economic activity, plans are in place to expand services to rural and underserved areas through a phased approach.
State-level data reveal strong momentum in deployment. Kuala Lumpur leads the nation with 97.7% coverage, followed by Putrajaya at 97.3% and Selangor at 96.1%. Coverage across other states ranges widely, from about 62% in Sarawak to 94.4% in Labuan, underlining both progress and remaining gaps.
Much of this advancement stems from the single wholesale network (SWN) model implemented by Digital Nasional Bhd (DNB). A key milestone in that transition was the completion of share subscription agreements (SSAs) with five mobile network operators (MNOs) in December 2023, which helped stabilise the rollout framework.
As deployment moves into its next phase, priorities have shifted toward improving indoor coverage and addressing remaining pockets of weak service. Authorities and industry players are evaluating the most effective strategies for indoor solutions in public venues and enterprise environments.
Efforts are also increasing to close the rural digital divide. Policymakers are considering how universal service provision (USP) funds might be mobilised and what alternative deployment models could speed up access in less commercially viable locations.
Private 5G networks are emerging across key industries such as manufacturing, agriculture and healthcare. Examples like Petronas’ private network at its Melaka regasification terminal demonstrate how sector-specific deployments can deliver tailored connectivity and operational benefits.
There is active discussion about opening the ecosystem to additional equipment vendors, particularly to address the remaining 20% of CoPA, improve indoor coverage and expand enterprise offerings. Expanding vendor participation could bring more competition, innovation and resilience to the network supply chain.
Debate continues over the future operating and ownership structure of DNB. Proposals include the government retaining a golden share to ensure alignment among telcos and prudent debt management. Separately, some stakeholders have suggested a second wholesale network as a complementary option; if carefully designed, such an approach could provide alternative capacity and spur further investment.
The government is expected to announce definitive 5G policy decisions in the coming months. These will determine how to balance the current SWN model with potential new networks, accelerate indoor and rural coverage, promote fair competition and innovation, and safeguard technical standards and affordable pricing for consumers.
As Malaysia advances its 5G ambitions, the focus remains on achieving comprehensive coverage, encouraging innovation and ensuring the benefits of advanced connectivity reach all segments of society. The outcome of upcoming policy choices will be pivotal in positioning Malaysia as a regional leader in digital infrastructure.
For users experiencing coverage problems, the Malaysian Communications and Multimedia Commission (MCMC) provides complaint channels, including a WhatsApp hotline and the commission’s website. Members of Parliament can also file complaints at the MCMC Complaint Counter located in the Parliament building.
Key policy decisions ahead include whether the government will keep a golden share in DNB, whether open tenders will be used for remaining coverage and indoor solutions, and how rural deployment will be financed. The possibility of a second wholesale network adds complexity to these considerations but could offer complementary options if pursued carefully.
While the nation awaits clearer policy direction, both industry and consumers are preparing for the next stage of Malaysia’s digital transformation, one that promises broader connectivity and more innovative services across public and private sectors.
See also: 5G and security: The dual telecoms challenges facing the new UK government
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