How does DNB plan to finance the 5G network rollout?

The total cost for the 5G deployment will be financed exclusively by the private sector, with no Government funding or development expenditure involved.

On 12th November 2021 , DNB announced the securing of a working capital financing package of up to RM400 million from Deutsche Bank. It a RM150 million bank guarantee line, to be issued by Deutsche Bank AG, Labuan Branch, and a RM250 million revolving credit facility to be extended by Deutsche Bank (Malaysia) Berhad on an unsecured basis.

What is being done to ensure the 5G network meets industry standards for cybersecurity?

Keeping 5G networks secure from cybersecurity threats is critical to realising its full-fledged benefits to consumers, organisations, and enterprises in the long run. 5G connectivity must therefore be consistent and reliable.

DNB understands the significant cybersecurity risk and adversarial interest from a range of threat actors towards DNB, critical national infrastructure (CNI) and 5G telecommunications organisations.

What is the 5G rollout timeline for Malaysia?

5G services will be available in Putrajaya, Cyberjaya and parts of Kuala Lumpur in December 2021. Thereafter, it is planned to reach approximately 40% coverage in populated areas by the end of 2022 and subsequently will be extended nationwide to cover other urban and rural areas and industrial parks, with a target of approximately 80% coverage in populated areas by 2024.

How does the country stand to benefit from 5G coverage?

The digital transformation catalysed by 5G coverage stands to create a potential GDP uplift of some RM150 billion and a further 750,000 new jobs by the year 2030.

In addition to the long-term GDP and job opportunities, other key socioeconomic benefits include:

How much is the 5G rollout expected to cost, and over how long a period of time?

The entire 5G network rollout is expected to cost RM16.5 billion over the next 10 years. This is made up of RM12.5 billion for the 5G network equipment and infrastructure as well as RM4 billion in corporate costs.

What are the key service offerings that the public can expect from the 5G rollout?

DNB will enable key 5G capabilities which are Enhanced Mobile Broadband (eMBB), Massive Machine Type Communication (mMTC), Ultra-Reliable Low-Latency Communication (uRLLC), and Network Slicing.

This will include the underlying 5G capabilities such as artificial intelligence/machine learning (AI/ML), robotics and augmented reality and virtual reality (AR/VR) which will enable innovation that drives efficiency, service enablement and new experiences in various verticals.

The key 5G capabilities are explained below:

What are some of the key considerations in the deployment of the 5G network?

DNB will deploy an end-to-end nationwide network in line with the following business principles:

Whom will DNB be working with to extend 5G coverage across the country?

DNB will collaborate with relevant stakeholders including government, regulators, state and local authorities, network equipment providers, telecommunications operators, infrastructure owners, as well as various user groups which will benefit from the use of 5G products and services.

These stakeholders include Ericsson, the appointed network equipment provider (NEP), mobile network operators (MNOs) and other licensees, site owners, fibre optics providers, power and utility players, as well as financial institutions.

What is Digital Nasional Berhad’s role?

Digital Nasional Berhad (DNB) which is wholly owned by the Minister of Finance (Incorporated) has been mandated by the Government of Malaysia to be the single neutral party to undertake the deployment of 5G infrastructure and network nationwide and is licensed under the Communications and Multimedia Act 1998 (the Act) to provide wholesale 5G coverage and capacity to other licensees under the Act.

DNB was established to assist in delivering the following key outcomes in line with the MyDigital aspirations to: