PUTRAJAYA, March 4 — The contract termination dispute between Telekom Malaysia Bhd (TM) and Digital Nasional Bhd (DNB) is a commercial issue and does not affect the government’s target of achieving 95 per cent 5G coverage nationwide, said Communications Minister Datuk Fahmi Fadzil.
Fahmi, who is also Madani Government spokesperson, said that in terms of the objective of implementing the 5G network, the government has achieved a coverage rate of 80 per cent, which allows for the creation of a second network in line with the transition to a dual-network model.
“We do not see the issue between these two parties (TM and DNB) affecting the implementation of the 95 per cent level of the 5G network in the future,” he said at a press conference after the Cabinet meeting here today.
He said the matter involves a commercial dispute between the two companies, which are licensees under the Malaysian Communications and Multimedia Commission (MCMC).
“I hope both parties can sit down to examine the issues,” said Fahmi.
Yesterday, TM said it had exercised its contractual rights under the 5G Access Agreement by complying with the terms and conditions for early termination and requirements related to the 5G dual-network model.
The company insisted its termination notice is valid and fully retains all its rights.
DNB reportedly rejected TM’s notice to terminate the 5G agreement, while insisting the long-term contract is still valid and in force.
According to DNB, the agreement is valid until October 2032 and contains certain conditions to determine how early termination can be implemented.
DNB explained that TM did not exercise its right to terminate the contract early, in accordance with the established conditions.
