Celcom and Telekom Malaysia have signed an agreement that will see Celcom leasing part of TM’s network. The Memorandum of Understanding was signed to allow Celcom to increase its fibre-optic network coverage using infrastructure provided by TM Next-Gen Backhaul (TMNGB) services, while also providing a robust backhaul network for its LTE network.
TM will continue to support Celcom’s transmission requirements, whilst enabling Celcom to optimise cost and efficiently utilise its infrastructure. This collaboration will avoid duplicating network infrastructure in the country, which is more cost effective for Celcom. The agreement adds additional Celcom LTE sites across Malaysia, with a special focus for Putrajaya, Klang Valley, Johor Bahru, Pahang, Terengganu and Kelantan.
Celcom already has a network infrastructure sharing agreement TMNGB to utilise its bandwidth to cater for the increasing demand from customers. This new agreement appears to be a the second phase of the plan for Celcom’s LTE expansion plans.
This collaboration was made in adherence to the requirement by the Malaysian Communications and Multimedia Commission (MCMC) for service providers in the country to have a robust backhaul network for LTE rollout and fiberised, within a two-year timeline. The government has called for greater industry partnerships, while promoting healthy competition among the telcos.