Malaysian mobile operator Maxis Bhd, announced it will sign an agreement to use the nation’s state-run 5G network.
In an unusual move, Malaysia will charge wireless carriers to access the 5G spectrum, which is completely held by the state-run Digital Nasional Berhad, instead of distributing spectrum to them.
Earlier, Maxis and a few other carriers asked for a review of DNB’s pricing arrangements, claiming that they were not commercially viable and may result in higher costs for users and slower adoption rates.
As the access agreement served its best interests and there were no other 5G options, Maxis said in a statement late on Friday that it was prepared to sign.
“(As of today), there is no alternative wholesale network providers undertaking the deployment of 5G infrastructure and network,” Maxis said.
For the access arrangement, the business anticipates operational costs of around 360 million ringgit ($79.59 million) annually.
In response to complaints over pricing, DNB has defended itself by stating that it will charge operators less to access its 5G network than their 4G expenses. Additionally, it was stated that strict criteria would be implemented by the communications authority to guarantee fair pricing and a seamless launch.