The European Union and the U.S. had previously warned Malaysia of risks to national security if it allowed Huawei to take part in local 5G networks
Malaysia Prime Minister Anwar Ibrahim said that the adoption of a dual 5G network scheme by the country from 2024 would allow for more participation of Chinese vendor Huawei, according to a report by Reuters.
In May, the Malaysian government confirmed it would allow the deployment of a second 5G network in the country with the aim of breaking a current monopoly held by a single state-run network.
The European Union and the U.S. had previously warned Malaysia of risks to national security if it allowed Huawei to take part in local 5G networks.
Anwar acknowledged concerns from some countries over the security of Chinese technology but said the decision to allow a second 5G network was made so that Malaysia could benefit from different technologies.
“We in Malaysia… and I believe rightly, decided that while we get the best from the West, we also should benefit the best from the East,” he said. “After extensive discussion… we made the decision to allow for a dual network, and thus the decision for more effective participation by Huawei,” he added.
According to previous report, Huawei had been lobbying to take part in the future rollout of 5G network infrastructure in Malaysia.
Digital Nasional Berhad (DNB) was set up by the Malaysian government in 2021 as a special purpose vehicle to develop the country’s 5G network infrastructure, which private telecommunications firms would use to offer 5G services to their customers. DNB partnered with Swedish telecoms giant Ericsson to roll out Malaysia’s 5G network.
Local operators are currently providing 5G services across Malaysia via DNB’s 5G network infrastructure.
However, Malaysia’s 5G roll-out by DNB had raised concerns over pricing and transparency, as well as worries that a single state-run 5G network would result in a nationalized monopoly.
Due to these concerns, the new Malaysian government decided to review the rollout of the national 5G network.
Malaysia’s Communications and Digital Minister Fahmi Fadzil previously said that DNB will continue to roll out 5G network infrastructure in the country until 80% coverage is achieved by the end of 2023. The Malaysian government also confirmed that DNB will be taken over by a private entity once it achieves its 5G population coverage target.
