5G is expected to represent 84% of total mobile subscriptions in Malaysia by 2029, according to GlobalData
In sum – what you need to know:
5G fuels mobile growth – Malaysia’s mobile services revenue is expected to grow at a 3.5% CAGR through 2029, largely driven by rising mobile data use and wider 5G adoption.
Data usage skyrockets – Average monthly mobile data consumption is expected to more than double, from 21.6 GB in 2024 to 51.9 GB in 2029, fueled by streaming.
Dual era begins – With U Mobile launching Malaysia’s second 5G network, and 82% population coverage already achieved, the country moves beyond the DNB monopoly toward a dual-network model.
Malaysia’s total mobile service revenue is projected to grow at a compound annual growth rate (CAGR) of 3.5%, rising from $5.1 billion in 2024 to $6.1 billion in 2029, according to a recent report by data and analytics firm GlobalData.
The report noted that this increase is chiefly fueled by increased mobile data usage, the expanding adoption of 5G technology and a stronger consumer preference for over-the-top (OTT) communications.
GlobalData’s report highlights that while revenue from mobile voice services will see a 1.1% CAGR decline over the 2024-2029 period—mainly due to users shifting toward OTT platforms and a drop in mobile voice ARPU—revenue from mobile data services is expected to surge at a CAGR of 5.1%. This increase will be mainly driven by the growing number of mobile internet users, higher data consumption and the rising uptake of premium service plans.
Sarwat Zeeshan, telecom analyst at GlobalData, said: “The average monthly mobile data usage in Malaysia is expected to increase from 21.6 GB in 2024 to 51.9 GB in 2029, driven by the growing consumption of online video and social media content over smartphones, thanks to the growing availability and adoption of 5G services and data-centric offers extended by telcos.”
GlobalData noted that until 2024, 4G technology held the largest share of mobile subscriptions in Malaysia. However, 5G is on track to overtake 4G in 2025 and is expected to represent 84% of total mobile subscriptions by 2029. This shift is being propelled by government-backed rollout initiatives and operator investments. As of December 2024, Malaysia had achieved 5G coverage across approximately 82.4% of populated areas.
The rollout of networks is also anticipated to boost machine-to-machine (M2M) and Internet of Things (IoT) adoption, while businesses are beginning to explore new use cases made possible by 5G connectivity, according to GlobalData.
“CelcomDigi led the mobile services market in Malaysia in terms of mobile subscriptions in 2024, followed by Maxis. CelcomDigi will retain its leading position through to 2029, supported by its focus on 5G network expansions and modernization and its wide range of prepaid and postpaid plans with unlimited calls and data allowances,” the analyst added.
In November 2024, the Malaysian Communications and Multimedia Commission (MCMC) gave the approval to deploy the second 5G network to U Mobile, the third-largest operator in the country.
In May 2023, Malaysian authorities had said that the country would shift to a dual 5G network once state-run network Digital Nasional Berhad (DNB) achieved 80% coverage in populated areas, something that occurred in December 2023.
The government of Malaysia had also revoked a previous ministerial direction of 2021, which had designated DNB as the sole entity responsible for Malaysia’s cellular network deployment.
DNB was set up by the Malaysian government in 2021 as a special purpose vehicle to develop the country’s network infrastructure, which private telecommunications firms are currently using to offer 5G services to their customers. DNB’s 5G network was deployed by Ericsson.
As of today, all operators in Malaysia are offering 5G service via DNB.
