KUALA LUMPUR (Feb 20): Malaysia’s second 5G network is expected to improve service affordability, accelerate network investment, and unlock new opportunities for enterprise services and innovation, an industry body said on Thursday.

The government’s transition to a dual network from single wholesale network signals a shift towards a more market-driven landscape, at a time when subscriber growth and enterprise integration have slowed, even as 5G penetration reached 40% of mobile subscribers, GSMA said in a statement.

“Importantly, this approach will create a fertile environment for new services, partnerships, and business models, accelerating Malaysia’s transition to a vibrant digital economy,” GSMA said.

GSMA, an association that represents more than 750 global telecommunication companies, including Malaysian mobile network operators, have long opposed single wholesale networks.

The association, headquartered in the UK, frequently pointed to failures of single wholesale networks ranging from delays in rollout to low speeds in other countries, and broadly argued that the model stifles competition and industry innovation.

“GSMA applauds the Malaysian government for its forward-thinking decision to introduce a second 5G network,” said Julian Gorman, the association’s head of Asia Pacific. “This move reinforces Malaysia’s commitment to fostering a competitive, investment-friendly telecoms sector.”

A dual network model will strengthen network resilience, enhance consumer choice, and fuel economic growth, GSMA stressed, citing findings from its research arm’s latest report, “Tapping the Untapped: Malaysia 5G and the Tech Economy”.

“By embracing this approach, Malaysia joins leading 5G markets, where competition has driven better connectivity outcomes,” the association added.