YTL Communications, a prominent Malaysian mobile network provider, has secured a contract to deploy a 1,600km fiber optic network along Malaysia’s railways, from Perlis to Johor and Kelantan. This is reported by the railway transport news portal Railway Supply.

YTL Communications, a prominent Malaysian mobile network provider, has secured a contract to deploy a 1,600km fiber optic network along Malaysia’s railways, from Perlis to Johor and Kelantan
Source, photo: www.datacenterdynamics.com

The Railway Assets Corporation (RAC) announced the award of the contract this week, which is part of Malaysia’s efforts under the National Broadband Plan and the National Digital Network (Jendela).

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This initiative aims to enhance the country’s digital connectivity by using railway tracks to strengthen the backbone of Malaysia’s broadband network.

The Impact of the Fiber Optic Network on Malaysia

The decision to award YTL Communications with the contract will significantly improve Malaysia’s digital infrastructure. By utilizing railway assets for fiber deployment, the country hopes to boost nationwide connectivity. This strategic move comes as a response to the growing demand for high-speed internet and digital services across Malaysia.

RAC’s choice to award the project to YTL marks the end of Telekom Malaysia’s long-standing fiber monopoly. Telekom’s Fiberail, which operates a 5,500km fiber optic network, had previously dominated the market. However, RAC’s contract with YTL brings new opportunities for competition and expansion in Malaysia’s telecommunications sector.

Malaysia’s Broadband Growth and Future Potential

Transport Minister Anthony Loke Siew Fook highlighted that YTL Communications was chosen for their proposal, which offered the highest returns to RAC. However, Loke emphasized that there would be no exclusivity. “We will continue to consider other providers to ensure the broadest possible deployment of fiber optic networks,” he said, as reported by Malay Mail.

The new wayleave agreement with YTL will not affect the exclusive rights currently held by Fiberail under a separate agreement with Keretapi Tanah Melayu (KTM), the railway operator. This agreement with Fiberail remains valid until 2032. Moreover, KTM holds a 35.99 percent stake in Fiberail, ensuring continued involvement in the fiber optic network.

This new project will pave the way for further growth in Malaysia’s broadband sector, creating better opportunities for digital services and improving overall communications infrastructure across the nation.

Source, photo: www.datacenterdynamics.com

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