Making the merger work

On Monday, Celcom and Digi’s parent companies – Axiata Group Bhd and Norway’s Telenor ASA – announced they signed a transaction agreement to create Celcom Digi Bhd (CDB).

PETALING JAYA: One of the biggest mergers in South-East Asia’s telecoms industry is in the works between Celcom Axiata Bhd and Digi.com Bhd. But will it really help spur more competition for better customer experience or stifle it since the enlarged entity will control nearly 50% of the mobile subscriber market share.

It leaves a large gap for others – in this case – Maxis Bhd and U Mobile, with only 28% and 19% market share respectively, to catch up. Celcom and Digi have 22% and 26% market share respectively.