TM said the agreement with Internet service providers and other parties looking to subscribe to TM’s RAO for wholesale pricing will subsequently benefit their retail end-users.
PETALING JAYA: Telekom Malaysia Bhd
(TM) says it is in active engagement with access seekers to reach an agreement following the release of its new reference access offer (RAO), which outlines the wholesale pricing of its high-speed broadband network.
The telecommunications company said the adoption of the mandatory standard on access pricing (MSAP) for the wholesale rate, expected to begin this September, will encourage service providers to offer better Internet packages.
“Upon TM’s announcement of the improved RAO wholesale broadband rates on July 28, we have been engaging access seekers to reach an agreement that meets their needs.
“Given the positive improvement on the new wholesale rate, we are hopeful that this will encourage access seekers to offer better Internet packages in the market, as stated by Communications and Digital Minister Fahmi Fadzil,” it told Bernama.
TM said the agreement with Internet service providers and other parties looking to subscribe to TM’s RAO for wholesale pricing will subsequently benefit their retail end-users.
“As of now, details on the offerings are a bit premature for us to reveal and will be announced in due course,” it added.
On Monday, Fahmi reaffirmed that Internet prices are expected to be cheaper when the MSAP is adopted, which would lead to a reduction in Internet wholesale prices and cheaper packages.
He also noted that a new policy of “where there is a road, there will be Internet” will be introduced to ensure that people will have wider Internet access.
On July 11, the Malaysian Communications and Multimedia Commission, the regulatory body that issued the MSAP, said a cut in retail prices for fixed broadband services based on the MSAP could only be implemented after the access agreement has been signed among service providers.
For its first quarter ended March 31, 2023 TM’s net profit dipped to RM330mil from RM340mil in the previous corresponding period, while revenue improved to RM2.95bil from RM2.89bil.
