Tuesday, August 24, 2004

Serving Sabah & Sarawak

Telekom Malaysia Bhd is expected to invest RM200-RM300 million on equipment and services to provide Internet coverage and telephony services to the country’s under-served areas in Sabah and Sarawak, sources tell FinancialDaily. Telekom has called for a “tender to supply, deliver, install, testing and commissioning of code division multiple access (CDMA) and its associated equipment".

Telekom’s business has seen flat growth in the maturing fixed-line segment, while growth has been seen in the cellular services.

Its unit TM Net Sdn Bhd is expected to benefit from the investment in the rural areas as it will boost its services to other untapped areas, thereby increasing its Internet subscriber base.

In May, TM Net said it expected its broadband subscribers to increase almost 100% to 300,000 subscribers by year-end from 160,000 currently.

TM Net said it received about 15,000 new applications monthly for its broadband services. Telekom has about 90,000 payphone units across the nation.