Celcom Axiata to spend RM400m to upgrade network

Celcom Axiata to spend RM400m to upgrade network
Business & Markets 2013
Written by Bernama
Thursday, 06 June 2013 16:39


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KUALA LUMPUR (June 6): Celcom Axiata Bhd has allocated more than RM400 million to upgrade and expand its network nationwide in the next 12 to 18 months.

Chief Executive Officer Datuk Seri Shazalli Ramly said this exercise was expected to reduce dropped calls and tackle pocket area and black spots within the next two years.

Speaking to reporters via video conferencing from Kuching, Sarawak, he said the investment, which was part of this year's RM1 billion capital expenditure, would help improve network quality throughout the country.

In this context, he said it had to be a holistic approach and the responsibility does not lie only on the telecommunication providers alone.

He pointed out that most of the time, getting into new areas and new sites could be quite difficult as they are held up by local councils, residential councils and the like.

"So I think as an industry, we need to come together as quickly as possible to manage the network quality as we progress further in expanding the network into other areas as well," Shazalli said.

To date, there are 7,223 2G sites and 6,482 3G sites nationwide.

In March, the Malaysian Communications and Multimedia Commission (MCMC) slapped DiGi Telecommunications Sdn Bhd, Celcom Axiata and Maxis Mobile Services Sdn Bhd with compounds totalling RM190,000 for breaching their licence conditions, notably on complaints from the public concerning dropped calls.

On 4G long-term evolution (LTE) roll-out, Shazalli said the company planned to build 1,200 LTE sites by February 2014.

For this exercise, it will spend RM420 million, to cover 33 districts that have been identified.

"About 315 sites will be completed by third quarter of this year. Of the total 1,200 sites, 120 sites will be located in Sarawak," he said.

Apart from that, Shazalli said the company was also looking at rejuvenating the short message service (SMS) segment.

"SMS has never been harnessed totally. Only 35 per cent of our network is covered by smartphones, there is the remaining 65 per cent out there who are still using feature phones," he said.

The company planned to launch several products in the second half of this year that would be accompanied fundamentally on the SMS TECHNOLOGY [], to tap on its potential growth, he said.