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MCMC claims government initiative to reduce broadband prices is ‘on track’

4 Oct 2018

A government initiative designed to reduce fixed broadband prices while increasing speeds at the same time is ‘on track’, according to the Malaysian Communications and Multimedia Commission (MCMC). In a press release the regulator said that all of what it referred to as the nation’s ‘key telcos’ – namely, Telekom Malaysia, Maxis, Time dotCom and Celcom – have reached agreements that will result in the reduction of prices for fixed broadband services. The move comes in the wake of the MCMC issuing its ‘Mandatory Standard Access Pricing’ (‘MSAP’), which came into effect on 1 January 2018 and was fully implemented by 8 June. Per the MSAP, all Malaysian telcos were required to submit access agreements to the MCMC by 31 August with a view to reducing fixed broadband prices. The deadline was subsequently extended to 30 September, however, due to the implementation of the Sales and Service Tax (SST) on 1 September, which the watchdog reported had an impact on the pricing of broadband services.

With all of the major providers now having submitted their access agreements, the MCMC noted that some ‘have already rolled out packages which have seen prices being lowered and increased speeds well before 30 September 2018’. Looking ahead, the regulator said it ‘expects to make [an] announcement on reduced prices for fixed broadband in the immediate future’.

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