5G: Southeast Asia favours Samsung, unsure of Chinese tech brands

A consortium of carriers would be given airwaves from April this year, allowing for an environment of “coexistence and interoperability” among operators, said Al-Ishsal Ishak, the chairman of Malaysia’s Communications and Multimedia Commission (MCMC).

“The telcos have been our partners. They will continue to invest in 4G … but 5G will coexist. We are doing it in parallel,” he said.

Tech experts have lauded Malaysia’s strategy for avoiding unnecessary duplication of resources, particularly as domestic telecoms operators endure declining margins in a saturated market.

“A dedicated spectrum for 5G instead of other services – such as dedicating the C-band which in the Asean region is also used for fixed satellite services – implies that, incrementally, the nation is taking steps towards a fully connected 5G network,”said Farlina Said, an analyst with Malaysia’s Institute of Strategic and International Studies’ Foreign Policy and Security division.

5G in Malaysia was being touted as a gateway to leverage on an industrial revolution fuelled by computing prowess, artificial intelligence and hyperconnectivity through the Internet of Things, she said, adding that privacy and security concerns could not be overlooked.

“The 5G network, said to have greater advantages such as network slicing and service-based architecture, means that there would be a lot of data that would be managed by builders of the 5G core. That the concerns do fracture along geostrategic lines as security concerns – articulated through conversations such as the US’ response to Britain’s decision to use Huawei equipment in the 5G networks – would indicate potential complications to intelligence-sharing alliances, particularly if information networks are seen as the theatre of operations,” she said, describing it as a balancing act between economic development and cybersecurity capabilities.

On Wednesday, the European Union issued a set of guidelines on tech from high-risk suppliers to mitigate risk, although it stopped short of issuing a blanket ban on Huawei despite saying that companies based in non-democratic countries could be excluded from the procurement of certain core components, following assessments by security agencies.

Malaysia, on the other hand, has defended Huawei. Mahathir last year accused Western nations of hypocrisy in their concerns and dismissed the prospect of his country joining the US and its allies in banning government purchases of Huawei products.

Mahathir said he was “quite sure for a long time, the CIA has been reporting on everything that is done in Malaysia and China. We did not carry out a boycott of America because of that”.,

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Tech experts have underlined the importance of security as 5G is being implemented.

“To date, there has not been consensus from the Five Eye nations, as the United Kingdom and Canada have yet to rule out using Huawei, and it has been reported that New Zealand could be relaxing its stance,” he said. “Malaysia will adopt a position with the majority.”

This week, British Prime Minister Boris Johnson ended months of dithering by his country when he decided – in the face of US pressure – that Huawei would be allowed a “limited role” in building Britain’s 5G network.

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Shamir said it was vital for Malaysian firms to invest in cybersecurity infrastructure. “It is essential that a robust cybersecurity framework is in place, as 5G will drive digital transformation in enterprises, power the Digital Economy and provide a critical core infrastructure for Industry 4.0,” he said.

“Operators need to ramp up investment in cybersecurity technology, processes and people. A telecom operator’s compromised security can have countrywide, and even global, consequences. As networks become more complex with numerous partnerships, there is a need for strategic planning and implementation of security, with clear accountability defined for each party.”

The government has identified nine areas of focus for 5G technology use, including agriculture, education, smart cities and health care. The Langkawi Trials involved telco players and their partners testing their 5G capabilities and refining the technology to ensure a more efficient nationwide roll-out “when we are ready”, said deputy trade and industry minister Ong Kian Ming.

His ministry is keenly monitoring the impact on manufacturing.

“We’re pretty excited to see how the roll-out of 5G can complement the move towards [industry] best practices, including for pillars such as big data and the internet of things,” said Ong, adding that cybersecurity concerns would be addressed.

Another key sector was agriculture, said MCMC chairman Al-Ishsal, suggesting that 5G could attract younger people to a sector often regarded as too demanding.

Malaysia’s agriculture sector contributed 99.5 billion ringgit to the nation’s GDP in 2018, with palm oil the sector’s major contributor at 37.9 per cent.

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5G will also be used to improve access to education in rural areas, enabling teachers in urban areas to “phone in” to underserved schools. It is also envisioned that virtual reality could be used to give students a more hands-on approach to learning. For instance, a digital learning initiative by communications service provider Maxis’ “E-Kelas” would enable students to virtually explore the different parts of the human body or animal cells. Gokhan Ogut, Maxis’ chief executive officer, said digital inclusion was important and Maxis wanted to do its part to “ensure the benefits of technology were realised by all”.

Currently, only 8.2 per cent of Malaysian households are connected to fixed broadband – compared to 26.1 per cent in neighbouring Singapore – while nearly 75 per cent of businesses have fixed connections. However, mobile broadband penetration is at 121.6 per cent, with about 82 per cent 4G coverage. ■