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,Celcom digi merger pg one

PETALING JAYA: The proposed Celcom-Digi merger passed one of its biggest hurdles in securing the regulator’s approval for the creation of South-East Asia’s biggest telecoms company that will have control of half of Malaysia’s mobile subscribers.

But its creation also raises questions about fair competition, job cuts and there are suggestions that its approval could even be sweetener for the players to agree to take up 5G access.

The “no objection’’ notice from the regulator, Malaysian Communications and Multimedia Commission (MCMC), was secured yesterday after a second attempt by Axiata Group Bhd and Norwegian-Telenor ASA to merge their mobile units.

Axiata’s Celcom Axiata Bhd and Telenor’s Digi.com Bhd will merge to create Celcom Digi Bhd (merged entity), which will remain listed on Bursa Malaysia.

This approval also signals the industry consolidation from a big-four (Celcom, Digi, Maxis Bhd and U Mobile) mobile player landscape to two.

The question going forward is will Maxis Bhd, the biggest player by revenue market share as at first quarter 2022 at 38%, or even U Mobile consider a merger.

Size is relevant in a changing landscape more so in a 5G environment where none of the players will have their own 5G mobile networks and the reliance is on external access.

Experts believe the way to compete is with product differentiation and a big subscriber base helps.

“We also want to know that with the creation of a huge player that controls the mobile market space, will consumer protection in terms of pricing and product quality be rigidly monitored? Will the regulator ensure fair competition for the industry to grow?,’’ asked a telecoms executive.

Experts believe that with the “go ahead’’, there is nothing stopping the merged entity to venture across the region, especially in Indonesia where Axiata has a unit. Telenor has been eyeing the region’s most populous country for a long time.

The executive also pointed out the possibility of job cuts, given a merged entity may not need so many people and repetitive roles may be dropped in the new company structure.

Celcom has about 2,500 employees and Digi over 1,400. When combined, it is over 3,900 people.

“It is worrying, especially at this time when the world is headed for a recession and locally, inflation pressures are looming. Some form of job guarantee is necessary to allay fears,’’ he added.

However, at the point of the announcement on June 21, 2021, both Axiata and Telenor reiterated “their commitment to protect employee welfare with no forced retrenchments’’.

  • 足球情报分析(www.99cx.vip) @回复Ta

    2022-07-06 00:04:20 

    KUALA LUMPUR: MyNews Holdings Bhd posted a net loss of RM10.22mil in the second quarter ended April 30, against a net loss of RM10.32mil in the same period last year.当代冰心

  • 澳5(www.a55555.net) @回复Ta

    2022-07-15 00:01:21 

    家栋忆述受伤经由说:「现在的导演真是好,不会叫停机,那时我的额头已很痛,但仍继续演下去,拍完就额头流血,由于现场是疏弃旧屋,环境邋遢,怕有细菌熏染,以是去了医院缝10针,对男子来说是小事,男子总要有些疤痕!医生给我7天病假。导演说很锺意我受伤时拍摄那一节,我说固然啦,是我用血肉换回来!」没看的都来啊

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