CelcomDigi has paid RM381.75 million for additional 900MHz and 2600MHz mobile spectrum, giving Malaysia's largest mobile operator more capacity in cities and stronger low-band coverage nationwide.
The company's wholly owned CelcomDigi Telecommunications unit accepted the Malaysian Communications and Multimedia Commission's award and paid the full price component on Thursday, according to Bernama.
The allocation arrives as Malaysia's digital infrastructure expands. BullBuzz has reported on the country's RM476.8 billion digital economy and RM225.97 billion data-centre pipeline. Mobile-network investment is the consumer-facing side of the same connectivity buildout.
CelcomDigi Spectrum Award Covers Two Bands
The award comprises 2x20MHz in the 2600MHz band for four years and 2x5MHz in the 900MHz band for five years. MCMC issued the application information package on August 14.
CelcomDigi said the 2600MHz allocation will create a contiguous 2x40MHz holding in that band. Adjacent frequency blocks can be used more efficiently than fragmented holdings, subject to the operator's network equipment, site configuration and deployment plan.
The additional 900MHz block serves a different purpose. Lower-frequency signals generally travel farther and penetrate buildings more effectively, which can support wider rural reach and better indoor coverage.
What RM381.75 Million Buys the Network
CelcomDigi expects the added spectrum to improve capital-expenditure efficiency, network capacity and service quality. Lowyat.NET, citing the company announcement, reported that the allocation is intended to meet rising demand for reliable mobile connectivity.
The payment grants rights to use the assigned frequencies for fixed periods. It does not by itself build new towers, install radios or guarantee an immediate speed increase for customers.
Network performance will still depend on:
- Deployment timing: when CelcomDigi activates the new frequencies at individual sites.
- Device support: whether customer phones can use the relevant bands and carrier combinations.
- Backhaul capacity: the fibre and transmission links connecting mobile sites to the wider network.
- Local demand: the number of users sharing capacity in each coverage area.
Maxis Also Accepts a 2600MHz Award
CelcomDigi was not the only operator to secure more spectrum. Bernama reported that Maxis accepted 2x10MHz in the 2600MHz band for four years, with a RM203 million upfront fee and annual fees totalling RM84 million across the assignment period.
The combined announcements show MCMC allocating more mid-band capacity to established operators as mobile-data use grows. The regulator maintains official assignment registers for the 900MHz band and 2600MHz band.
Why the Spectrum Deal Matters for Malaysia
Mobile capacity affects digital payments, cloud services, remote work and access to online platforms. CelcomDigi's scale makes its spectrum position relevant to households and businesses across the country, although the customer impact will vary by location.
The investment also adds to the capital commitments facing Malaysia's communications and computing sectors. Data-centre developers are being asked to fund project-specific transmission upgrades, as BullBuzz's report on Malaysia's new grid-cost policy explained. Telecom operators face a parallel task: paying for spectrum while continuing to finance network integration and upgrades.
MalaysianWireless calculated that the latest award lifts CelcomDigi's directly assigned holdings across four main mobile bands to 240MHz. The publication also noted that CelcomDigi completed spectrum-surrender obligations tied to the 2022 merger.
What Customers and Investors Should Watch
- Activation dates: CelcomDigi has not detailed when the new frequencies will go live.
- Coverage claims: measurable changes in indoor and rural service after 900MHz deployment.
- Capacity gains: performance in congested urban areas using the wider 2600MHz block.
- Capital spending: how the spectrum payment and network rollout affect cash flow and investment guidance.
The award gives CelcomDigi more radio capacity and a cleaner 2600MHz position. The next test is how quickly that spectrum becomes a visible improvement in coverage, reliability and mobile-data performance.
Image note: CelcomDigi's headquarters in Petaling Jaya. This entity photograph illustrates the company and does not depict the regulatory filing or spectrum-assignment process. Source image via Lowyat.NET.