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Maxis partners with REDtone to launch 4G LTE services

July 16, 2012
Tan Ming Sin


15 July 2012 – Maxis and REDtone have entered into an infrastructure and spectrum sharing agreement today. It will enable both players to roll out their 4G networks services throughout the country.

(From left) Mark Dioguardi, Joint Chief Operating Officer, Maxis Berhad, YM Raja Tan Sri Arshad Bin Raja Tun Uda, Chairman, Maxis Berhad and  Dato’ Wei Chuan Beng, Managing Director, Redtone International Bhd 

Maxis Chief Executive Officer, Sandip Das said, “We have been at the forefront of promoting networks to be shared as we have recently commissioned active network sharing on 3G with U Mobile. Data networks are onerous and have to be built carefully. The demand for data is not disputed, but the inflection point is some time away. Sharing will get REDtone up and running quickly and also fetch adequate returns on our investments, besides conserving spends at a national industry level. We are looking to set a new benchmark in data service quality as this will help us design a more effective infrastructure.”

“The network sharing and alliance agreement with Maxis is a significant development for REDtone as we build on our broadband business. It will help to address REDtone’s rollout obligation to cover 50% of the country’s population. For REDtone to comply with the 50% rollout requirement, our capex would have been RM390 million as is stated in our detailed business plan (DBP). However, this has been mostly replaced by riding on Maxis’ existing infrastructure and leasing the necessary capacity from Maxis” said REDtone Managing Director Dato’ Wei Chuan Beng.

Both parties are looking to launch their 4G LTE services early next year in selected areas of the Klang Valley, with other regions to follow thereafter.

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