[COLUMNIST] Malaysias 5G Dilemma: A High-Speed Tightrope Act

KUALA LUMPUR: In the intricate tapestry of global telecommunications, the introduction of 5G networks represents not just a technological leap but a geopolitical manoeuvre.

As nations grapple with the challenges and promises of this new frontier, Malaysia finds itself at a pivotal juncture, contemplating the merits of a second 5G network. This decision, while seemingly technical, is imbued with broader socio-economic and geopolitical implications.

Of course, the optimism surrounding a second 5G network in Malaysia is not unfounded. Proponents, including notable figures like Assoc Prof Ooi Boon Yaik, argue that such a move would usher in a new era of competitive dynamism.

The South Korean experience, marked by rapid 5G adoption facilitated by multiple providers, lends credence to this perspective.

Despite that, the American narrative offers a cautionary tale. Although there is a plethora of providers, uniform 5G coverage remains elusive across the vast American landscape. The crux, it appears, lies not in the sheer number of providers but in the strategic depth and infrastructural robustness underpinning their efforts.

Beyond the realm of mere communication, the 5G revolution promises to redefine sectors as diverse as healthcare and transportation. Sweden's foray into 5G-enabled health solutions, spearheaded by giants like Ericsson, paints a tantalizing picture of the future.

Remote surgeries, once the stuff of science fiction, are inching closer to reality. For Malaysia, the stakes are much higher. A second network, if executed with careful precision, could be the linchpin for such groundbreaking applications. However, any missteps risk fragmenting the market, diluting the very essence of 5G's promise.

The voice of caution, embodied by experts like Fong Choong Fook, is rooted in a pragmatic assessment of market readiness.

Drawing parallels with India's cautious 5G trajectory, underscored by infrastructural and economic challenges, the message is clear: market maturity cannot be bypassed for the sake of technological exuberance.

Yet, the debate transcends mere market dynamics. The Australian telecom saga, marked by fierce competition, subsequent consolidation, and market recalibration, serves as a testament to the intricate dance between commercial interests and practical outcomes.

Historical precedents, like Japan's early mobile communication standards, offer invaluable lessons. Technological insularity, while fostering local innovations, can also impede access to global advancements.

Malaysia's 5G decision must be informed by such global narratives, ensuring that technological progress does not inadvertently lead to market isolation.

In the broader geopolitical arena, the 5G discourse is inextricably linked with power dynamics and strategic alliances.

The U.S.-China technological rivalry, with Huawei at its epicentre, has reverberated across continents. Nations, from the UK to Germany, find themselves navigating this complex web, balancing technological aspirations with diplomatic considerations.

The myth that competition invariably breeds innovation has been debunked by several global examples.

The Beta vs. VHS war in the 1980s is a classic case. Despite the superior quality of Betamax, VHS won the market, not because of innovation but due to better marketing and business strategies.

Similarly, the intense competition among early social media platforms did not necessarily lead to better platforms but rather a monopoly where only a few survived.

The dot-com bubble of the late 1990s and early 2000s further illustrates how fierce competition led to a glut of similar services, many of which lacked a sustainable business model, leading to a massive market crash.

As Malaysia stands at the 5G crossroads, the path forward demands more than technological acumen.

It calls for a holistic vision, one that harmoniously blends market insights, global experiences, and geopolitical foresight. In this intricate global dance of progress and power, Malaysia's choices will undoubtedly resonate far beyond its shores.

By deliberating these considerations, there is a clarion call for the Malaysian government: Review the decision to introduce a second 5G network. While the allure of competition and progress is tempting, it is essential to ensure that such moves align with the nation's broader interests, both technological and geopolitical.

The stakes are high, and the repercussions of this decision will shape Malaysia's digital future for decades to come.

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* Ahmad Zaim Ahmad Tawfek used to assist a few Ministers in shaping the right and progressive economic, youth and foreign policies for Malaysia.

** The views and opinions expressed in this article are those of the author(s) and do not necessarily reflect the position of Astro AWANI.