YTL Communications Sdn Bhd, a 60%-owned unit of YTL Power International Bhd, has been appointed by Railway Assets Corp (RAC) to develop fibre optic infrastructure along 1,600km of railway track from Perlis to Johor, and Kelantan. This followed RAC’s request for proposals in 2023, said RAC in a statement.
This is part of a broader initiative by the Malaysian government to liberalise the development of telecommunications infrastructure along RAC’s rail corridors to licensed telecommunications industry players. The move would break the current monopoly by Fiberail Sdn Bhd which holds the exclusive right to install fibre optics along all railway routes.
Fiberail is 53.99%-owned by Telekom Malaysia Bhd, 35.99% by Keretapi Tanah Melayu Bhd (KTM), while 10.01% is owned by Petrofibre Network (M) Sdn Bhd. The liberalisation will not affect existing exclusive rights held by Fiberail via a Wayleave agreement with KTM which is effective until 2032, said the statement.
The infrastructure will be the backbone to national digital connectivity, in line with the National Broadband Plan and the National Digital Network or Jendela.