Malaysian mobile network operator U Mobile has tapped Telekom Malaysia (TM) as a fiber backhaul partner for the deployment of its 5G mobile network.

The agreement is worth RM2.4billion ($568.7 million) for a total of 10 years.

U Mobile is looking to build Malaysia's second 5G network, rivaling the first built by DNB under the country's previous government.

Earlier this year, U Mobile chairman Tan Sri Vincent Tan Chee Yioun outlined plans to complete the 5G network rollout by mid-2026. He noted at the time that the company would not need any additional backing from the government or new partners.

The partnership will see TM provide backhaul infrastructure services, including fiber leased line access to U Mobile’s 5G Radio Access Network (RAN), data center, and TM Edge Facility leasing for Points of Interconnect (POIs), plus trunk leased line for inter-regional connectivity.

TM's fiber footprint spans more than 740,000km nationwide.

"Together with TM and other partners, we are committed to reaching 80 percent coverage of populated areas within 12 months, while ensuring a superior 5G experience that is highly reliable, supports massive capacity, and delivers ultra-fast speeds to benefit enterprises and consumers across Malaysia,” said Wong Heang Tuck, CEO of U Mobile.

Earlier this month, U Mobile divested its 100,000 shares in the shared 5G network for RM100,000 (US$23,113) to fellow shareholders CelcomDigi, Maxis, YTL, and the Ministry of Finance (MOF).

TM was also previously a stakeholder in DNB, but saw its equity cut last year. Launched in 2021, DNB has seen its network heavily scrutinized by Prime Minister Ibrahim's administration over claims of transparency issues. This led Ibrahim's administration to review DNB's plan for a state-owned 5G network, with DNB quite clear that it was to be the only 5G network in the country.

U Mobile has selected Chinese vendors Huawei and ZTE as network technology partners for its 5G network, a stark contrast to DNB, which opted for Ericsson.