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Malaysia Budget 2014: ICT industry reactions

AvantiKumar | Oct. 28, 2013
[UPDATED] Malaysia's ICT industry leaders generally welcome the proposals to ramp up internet connectivity and foster human talent as well as encourage overall 'resilient economic growth.'

David Wong, Outsourcing Malaysia Chairman 3a modified

Commenting on the HSBB initiatives, David Wong, chairman of Outsourcing Malaysia (OM), [pic] an initiative under PIKOM, said, "Malaysia has the highest 'infrastructure availability' worldwide ranking at 32nd spot amongst all outsourcing countries compared to India ranked 84 - with connectivity, electricity supply and Internet penetration per population at the highest scores."

"With HSBB reaching out to the suburban areas, this move will generate a bigger economic impact on the overall with the development of new businesses and jobs in these areas which eventually meets the government's agenda towards a high income nation by 2020," said Wong.

"It is a timely move by the government as the way we communicate and do business will help to drive Malaysia's efficiency, better education, health services industries and in general to all in the service industry," he said. "The increase of internet speed to 10 Mbps is also a great move as the impact will result in the better and faster delivery of content which directly affects the e-commerce, cloud and datacentre service providers."

Irving Tan_Vice President_Cisco ASEAN 

Networking solutions provider Cisco's vice president for Asean, Irving Tan [pic] said Budget 2014 was another key step to transforming Malaysia into a developed economy especially with HSBB2.  "The focus on increasing accessibility in Sabah, Sarawak and rural areas will be the critical step in taking traditional businesses into future as they increase their service offerings and addressable markets; online and offline."
"Connected the unconnected and the provision of a high speed broadband is the foundation for increasing productivity, efficiency and competitive advantage for business, and even government agencies as they engage with citizens," said Tan.

Chiew Kok Hin [pic below], chairman of non-profit MyIX (Malaysia Internet Exchange), operated by Persatuan Pengendali Internet Malaysia and initiated by the national regulator MCMC [Malaysian Communications & Multimedia Commission], commented on the prime minister's announcement of the increase of internet speeds.

"The speed announced for the suburban and rural areas are sufficient especially where the exposure to the internet is new and will take time to see increase in usage," said Chiew. "However, 10 Mbps for the urban areas is rather low as the internet consumption of our urban population is closer to a developed country whereby the minimum offering of 50mbps is common and 10mbps is therefore no longer sufficient to meet the demands of urbanites."

"The plan for underwater cables for Sabah and Sarawak however is commendable as this will help position Malaysia as a regional gateway to the world," he said. "In layman terms, this is like building a highway across the South China Sea to facilitate the increasing demand from East Malaysia. Also, the construction of 1000 telecommunication transmission towers should help a faster rollout of LTE and 3G services and is welcome by both consumers and businesses."


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