Here're more insights for the previous HSBB contract awarded by our Government MCMC Dept.
Source of article taken from
Malaysia Alternative Voices.
http://malaysiavoices.blogspot.nl/2008/09/rm-11.htmlThere were actually 3 proposals which got to the final stage of consideration before the Government insisted on awarding the RM11.3billion HSBB project to TM and taking out RM2.4billion to subsidize the project from tax payers money.
The
3 proposals were:
1) TM with its HSBB DraftFunding source: Private with RM2.4billion subsidy from Government. TM owns and operate the entire network and they can choose to sell wholesale services to other ISPs.
2) HSBT DraftFunding source: Totally private with Pahang government having a 20% stake in HSBT via its wholly owned subsidiary, Pahang Technology Resources. Main source of funding would be its strategic partners, while the rest would be raised from sukuk and other forms of funding.
3) Jaring's then CEO Dr Mohamed Awang Lah Draft Establishing a neutral infrastructure company that owns a fiber optic backbone network throughout the country that will cut the total HSBB cost by 80% savings.
This is pretty much a "FTTN" network which wire up fibre optic to streets and then ISPs can lease them for their own FTTC/FTTB cabinets, LTE wireless base stations, or last mile FTTH etc. ISPs can save on laying their own fibre optic network throughout the country only for their own sole use. This is what Time is doing to bring their FTTh netowkr to multi dwelling buildings.
Funding source:
Can be private or government funded tapping from the USP fund.
Eventually, both 2nd and 3rd suggestions were ignored and lost their bid to Option 1 from TM.
The HSBT tender lost on the basis that it was introduced late to the table but as you know, they came out with a plan which could save the government RM2.4billion. Should they be given a chance?
That's RM2.4billion couldn't it justify for just a late entry, that's plenty of money to be saved!
As for Jaring's CEO suggestion, his idea was also shoved into the bin for the basis that it couldn't gave a steady income stream for the TM monopoly. TM argued that they were the best player to own and operate the public network and they can always sell wholesale services to other ISPS.
So, what's stopping the second proposal from proceeding since it's completely privately funded?