Mobile phone users in Malaysia are not planning to upgrade from 4G anytime soon, despite mobile network providers actively promoting affordable 5G network data plans, according to a survey conducted by FMT.
Dr. Renushah Devi Vickneshwaran stated that she didn’t need 5G’s high internet speed for her day-to-day activities, as her phone usage mainly involves making calls, messaging, and light internet browsing.
She expressed that she had no intention of paying more than her current RM110 for 50GB of data each month.
Ng Hock Soon, the owner of an outdoor recreational equipment retail shop, shared a similar sentiment. He didn’t see the need for 5G, as the 4G network sufficed for his requirements. His network plan was based on his internet usage, and he didn’t utilise technology that demanded ultra-high-speed internet.
FMT observed that only one person was using the 5G network. College student Ahmad Badzly Idraki Zamri, aged 19, acknowledged that 5G made downloading large files and editing videos more efficient.
The interviewees generally regarded 5G as a mere improvement in connection speed and seemed unaware of other essential features like real-time connection capabilities and energy-saving options.
As of the end of September, Communications and Digital Minister Fahmi Fadzil disclosed that Malaysia’s 5G adoption rate remained low at 7.4%, despite network coverage reaching 70.2%, with approximately 2.5 million mobile users subscribing to the 5G network.
The ministry was reportedly collaborating with telcos and Samsung to offer affordable 5G devices to Malaysians.
To entice people to use 5G, the government introduced the 5G Rahmah package, including a device priced as low as RM240 and a 60GB data plan at RM60 per month.
No apps took full advantage of 5G
Former deputy international trade and industry minister, Ong Kian Ming, attributed the low public adoption of the 5G network to the absence of “killer apps.”
He suggested that if 5G phones had apps that were essential for virtual reality-related software in popular games or for live sports events streaming, the demand for 5G phones would increase.
Julian Gorman, the Asia-Pacific head of the UK-based Global System for Mobile Communications Association (GSMA), recommended that the government should conduct market research to gain insights into the factors influencing consumer and business decisions regarding mobile phone usage. This research would be crucial for boosting the 5G network’s adoption rate.
Gorman also noted that in other markets, there is no statistical correlation between adoption and population coverage, except for having a larger addressable market. Key drivers for usage include affordability and awareness.
