CelcomDigi and Maxis pay $144m for 900 MHz and 2.6 GHz spectrum

Malaysia's MCMC has assigned spectrum in the 900 MHz and 2.6 GHz bands to CelcomDigi and Maxis for a combined MYR 584.75 million ($144.4 million), deepening the two operators' grip on the country's mobile market just weeks after they took control of wholesale 5G vehicle DNB.

CelcomDigi paid MYR 381.75 million ($94.3 million) for 2 x 20 MHz in the 2.6 GHz band and 2 x 5 MHz at 900 MHz. The licences run for four years in the 2.6 GHz band and five years at 900 MHz. The company said the new assignments lift its directly assigned paired spectrum to a total of 240 MHz.

Maxis took a smaller share: 2 x 10 MHz in the 2.6 GHz band for MYR 203 million ($50.1 million), on a four-year licence. Annual fees over the assignment period total MYR 84 million ($20.5 million). Maxis said the acquisition would improve network quality and increase operational efficiency.

"The upfront and annual fees will have an impact on the earnings, net assets and cash flows of the Group over the assignment period," Maxis stated, "but they are not materially different from the commercial structure of the existing spectrum bands."

What does the deal change for DNB?

The assignments run parallel to a broader restructuring of Malaysian 5G. DNB, the wholesale 5G network established in 2021, is now owned equally by CelcomDigi, Maxis and YTL after the two operators bought the Ministry of Finance's ordinary shares in March 2026. The ministry completed its exit at the end of September, retaining only a golden share.

The ownership shift follows the government's decision to abandon the single-network model in favour of a dual-network structure. U Mobile sold its DNB stake in 2025 to build a rival 5G network.

Two further steps landed in October. On 1 October, DNB's 240 MHz of 5G spectrum, including 100 MHz in the 3.3–3.4 GHz band, converted from its previous arrangement into a direct assignment from the MCMC. The same month, DNB closed a MYR 5.2 billion ($1.3 billion) Islamic financing package that replaces its government-guaranteed credit facility, removing the state from the vehicle's funding structure.

How concentrated is the mobile market?

CelcomDigi, formed from the 2022 merger of Celcom and Digi, remains Malaysia's largest operator with over 20 million subscribers. It still holds most of the country's available mobile spectrum, despite being required to give up roughly a third of Celcom and Digi's combined holdings, including 2 x 20 MHz in the 2.6 GHz band, to win regulatory clearance for the merger.

The company added to its position in November 2025 with spectrum in the 1800 MHz and 2.6 GHz bands. This week's 2.6 GHz award effectively restores capacity it previously surrendered as a merger condition.

Maxis remains the closest competitor, followed by U Mobile. Both hold significantly smaller spectrum portfolios than CelcomDigi.

Consolidation talk persists. A recent report in the Malaysian English-language newspaper The Star claimed the operators were weighing merger plans, reviving a proposal reportedly linked to Malaysian billionaires to create the nation's biggest mobile operator. U Mobile is backed by Tun Aminah Sultan Ibrahim Ismail, daughter of Malaysia's king, and by businessman Tan Sri Vincent Tan.

For now, the practical consequence of the MCMC assignments is a wider gap between CelcomDigi and its rivals on low and mid-band capacity. The four- and five-year licence terms mean the operators' spectrum positions, and any decision by MCMC on the second 5G network's access terms, will come back for review before the end of the decade.