Mobile Service Provider

2.0 Introduction

Celcom Malaysia Bhd was established in 1988. A wholly owned subsidiary of TM (Telekom Malaysia), it is one of the leading telecommunication companies in Malaysia that offers a wide range of products and services.   Celcom has been a mobile phone operator for more than 10 years with more than 6 million customers.   Recently, the Malaysian Communication and Multimedia Commission (MCMC) voted Celcom as the first operator to have reached 96% of service coverage in populated areas.

In Malaysia, our key objective is to remain market leader whilst generating healthy cash flows for the future Group expansion. With prepaid number registration now compulsory, our company leveraged upon this to improve our customer segmentation and innovativeness in products and services to give us the healthy lead. Our thrust now is to widen our broadband penetration in the country in line with the Government’s aspirations and to meet the challenges of new 3G and WiMAX competitors entering the market. Modernizing our network towards an internet protocol (IP) future that would help streamline costs will mean continuous investments in technology and people skills to keep ahead.

3.0 Environmental Analysis

        1. Market Review

The current Telecommunication providers, also the major mobile players in the Malaysian market are Maxis Communication Berhad and DiGi Telecommunication Sdn Bhd.

In Malaysia retail revenues recorded reasonable growth; analysis shows a market size of RM23.9 billion which grew approximately 12% over 2005.   However, in a saturating market both in terms of revenue and customer growth, the fight is still on for market share premised on service upgrades and price competitiveness, especially in the mobile sector which accounts more than 50% of overall revenue. This is further exacerbated by slowing mobile customer growth as well as the impact of prepaid registration. It is estimated that the industry saw a clean-up of approximately 2.8... [continues]

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