A fall in data prices has resulted in a surge in data consumption in Myanmar. The entry of a new operator has changed the competition landscape and driven prices down. Consequently, mobile phone penetration has surpassed 90 per cent and more than 50 million users now have access to the internet and mobile phones. Operators are investing significantly to bolster infrastructure and deploy fibre in order to deliver an enhanced 4G experience to customers.

Against such a backdrop, the 2018-19 National Planning Bill estimates that the telecom industry will grow by 15 per cent in the next financial year (October 1, 2018 to September 30, 2019). Meanwhile, the industry is also seeing the initiation of deliberations regarding the roll-out of 5G. The groundwork for 5G in Myanmar is being chalked out in the Myanmar National Broadband White Paper 2019 and Spectrum Roadmap 2019. A look at the emerging 5G scenario in Myanmar….

Policy and regulation

Myanmar is currently in the phase of formulating its regulations for 5G and other next-generation technologies which will be supported by it. The Posts and Telecommunications Department (PTD) is preparing the spectrum roadmap for which it has invited suggestions and recommendations from all stakeholders.

At the Myanmar 5G Forum 2018, U Myo Swe, deputy director general, PTD, stated, “Firstly, PTD will review and release our revised spectrum roadmap in the first quarter of 2019. We would like to consider seriously everyone’s suggestions and opinions today. Secondly, we will also release the Myanmar National Broadband White Paper 2019, with the support of industry partners. I am sure 4G plus-5G based fixed wireless access (FWA) synergy with fixed broadband will play a very important role boosting our national broadband development.”

Myanmar 5G Forum

The Myanmar 5G Forum 2018, entitled “5G Bridges Myanmar to Future Digital World”, was hosted by the Myanmar PTD on December 20, 2018. The forum, which was attended by government regulators, information and communication technology (ICT) industry experts and organisations, deliberated upon 5G, its development and potential impact on Myanmar and applications.

The objectives of the event were to discuss the future of the 4G/5G market in Myanmar, the revised spectrum roadmap for 2019 and Myanmar National Broadband White Paper 2019 to migrate from 4G to 5G. The forum also aimed to encourage the growth of a digital Myanmar and to lay the groundwork for the country’s 5G ecosystem including spectrum, infrastructure, device, fibre, as well as supportive regulation and policy. In Myanmar’s case, APT700 MHz, TDD 2.6 GHz, 2.3 GHz and C band 3.5 GHz are being planned as the prime frequency bands of 4G and 5G over the next two years. The forum lay emphasis not only on the potential use of 5G for mobile broadband but also for FWA and the internet of things (IoT) in keeping with the digital economic transformation needs of the country.

Industry developments

Telenor Myanmar’s progress in and readiness to deploy 5G is being advanced with Telenor’s pilot projects back home. In November 2018, the Telenor Group launched a 5G pilot in Scandinavia. This project will pave the way for a superfast 5G mobile network in Norway. Under the project, Telenor offers select residents of Kongsberg the chance to test 5G till the summer of 2019. Earlier, in April 2018, Telenor Myanmar partnered with Ericsson for a joint network speed trial and achieved a record high peak speed of 1 Gbps. This is the fastest internet speed ever achieved in Myanmar and this trial extends Telenor and Ericsson’s partnership to boost Myanmar’s 5G readiness.

In December 2018, telecom operator Ooredoo, in partnership with equipment manufacturer Nokia, set up a 5G-ready technology centre in Myanmar. The Nokia Technology Center houses equipment including Nokia’s multi-radio AirScale, which supports 2G, 3G, 4G and 5G. It also includes any haul transport, including IP and microwave equipment, cloud-native core network and the associated power, materials and infrastructure. Through this technology centre, Ooredoo and Nokia will be providing students with internships to work as technology developers and service providers. Earlier, in 2018, Ooredoo also completed a 4G Pro network demonstration in order to showcase the readiness of its networks to support 5G.

Huawei, in keeping with its aggressive move to be a front runner in 5G equipment, has announced that it is committed and ready to bring 5G into Myanmar within the next two to three years.  Currently, Huawei is a key player in ensuring stable and reliable 4G services in Myanmar and has collaborated with all the four telcos in the country.

Although the country’s state-run telecom operator Myanma Posts and Telecommunications (MPT) has not been publicly bullish on 5G, internally it is also preparing its roadmap for 5G. The operator is making technical enhancements and chalking out the services it would provide.

Fiberisation scenario

The infrastructure implications of the huge bump in data consumption have led to telcos and towercos looking keenly at boosting fiberisation in the country.  Currently, Chinese fibre operator MOFCN and domestic player Eager own most of the fibre in Yangon and are the main fibre operators while telcos also own and lease some fibre in Myanmar. For instance, Ooredoo’s fibre coverage was expected to reach over 15,000 km by the end of 2018.

However, on the flip side, the percentage share of fiberised towers in Myanmar is low at the moment at only around 10 per cent as compared to 70-80 per cent in developed countries such as China and the US. Such a low level of fiberisation is not suitable for a sustainable switch to 5G. There remain tremendous opportunities that can be harnessed through partnership and collaboration between telcos, towercos and fibre operators. These players need to formulate a business model around fibre.

Outlook

While the benefits that could accrue from 5G are many, deploying it will need a thorough infrastructure revamp in Myanmar. In order to set up 5G locally, the Myanmar government will need to grant the necessary spectrum in 5G frequencies to telcos at a fair and rational price. For 5G services to be adopted on a large scale, it is crucial that they are affordable and that there is sufficient network coverage.

That being said, we have to consider that Myanmar has been rather late in adopting the latest telecom technologies with 4G only starting to be used in Myanmar in 2018. With only about 20 per cent of Myanmar’s population having access to 4G, it can be safely assumed that 5G services are still a couple of years away. In addition, the 5G device ecosystem is very nascent globally and close to non-existent in Myanmar. Ensuring there is a flourishing device ecosystem will also be critical in spurring demand for 5G services. It is also extremely important for the government to notify the rules and regulations that will need to be adhered to in order to avoid delays because of the lack of a regulatory framework. Going forward, a strong focus on developing 5G infrastructure, framing supporting policies and building the device ecosystem will be needed to build on the momentum of 4G and catapult the launch of 5G.