MCMC: The Malaysian Communications and Multimedia Commission

Every time your phone jumps from 4G to 5G, connects to home Wi-Fi, or you install a satellite dish, that activity operates within a legal framework governed by a single body — MCMC. It decides who may build networks, who may sell services over them, and which radio frequencies may be used.

What is MCMC, and when was it established?

The Malaysian Communications and Multimedia Commission — known by its Malay acronym SKMM and its English acronym MCMC (Malaysian Communications and Multimedia Commission) — is the statutory body that supervises and regulates the country’s communications and multimedia industry. It was established under the MCMC Act 1998 (Act 589), which received royal assent on 23 September 1998 and came into force on 1 November 1998.

Its regulatory scope is broad — spanning broadband, mobile and fixed telecommunications, satellite communications, broadcasting, postal and courier services, digital signature services, as well as strategic trade. MCMC also has investigative powers through appointed investigating officers to ensure compliance.

One thing is often confused: MCMC and the Act it enforces are two different things. MCMC was established by Act 589. The industry law it enforces, however, is the Communications and Multimedia Act 1998 (Act 588).

What is licensed under Act 588?

The Communications and Multimedia Act 1998 adopts a licensing framework based on activity, not technology. It places licensable activities into four categories, and each may be licensed either by individual licence or class licence.

Category	What is licensed	Examples
Network Facilities Provider (NFP)	Basic infrastructure and delivery systems	Towers, fibre-optic cables, satellites
Network Service Provider (NSP)	Connectivity services over the infrastructure	Mobile carriers, broadband providers
Application Service Provider (ASP)	Application-level services	Voice calls, messaging, Internet access
Content Application Service Provider (CASP)	Content-based services	TV and radio broadcasting, IPTV

The distinction between the two licence types determines the compliance burden:

• Individual licence — requires a formal application, specific eligibility conditions and the Minister’s consideration. It has a fixed term, is renewable, and may be varied, amended or revoked according to prescribed procedures.
• Class licence — granted through a registration-by-notice system rather than individual approval. It carries fewer restrictions and is designed for a broader category of operators that meet the basic conditions.

This framework is enforced through the Communications and Multimedia (Licensing) Regulations 2000 [P.U.(A) 129/2000], made under section 16 of Act 588 and coming into force on 1 April 2000.

How does MCMC manage the radio spectrum?

The radio spectrum is a finite resource — only one party can use a given frequency band in a given area without interference. MCMC regulates spectrum use “to ensure that spectrum is used efficiently and to minimise interference”, under Act 588 and the Communications and Multimedia (Spectrum) Regulations 2000.

One of its key mechanisms is spectrum assignment, which grants a person the right to use one or more frequency bands for any purpose consistent with the assignment conditions set by MCMC. Its features:

• Valid for a period of up to a maximum of 20 years.
• Transferable by the holder, subject to the assignment conditions.
• Use must be consistent with the Spectrum Plan published by MCMC.

Examples of such assignments include the IMT-2000 (3G), 900MHz and 1800MHz bands used by mobile operators.

What is MCMC’s role in JENDELA and 5G?

Beyond licensing, MCMC leads the national connectivity agenda. JENDELA (Jalinan Digital Negara) is the MCMC-led plan to expand coverage and improve broadband quality while preparing the country for 5G.

Phase 1 (2020–2022) targeted 4G coverage rising from 91.8% to 96.9%, mobile broadband speeds from 25 Mbps to 35 Mbps, and gigabit fixed broadband access to 83% of premises nationwide. The JENDELA portal also lists long-term national aspirations — gigabit access for fixed broadband, 100 Mbps mobile broadband, and 100% 4G coverage. Phase 2 focuses on 5G rollout once the 4G platform is solid, in line with the Twelfth Malaysia Plan (RMK-12).

For 5G, the government directed Digital Nasional Berhad (DNB) to build a single wholesale network. DNB is wholly owned by the Minister of Finance (Incorporated), acts as a neutral infrastructure provider, and is licensed under the Communications and Multimedia Act 1998 to supply 5G coverage on a wholesale basis to licensed telecommunications operators. This means DNB, like any licence holder, comes under MCMC’s regulatory oversight.

What next

If you are an operator or service provider, the practical next step is to map your activities to one of the four categories — NFP, NSP, ASP or CASP — and determine whether you need an individual licence or qualify under a class licence. Consult the full text of the Communications and Multimedia Act 1998, the Licensing Regulations 2000, and the latest MCMC Licensing Guidelines on the official MCMC website before filing an application. Procedural details, fees and forms change from time to time, so verify the current version directly with MCMC.