After a long wait, the Celcom and Digi merger is finally completed, making them the single largest telco in Malaysia. If you’re wondering what it means for new and existing consumers, both Celcom and Digi have released an FAQ on the immediate impact of the merger.
Business as usual for both Celcom and Digi users
According to CelcomDigi, the merger is aimed at building a stronger company and it will combine the best of both networks, distribution channels, products, services and partners to deliver the best in connectivity, service, innovation and value. At the moment, Celcom and Digi customers won’t have to do anything and they can continue to enjoy their existing networks, stores, plans and services with no change to the current plan.
As this merger was just recently completed, the same Celcom and Digi brands will continue to exist but consumers will start seeing an additional new CelcomDigi logo together with these brands to signify that both are one company. Both telcos promise to continue delivering the same reliable services and experiences to customers as before.
For now, both Celcom and Digi retail stores will operate as usual to serve their respective customers. The same also applies to their existing network infrastructure. This means a Celcom customer will need to go to an authorised Celcom store for registration, purchase and assistance, and their SIMs can only connect to Celcom’s network. The same applies to Digi customers as they can only be served by Digi stores and connect to Digi’s network. For clarity, the newly merged telco will not be able to serve both Celcom and Digi customers in the same store.
For self-service, the existing self-care apps such as Celcom Life app and MyDigi will continue to function as usual. If you need additional assistance, you can reach out to the respective Celcom (1300111000) and Digi (016-2211800) carelines.
What to expect in the future?
Like most mergers, it will take time for CelcomDigi to streamline its operations as well as its assets and network resources. Besides reducing duplication of network infrastructure, the merged entity will hold significantly more spectrum combined than its closest rival, Maxis. This may result in a better user experience as the merged telco can efficiently share a larger pool of spectrum for mobile data usage.
To address competition concerns, Celcom and Digi have agreed to MCMC’s undertakings which include letting go 70MHz of spectrum over a three-year period. Even after the spectrum divestment, CelcomDigi will still hold 150MHz worth of spectrum, versus 115MHz currently used by Maxis. The merged company also needs to establish a separate independent business to manage its Mobile Virtual Network Operators (MVNO).
During the same period, Celcom and Digi will have to remove exclusive arrangements with distributors in Sabah, Labuan, Sarawak, Terengganu, Pahang and Kelantan. Meanwhile, Celcom would also need to sell off Yoodo within 18 months or they would need to cease Yoodo operations within 3 months of the expiry of the divestiture period.
CelcomDigi has yet to reveal its branding plan for its future products. It could be possible for Celcom, Xpax and Digi brands to co-exist under a single umbrella or perhaps they would rebrand themselves under a new retail telco name and logo. Regardless of what they intend to do, Celcom and Digi have assured that they would prioritise minimising any potential service quality impact to customers while delivering the undertakings specified by the MCMC.
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