Malaysia's U Mobile has announced a six-month extension of its 3G RAN network sharing agreement with incumbent operator Maxis to cover the “limited areas” where its network does not reach.
In a statement, the operator said it has decided to extend the agreement to ensure a seamless transition for customers onto its own network, following an aggressive network replacement exercise across the nation.
U Mobile has allocated over 5 billion ringgit ($1.19 billion) for the network replacement initiative.
U Mobile originally entered a first-of-its-kind RAN sharing agreement with Maxis in 2011, allowing the operator to expand its 3G coverage by four to five times compared to its own infrastructure.
The network sharing agreement covered major cities and towns including Kangar, Alor Star, Kota Bahru, Kuantan, Kuala Terengganu, Melaka, Sabah and Sarawak.
The company had initially planned to terminate the 10-year agreement early, but has decided to extend the agreement for a final six month period.