Competition Act does not apply to telecom, multimedia sector, says MyCC

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,Malaysia Competition Commission says MCMC regulates mergers within the telecommunications sector and other competition matters through provisions of the Communications and Multimedia Commission Act 1998. – The Malaysian Insight file pic, July 2, 2022.

THE Competition Act 2010 applies to all commercial activities within Malaysia but not that of four sectors, which the telecommunications and multimedia sector is one of them, the Malaysia Competition Commission (MyCC) said. 

Responding to repeated calls for MyCC to intervene in the proposed merger between Digi Bhd and Celcom Axiata Bhd, MyCC said in a statement today that telecommunications providers’ activities are subject to the scrutiny of the Malaysian Communications and Multimedia Commission (MCMC).

It said MCMC regulates mergers within the telecommunications sector and other competition matters through provisions of the Communications and Multimedia Commission Act 1998.

“In this regard, MyCC leaves matters related to the said proposed merger to the wisdom of MCMC and is certain that it had carried out careful assessment and evaluation before reaching its decisions,” MyCC said.

Its chief executive officer, Iskandar Ismail, said MyCC’s current amendment exercise, which will lead to the introduction of a merger control regime in Malaysia, is on track.

“Again, it must be highlighted that this merger regime will exclude, among others, the sector under the purview of MCMC,” he said.

“We hope that future decisions by MyCC on merger applications will be the main reference and guide for all other authorities in ensuring a consistent and robust policy landscape that will create certainty in the market.” – Bernama, July 2, 2022.


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