In this post, I’ll cover the Telekom Malaysia Business Model canvas. Telekom Malaysia is a traditional telecom company that was incumbent in Malaysia from its founding until the early ’90s. The Telekom Malaysia business model is a common telecoms business model for nationalised and integrated telecommunications companies. This model is less common in countries that have privatised their telecoms infrastructure
Since then it’s traditional fixed-line business has come under attack from mobile operators who persuaded people to cut the cord. Malaysia has one of the highest rates of mobile ownership in the world. More recently it has increasingly come under renewed attack as voice has been made obsolete by data.
As a result Telekom Malaysia’s business model now focuses much more on convergence – using its existing products to enable it to sell additional services to it’s large installed user base.
Looking at the business model it seems like there is a core pipeline business that provides ‘juice’ to the millions of taps that it ‘owns’. What is a lot less clear is whether the New TM approach offers a way out of the convergence trap as everything becomes commodified. Value-added services don’t and will not replace the lost revenue.
For that TM doesn’t seem to have good ideas and so has major problems with both its business model being disrupted and large amounts of business model depreciation that was not adequately funded in the 1946-1986 period.
I go into a lot more detail about the Telekom Malaysia Business Model in the video so do have a look to understand what it is and how it works. Feel free to ask questions in the comments.
