KUALA LUMPUR: The communications and multimedia industry (C&M) remains sustainable despite the challenges posed by the Covid-19 pandemic, as the rise in online transactions as well as online learning and work-from-home activities boosted demand for its services.

       In its Industry Performance Report 2020, the Malaysian Communications and Multimedia Commission (MCMC) said the C&M industry contributed 7.9% or RM142.96bil to Bursa Malaysia’s total market capitalisation of RM1.81 trillion in 2020.

       “Nevertheless, market capitalisation of the C&M industry declined by 0.7% in 2020 compared to 2019 due to the Covid-19 pandemic, which resulted in disruptions in demand as well as the emergence of several new trends,” it said in a statement.

       MCMC said the adverse effects of the pandemic on the industry were cushioned by the launch of the National Digital Infrastructure Plan (Jendela) in August last year, which aimed to improve the nation’s digital infrastructure and connectivity.

       It said last year, the telecommunications sector’s market cap had increased by 0.3% to RM134.42bil. During the same period, the postal and courier sector’s market cap also recorded impressive growth, rising by 19.9% to RM3.25bil.

       “On the other hand, the broadcasting sector continues to face pressure in 2020 due to the more cautious attitude of advertisers during the pandemic period as well as the cancellation of several major sporting events such as the Tokyo Olympics and the UEFA Europa League.

       “Competition among over-the-top players also affected the sector, and these factors saw the sector’s market cap declining by 27.4% to RM5.29bil in 2020,” it said.

       Meanwhile, pay-TV subscriptions increased by 3.1% to 7.34 million in 2020 from 7.12 million subscriptions in 2019, as a result of increased subscriptions to Internet Protocol Television services. — Bernama