Malaysian Communications and Multimedia Commission, 2004

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Published by the Malaysian Communications and Multimedia Commission

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 STATISTICAL BRIEF Number 1

contents
From The Chairman 3

Introduction 4

Main Findings 6

Main Tables 10

RSE Tables 14

Glossary 18
from the Chairman
This is the first issue in a new series published by the Malaysian
Communications and Multimedia Commission (MCMC) called
Statistical Briefs.

Statistical Briefs present main findings of selected primary

statistical surveys conducted by the MCMC which are of direct
interest to a broad cross section of the Malaysian public.

With this audience in mind, statistical technicalities are kept to a

minimum but yet enough to be of use to a more discerning user.
This present issue deals with the maiden Hand Phone Users
Survey which was conducted in 2004 by the MCMC from its
Computer Assisted Telephone Interview (CATI) Centre in Shah
Alam. This survey will be repeated annually so that users may
have up-to-date data. 3

H A N D
I would like to commend the Industry Development Division for
the successful establishment of the CATI centre and the equally
successful conduct of the Hand Phone Users Survey 2004.

P H O N E
My thanks also to those who responded, without whom this
survey would not have been possible.

U S E R S

Dato’ V. Danapalan
S U R V E Y
2 0 0 4
 1 Introduction

This is the first ever purpose built Hand Phone Users Survey conducted by the
Malaysian Communications and Multimedia Commission. The primary purpose
of this survey is to estimate proportions of the subscriber base that fall into the
classes of the various categorization schemes of the key variables.

Proper use of these estimated proportions in conjunction with the total known
subscriber base as well as population estimates will facilitate the derivation of the
various hand phone penetration rates.

These include hand phone penetration rates by :

• state
• ethnicity
• gender
• broad age group; and
4
• the urban and rural sectors
H A N D

The survey also probed the following:

• SMS usage
P H O N E

• average monthly charges

• preferred payment plan

• multiplicity of hand phone ownership and use

U S E R S

• incidence of fixed lines

• inclination to use hand phone over fixed line phone

• educational attainment
• broad occupational classes
S U R V E Y

• income classes
2 0 0 4
The target population included all main users of hand phones on all digital
platforms in the states and territories making up the Federation of Malaysia, as
at 8 August 2004. These were the main users of the 012, 013, 016, 017 and 019
networks. Both postpaid and prepaid users were covered.

On the other hand, main users of hand phones on analogue platforms (< 0.5% of
all users) were out of the scope of this survey. Thus main users of the 010, 011
(ATUR) and 018 networks were not included.

No statistical unit and no segment of the target population was excluded on the
grounds of geographical inaccessibility or service non coverage or on any other
grounds.

In all, the target population numbered 12,316,788, of which a random sample of

4,925 was selected.The survey was canvassed using a CATI solution and
5
operated out of MCMC's CATI Centre at Shah Alam. The canvassing period
extended from 22 July to 19 September 2004.

H A N D
The survey recorded a response rate of 71.1%.

P H O N E
U S E R S
S U R V E Y
2 0 0 4
 2 Main Findings

The main findings of the Hand Phone Users Survey 2004 are as follows:

The picture that emerged from the survey showed that Selangor takes the largest
PERCENTAGE
share of the subscriber base accounting for 24.8%. This is followed by Johor
DISTRIBUTION OF
(13.2%) and WPKL (9.5%). Percentages in the other states range from 2.5% to
SUBSCRIBERS BY
STATE 8.1% with the exceptions of Perlis and the Federal Territories of Labuan and
Putrajaya where the proportions are 0.7%, 0.2% and 0.2% respectively.

6 24.8% 13.2% 9.5%

Percentage distribution of subscribers by state and corresponding
H A N D

penetration rates.

State Percentage Penetration

share of rate in
P H O N E

subscriber base descending order

WPKL 9.5 79.2

Selangor* 25.0 69.0
Melaka 3.5 63.7
U S E R S

Penang 6.9 61.0

Johor 13.2 55.5
Negeri Sembilan 4.0 54.8
Perak 8.1 46.4
S U R V E Y

Kedah 6.4 45.0

Perlis 0.7 40.3
Pahang 4.0 36.4
Sarawak 6.4 36.0
Terengganu 2.5 32.1
2 0 0 4

WP Labuan 0.2 31.1

Kelantan 3.6 31.0
Sabah 6.0 26.7

Total 100.0 49.8

*Includes Putrajaya
 PERCENTAGE The survey showed that Malays account for 47.5% of the subscriber base
DISTRIBUTION OF while the Chinese account for 32.4%. Indians take up 6.9%, Bumiputra
SUBSCRIBERS BY Sabah and Sarawak 5.4%.
ETHNICITY
Percentage distribution of subscribers by ethnicity and corresponding
penetration rates.

Racial Group Percentage Penetration

share of rate in
subscriber base descending order

Chinese 32.4 68.0

Indian 6.9 48.7
Malay 47.5 46.9
Bumiputra Sabah and Sarawak 5.4 24.5

PERCENTAGE There appears to be a divide in access to mobile telephony if the near equal

H A N D
DISTRIBUTION OF numbers of the sexes (51:49) in Malaysia is anything to go by. Survey
SUBSCRIBERS BY results show that males make up 61.1% of the subscriber base while
GENDER females take up the remaining 38.9%.

P H O N E
61.1% 38.9%

U S E R S
The corresponding penetration rates are 59.8 and 39.5 respectively.

PERCENTAGE The younger set has made their presence felt in the subscriber base.
S U R V E Y

DISTRIBUTION OF
SUBSCRIBERS BY
BROAD AGE
GROUPS
12.3%
2 0 0 4

Preteens and teens (users up to the age of 19) already account for 12.3% of
the subscriber base. Adults (users from 20 to 49 years of age as at last
birthday) accounted for 78.8% while seniors (aged 50 and above) account
for 9.0%.
 2 Main Findings cont’d

PERCENTAGE Of those not in school, 31.0% was made up of users who had up to lower
DISTRIBUTION OF secondary education while 41.2% had up to upper secondary education.
SUBSCRIBERS BY Only 19.6% had diplomas and degrees.
EDUCATIONAL
ATTAINMENT

However this does not mean that the highly educated are shunning hand
phones. This statistic is a reflection of their relatively smaller numbers in
society.

MULTIPLICITY OF The majority (87.1%) of users reported using only one hand phone. 11.6%
8
HAND PHONE reported using 2 hand phones while 1.2% reported using more than 2 hand
OWNERSHIP phones.
H A N D

AND USE
P H O N E

87.1% 11.6% 1.2%

U S E R S

AVERAGE 41.1% of users do not exceed RM 50.00 per month on the average while
MONTHLY 33.9% spent between RM 50.00 to RM 100.00 per month on average.
CHARGES A further 11.40% spent between RM 100.00 to RM 150.00 while 13.6 % had
monthly bills in excess of RM 150.00.
S U R V E Y

SMS USAGE SMS usage is significant, with 74% of the subscriber base using it. As many
as 31.7% reported sending out more than 5 SMS messages in a day on
average.
2 0 0 4
 INCIDENCE OF More than half of the respondents (57.5%) reported that they do not have a
FIXED LINES fixed line in their usual residences.

X 57.5%

INCLINATION TO As many as 50.7 % of those with fixed lines at home reported an inclination
USE HAND PHONE to use the hand phone over the fixed line phone even if it was not in use.
OVER FIXED LINE
PHONE This could be due to the narrowing differentials between the tariffs or a more
affluent society or both.

H A N D
P H O N E
50.7% 28.4%

U S E R S
INCOME CLASSES As much as 30 % of users reported monthly incomes of less than RM 1,000
OF USERS while 41.5 % had incomes ranging from RM 1,000 to RM 3,000. 6.7 %
earned from RM 3,000 to RM 5,000 and 2.7 % had incomes in excess of RM
5,000. 19.1 % reported having no income at all.
S U R V E Y
2 0 0 4

< RM1,000 > RM5,000

30% 2.7%
 3 Main Tables

Table 1 Percentage distribution of hand phone

subscribers by gender, Malaysia

Gender Percent
Male 61.10
Female 38.90

Table 2 Percentage distribution of hand phone subscribers by ethnic

origin, Malaysia

Race Percent
Malay 47.50
Bumiputra (Sabah/Sarawak) 5.40
10 Chinese 32.40
Indian 6.90
H A N D

Others 7.80

Table 3 Percentage distribution of hand phone subscribers

P H O N E

by age category, Malaysia

Age category Percent

Preteens & Teens 12.30
U S E R S

Adult 78.70
Senior 9.00
S U R V E Y
2 0 0 4

*Tables on urban/rural and occupational group distributions are work in progress and will
be released in a supplement at a later date.
Table 4 Percentage distribution of hand phone subscribers
by state, Malaysia

State Percent
Johor 13.20
Kedah 6.40
Kelantan 3.60
Melaka 3.50
Negeri Sembilan 4.00
Pahang 4.00
Penang 6.90
Perak 8.10
Perlis 0.70
Selangor 24.80 11

Terengganu 2.50

H A N D
Sabah 6.00
Sarawak 6.40
W.P. Kuala Lumpur 9.50

P H O N E
W.P. Labuan 0.20
W.P. Putrajaya 0.20

Table 5 Percentage distribution of hand phone subscribers by highest

U S E R S
level of education attained, Malaysia

Highest level of education Percent

None 2.80
Still schooling 5.40
S U R V E Y

Some primary schooling 15.80

PMR 15.20
SPM,SPVM or equivalent 36.30
STPM or equivalent 4.90
2 0 0 4

Diploma 10.50
Degree 9.10
 3 Main Tables cont’d

Table 6 Percentage distribution of hand phone subscribers

by payment plan, Malaysia

Payment plan Percent

Postpaid 18.60
Prepaid 81.40

Table 7 Percentage distribution of hand phone subscribers

by number of hand phones, Malaysia

No of hand phone per person Percent

1 87.10
2 11.60
12 3 1.10
4 0.10
H A N D

5 0.10

Table 8 Percentage distribution of hand phone subscribers by monthly

P H O N E

hand phone charges, Malaysia

Monthly hand phone charges Percent

Bill <= RM50 41.10
U S E R S

RM50 < Bill <= RM100 33.90

RM100 < Bill <= RM150 11.40
RM150 < Bill <= RM200 4.90
Bill > RM200 8.70
S U R V E Y
2 0 0 4
Table 9 Percentage distribution of hand phone subscribers by number
of SMS/MMS sent per day, Malaysia

No of SMS/MMS per day Percent

0 25.90
1 9.10
2 9.70
3 10.80
4 5.60
5 7.20
More than 5 31.70

Table 10 Percentage distribution of hand phone subscribers by

availability of fixed line at home, Malaysia 13

Availability of fixed line at home Percent

H A N D
Yes 42.50
No 57.50

P H O N E
Table 11 Percentage distribution of hand phone subscribers by
preference of hand phone over fixed line, Malaysia

Preference of hand phone to fixed line Percent

U S E R S
Yes 50.70
No 28.40
Sometimes 20.90
S U R V E Y

Table 12 Percentage distribution of hand phone subscribers by monthly

income category, Malaysia

Monthly income category Percent

Inc <= RM1,000 30.00
2 0 0 4

RM1,000 < Inc <= RM3,000 41.50

RM3,000 < Inc <= RM5,000 6.70
Inc > RM5,000 2.70
No Income 19.10
 4 RSE Tables

Table 1 Relative Standard Error of hand phone subscribers

by gender, Malaysia

Gender RSE
Male 1.348
Female 2.117

Table 2 Relative Standard Error of hand phone subscribers

by ethnic origin, Malaysia

Race RSE
Malay 1.775
Bumiputra(Sabah/Sarawak) 7.075
14
Chinese 2.442
Indian 6.216
H A N D

Others 5.789
P H O N E

Table 3 Relative Standard Error of hand phone subscribers

by age category, Malaysia

Age category RSE

Preteens & Teens 4.55
U S E R S

Adult 0.89
Senior 5.43
S U R V E Y
2 0 0 4
Table 4 Relative Standard Error of hand phone subscribers
by state, Malaysia

State RSE
Johor 4.334
Kedah 6.464
Kelantan 8.783
Melaka 8.932
Negeri Sembilan 8.250
Pahang 8.250
Penang 6.188
Perak 5.699
Perlis 19.928
Selangor 2.946 15

Terengganu 10.650

H A N D
Sabah 6.690
Sarawak 6.464
W.P. Kuala Lumpur 5.213

P H O N E
W.P. Labuan 37.759*
W.P. Putrajaya 35.315*

U S E R S
Table 5 Relative Standard Error of hand phone subscribers by highest
level of education attained, Malaysia

Highest level of education RSE

None 9.959
S U R V E Y

Still schooling 7.055

Some primary schooling 3.906
PMR 3.992
SPM,SPVM or equivalent 2.239
2 0 0 4

STPM or equivalent 7.481

Diploma 4.938
Degree 5.347

* Due to extreme proportions.

 4 RSE Tables cont’d

Table 6 Relative Standard Error of hand phone subscribers

by payment plan, Malaysia

Payment plan RSE

Postpaid 3.536
Prepaid 0.809

Table 7 Relative Standard Error of hand phone subscribers

by number of hand phones, Malaysia

No of hand phone per person RSE

1 0.649
2 4.660
16 3 16.353
4 49.971*
H A N D

5 70.690*

Table 8 Relative Standard Error of hand phone subscribers

P H O N E

by monthly hand phone charges, Malaysia

Monthly hand phone charges RSE

Bill <= RM50 2.033
U S E R S

RM50 < Bill <= RM100 2.371

RM100 < Bill <= RM150 4.716
RM150 < Bill <= RM200 7.503
Bill > RM200 5.508
S U R V E Y
2 0 0 4

* Due to extreme proportions.

Table 9 Relative Standard Error of hand phone subscribers
by number of SMS/MMS sent per day, Malaysia

No of SMS/MMS per day RSE

0 2.915
1 5.431
2 5.272
3 4.958
4 7.067
5 6.207
More than 5 2.528

Table 10 Relative Standard Error of hand phone subscribers

by availability of fixed line at home, Malaysia 17

H A N D
Availability of fixed line at home RSE
Yes 1.964
No 1.454

P H O N E
Table 11 Relative Standard Error of hand phone subscribers
by preference of hand phone over fixed line, Malaysia

Preference of hand phone to fixed line RSE

U S E R S
Yes 2.554
No 4.108
Sometimes 5.045
S U R V E Y

Table 12 Relative Standard Error of hand phone subscribers

by monthly income category, Malaysia

Monthly income category RSE

Inc <= RM1,000 2.669
2 0 0 4

RM1,000 < Inc <= RM3,000 2.072

RM3,000 < Inc <= RM5,000 6.544
Inc > RM5,000 10.395
No Income 3.599
 5 Glossary

The hand phone The hand phone is seen as personal and not household equipment. This is
because hand phones are normally taken away by their main users when they
leave the house or office. Also, when the hand phone rings at home, more often
than not the person who answers it is the main user as calls received by that
device are expected to be for him.
(see also The main user below)

The main user The main user may or may not be the legal owner of the device. He may also
not be the one who pays for the bills incurred as in the case of supplementary
subscriptions and company paid subscriptions.

Ethnicity The main user could also be of non-Malaysian nationality. Non-Malaysians who
identify themselves with any Malaysian community are accepted as such.
18

The ethnicity of an offspring of mixed parentage is Malay if either parent is Malay,

H A N D

or recorded as reported or takes the ethnicity of the father if undecided.

Age Age referred to age as at last birthday.

P H O N E

Usual state of Usual state of residence referred to the state where the respondent has a home
residence and has stayed continuously there for the past 6 months.
U S E R S

If he has stayed for less than 6 months but knows beyond reasonable doubt that
he will be there for at least 6 months continuously, then he should be counted in
that state. This is especially so in cases where the respondent has just been
transferred in, prior to the interview taking place.
S U R V E Y

If a respondent knows that he will be moving to another state shortly but has not
done so yet at the time of the interview then he should not be counted as a
resident of the state where he is moving to. This is especially so in cases where
the respondent is in notice of transfer but has not moved yet.
2 0 0 4

Usual state of residence does not refer to the state where ancestral homes or
kampungs are located.
 Highest level of Except in the case of Diplomas and Degrees, foreign qualifications were
education classified according to number of years of schooling received. The operational
equivalents are as follows:

less than 6 years – some primary schooling,

7 to 9 years – PMR,
10 to 11 years – SPM,
12 to 13 years – STPM

The number of Referred to the number of SIM cards rather than the physical phones. One phone
hand phones used may be fitted with different SIM cards at different times of the day.

Monthly Referred to average charges on the hand phone through which the interview took
hand phone 19
place and did not include the charges on any other hand phone that the respondent
charges might have.

H A N D
In the case of prepaid subscriptions, the monthly hand phone charges referred to
the average top up per month.

P H O N E
SMS Included MMS

U S E R S
S U R V E Y
2 0 0 4
 FOR MORE STATISTICS

WEB The MCMC website contains more statistics pertaining to the

Communications and Multimedia industry. This source is updated
every calendar quarter.
www.mcmc.gov.my

STATISTICAL The MCMC publishes Communications and Multimedia :

BULLETIN Selected Facts and Figures, a quarterly statistical bulletin (ISSN:
1675-6223). Contact the MCMC for more details.

STATISTICAL Statistical Briefs (ISSN:1823-2523) and their supplements are

BRIEF issued by the MCMC to disseminate survey findings. These briefs
are aimed at the general to intermediate user audience.

20
THE STATISTICAL TEAM
H A N D

HEAD Koay Hock Eng

STATISTICIANS Azilawati Masri

Malini Ramalingam
P H O N E

Ng Wai Mun

CONTACTS
U S E R S

For further information about these and related statistics,

contact the following officers:

Koay Hock Eng : +60 3-8688 8234 hekoay@cmc.gov.my

Malini Ramalingam : +60 3-8688 8238 malini@cmc.gov.my
S U R V E Y

ABOUT MCMC

The primary role of the Malaysian Communications and

Multimedia Commission is to implement and promote the
2 0 0 4

Government’s national policy objectives for the communications

and multimedia sector set out in the Communications and
Multimedia Act 1998 (CMA). The MCMC is also charged with
overseeing the new regulatory framework for the converging
industries of telecommunications, broadcasting and online
activities, as well as postal services and digital certifications.