Fiberail Sdn Bhd was incorporated in 1992 as a joint-venture between TM and Keretapi Tanah Melayu Berhad (KTM) to provide telecommunication network-related services. In 2006, Fiberail purchased Petrofibre Network (M) Sdn Bhd, as a result of which, the latter became a shareholder in Fiberail. The acquisition was designed to bring synergistic benefits to the parties and to give Fiberail usage of two corridors, namely the KTM railway corridor and Petronas' gas pipeline corridor. A “carrier's carrier”, Fiberail owns fibre optic cable networks alongside railway and gas pipelines. The company provides the backbone infrastructure in the form of dark fibre leasing, bandwidth services, Metro Ethernet, ancillary services and turnkey network solutions to Telco providers, managed network service providers, global operators, discounted voice operators and broadcasting operators.

Given its fibre network across the length and breadth in both rural and urban locations, Fiberail plays a vital role in complementing TM Group's efforts in supporting the Government's aspirations to establish Malaysia as a global hub for communications and multimedia.

For the financial year ended 31 December 2007, Fiberail recorded revenues of RM111.2 million, representing a growth of 12.6%, while PAT stood at a record RM15.0 million. The significant growth in profit of 135.2% was mainly attributable to the contribution from project management services provided to MMC Gamuda Joint Venture for the establishment of an Electrified Double Track Project between Ipoh and Padang Besar for KTM Berhad. This, coupled with a steady growth in sales from core products, mainly fibre optic core and bandwidth, as well as other contract services, ensured profitability.

Fiberail currently owns 140,525 km of fibre optic core network compared with 138,293 km in the preceding year. The network rides along KTM's and Petronas' gas pipeline corridors respectively and stretches throughout the length of the peninsula with an additional network along the gas pipeline corridor to the east coast. This offers customers diversity, resilience, and wide coverage, which is of vital importance in the fast expanding telecommunications arena.

In 2006, Fiberail was granted an extension of its operating license by the Malaysian Communications and Multimedia Commission, a move which allows the delivery of additional value to its customers via a wider network reach in line with the Company's continuing effort to extend and improve its network coverage.

In furtherance of the objective to always boost customer confidence and enhance customer service, Fiberail has implemented its ISO 9002 certification which encompasses planning, development, operation and maintenance, business management and support services of the fibre optic network for telecommunications, as well as business development for new products. Fiberail's strict adherence to ISO 9002 procedures ensures consistency and customer satisfaction at all times.

To support its growing customer base, Fiberail has 20 Operation Centres nationwide, the National Control Centre at KTM Berhad's hub in Kuala Lumpur and a 24-hour Helpdesk.

The year 2007 was clearly a growth year for Fiberail, given its sterling performance, and the major opportunity it secured with MMC-Gamuda Joint Venture for the electrified double-tracking project. This is an initiative by the Malaysian Government and KTM Berhad under the Railway Infrastructure Development Project to convert the existing single-track railway infrastructure to a modern electrified double-tracking network which would offer increased line speed and throughput to Peninsular Malaysia's railway network. Work is in progress and due for completion in five years.

Fiberail will also see its resilient infrastructure and technical expertise supporting the WiMAX rollout. Asiaspace Sdn Bhd, one of the four companies awarded the WiMAX license has selected Fiberail, together with TM, to provide the use of a fibre-optic network for Asiaspace's backhaul.