In my opinion, It has nothing to do with PH knowing how to do business. PH is looking at overall wellbeing of the country. Broadband penetration and speed is crucial to a country's growth. If TM has done a good job, they wouldn't need to step in at all.

Government policy will be main driver. Market will always follow thru.

@Stock Raider
I did mentioned that other operators will be renting backbone from TM. But still competition will be competition.

@Shinnzaii
I agree with you. Only time will tell. However if TM plays it safe, get efficient and maintain the same dividend policy, it should atleast hold RM4. The current news are merely suggestion and talks by the ministry. Especially the talk of opening up the broadband market is abit misleading because actually Celcom, Time, Maxis, Digi, Yes is already competing with TM.

http://www.theedgemarkets.com/article/why-tms-minimum-rm700m-dividend-promise-has-run-its-course

It's not rocket science.
1) On the surface you could argue that the price hasn't been reduced but instead they increased the speed for it's users. But bare in mind that a lot of areas does not have the infrastructure that supports up to 800mbps. So what would customer do naturally? Lower their package to the lowest one. Why do I pay RM300 to get 100mbps while I only need to pay RM129?
2) Government pushing to lower down broadband price. Gobind already said, he will be pushing the broadband price. Now is only the beginning. The price cut will COME promised by our minister.
3) TM used to be monopoly, now government is opening up for competition. That means what? Well competitive pricing and lower profits for customers. You could argue that other incoming telcos will be renting TM's backbone. But still, TM isn't very efficient that we have to admit. Can TM keep up with the competition?

If TNB really venture into broadband, TM will be hit hard... by a gigantic truck...
In my opinion. TM is in for a rough ride.