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“This amount is the number of qualified customers. Telkomsel has strict standards for its customers,” said Sarwoto Atmosutarno, President Director of Telkomsel, while delivering a speech in the “Inauguration of 100 Million Customers” in Ballroom 3 Ritz Carlton Hotel, SBCD, Jakarta , On Tuesday (04/26/2011).

Telkomsel categorizes the SIM card users as high quality when they actively use the cellular card. “If during the three months not making a call or be called for example, automatically removed from the list of customers,” added Sarwoto.

With the achievement of targets 100 million subscribers, Telkomsel has a strong foundation to be beyond telecommunication service based on the data.

In these transformation efforts, in 2011 Telkomsel will invest in capital expenditure worth $ 1.1 Billion U.S. Dollars (about Rp 10.9 trillion) of which 60 percent was allocated to increase broadband services.

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XL’s CEO Hasnul Suhaimi said that the increment mostly happened in last quarter.
“In the last 3 months of 2010, we noted the increment of subscribers was very high, especially in Central Jawa Tengah and Yogyakarta,” he added.
According to Hasnul, the subscriber increment in this year will not as high as 2010, this is beacuse of market saturation, namely 90% of Indonesian population has have mobile number.
XL just targets the increment of 11%-12%. This means at the end of 2011 the XL subscribers will reach 44.5-44.9m.  We always want to grow more than industry namely above 10% each year.

Hasnul also added that the company strategy will not play on tariff of voice and SMS anymore, as now the figure is keeping lower since last year.

“If we play on tariff for these two services, it will impact the quality. Besides that, the SIM card business was not as big as last year, it will be worthless to reduce the tariff as new customer will be small.”
XL will focus on data services which continues to grow its contribution. It is estimated that in 2010 contributed to the data service by 9% -10% of total company revenue. In 2011 it is expected to increase in the range of 15% to 20%.
“Overall revenue grows for 2010 was above 20%.”

According Bisnis Daily, up to third quarter 2010 XL noted a significant increase in performance. In terms of revenue, the company managed to score at Rp13 trillion rupiah, or up 32%
compared to the same period last year.
Meanwhile, net income rose 73% when compared to the same period in 2009 of Rp2.1 trillion . Until that time, XL has 38.5 million subscribers.

XL prepare a capital expenditure of U.S. $ 500 million that will be used to build the 1500-2000 base stations, increased network capacity, and build an optical fiber.
“The amount of capital expenditure was moderate. It could be revised in some times if needed more money. We use internal funds to meet capital expenditure, “said Hasnul. (Bisnis daily)

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As written in the previous post Indonesian Cellular QoS Rule, the measurement items are:   Call Center Service Level, Endpoint Service Availability which include call success rate, drop call and block call, and SMS service level.

Starting from 2010, Indonesian telecommunication regulator will fine operators which do not pass the standard quality of service.

Below are the measurement result.

Source: DG Postel
CSR: Call Success Rate
FWA: Fixed Wireless Access.

According to the data, Mobile-8, a CDMA operator, was the most performed network, both for Fren (cellular) and Hepi (FWA). Its total subscriber was only around 3m by the end of 2008.  Meanwhile, HCPT with its product call “3″, was the less perfromed network followed by Smart Telecom. HCPT is GSM/3G operator, while Smart Telecom is a CDMA operator.

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This announcement came the day after the communication and information technology minister disclosed that Amdocs was being excluded from a local tender because the controlling shareholders are Israeli.

The Jakarta Globe reported that on Monday Communications and Information Technology Minister Tifatul Sembiring said that Amdocs should not be included in the billing tender of Indonesian cellular service provider Telkom PT because Amdocs has Israeli shareholders. A spokesman said the ministry will investigate Israeli-affiliated telecommunications companies and sanction those found to be in violation of the regulation.

Sembiring is a member of PKS, the conservative Islamic Prosperous Justice Party, and said excluding Amdocs from the tender was justified because Israel has no diplomatic relations with Indonesia.

The newspaper also noted the criticism from a local consumer organization, whose analyst called Sembiring’s action “irrelevant” and unwise. The analyst said that Israeli technology was commonly used in the information-technology sector because Israel is a major producer of high-tech components, and Indonesia imports 90% of the telecommunication parts used in the country.

“Many of these could be from Israeli manufacturers or come from companies with Israeli shareholders,” he said. “How about products from Taiwan? Many of our telecommunications products are from Taiwan – another country that does not have diplomatic relations with Indonesia.”  (taken from: Haaretz.com)

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Currently DG Postel released a consultation for spectrum fee based license. The white paper has been released. It can be downloaded here.

The pressure to spectrum fee stuck up since a few years ago. This was triggered with the cost that must be paid using current system, apparatus license. In this scheme, as written in the previous posting Indonesian Spectrum Levy, operator will pay as they build new equipments which use spectrum frequency. From time to time, the figures will increase and nowadays it has become so high. Just take Telkomsel for example. It has 2x30Mhz spectrum in 900MHz and 1800MHz. Until June 09, they have already paid, IDR 1.6 trillion or more than IDR 26b per MHz. This figure is far higher than 3G spectrum fee, with just IDR 16b per MHz.

The purpose this consultation is to make an equal treatment for all industry which uses the spectrum frequency. However, for the time being the focus is the cellular industry in which spectrum frequency is the vital element of the business. In this consultation, people are encourage to submit their comment to the DG Postel, from Oct 16th to the end of the month.

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In packet 4, ICON+ was competing with Indonusa System Integrator Prima, while in packet 5 ICON+ is only participant. ICON+ won the contract for IDR 274b (USD 270m) and IDR 455b (USD 450m) for packet 4 and packet 5 respectively.

When the last 2 packets have been assigned, it means all USO packets have been tendered out. Below are the winners of the other 5 USO packets which all are won by Telkomsel.

Paket 1 consists of Aceh, North Sumatera and West Sumatera in the area of Sumatera. Winner: Telkomsel, price: IDR 553b.

The packet-2 consists of Jambi, Riau mainland , Riau islands , Bangka Belitung Islands , Bengkulu , South Sumatera, and Lampung . Winner: Telkomsel, price: IDR 333b

Packet 3: Kalimantan area, consists of West Kalimantan, Central Kalimantan, East Kalimantan and South Kalimantan. Winner: Telkomsel, price: IDR 365b

Packet 6 consist of Bali, Nusa Tenggara Barat and Nusa Tenggara Timur. Winner: Telkomsel, price: IDR 209b.

Packet-7 consists of Banten, West Java, Central Java, DIY and East Java. Winner: Telkomsel, price: IDR 201b.

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In board of commissioners, there are 2 new names in board of directors namely Peter Kuncenwicz and Steve Hobbs. Meanwhile Fadzri Sentosa and Kaizad Bomi Heerjee remain in their position. All replacement will be effective starting on August 2009.

In board of commissioners, there is one new names, i.e.  Richard F Seney, while the government representative are  Rionald Silaban and Jarman.

Board of Commissioners 2008-2019 :

- H.E Shiekh Abdullah Mohammed Bin Saud Al Thani, as Chief Commissioner.
- Dr Nasser Marafih, Commissioner
- Rahmat Gobel, Commissioner
- Jarman, Commissioner
- Soeprapto, Independent Commissioner
- Setyanto P Santosa, Independent Commissioner
- Michael Latimer, Independent Commissioner
- George Thia Peng Heok, Independent Commissioner

Board of Directors 2009-2010 :

- Harry Sasongko, President Director

- Peter Kuncewwicz, Director

- Fadzri Sentosa, Director

- Kaizad Bomii Heerjee, Director

- Steve Hobbs, Director

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‘Negative factors’ were reportedly cited for its decision which included ‘complicated regulatory risks.’ The joint venture operates 2G and 3G platform in Indonesia and has a subscriber base of 3.6 million as at September 2008 giving it a market share of 2.8 percent.

In December 2007, Indonesia invoked its anti-monopoly laws against Temasek Holdings, Singapore’s sovereign wealth fund manager, for its indirect holdings in two telcos, Indosat and PT Telkomsel. The stakes in the two Indonesian telcos were owned by two Singapore entities – one, a fully owned investment unit, ST Telemedia and the other is publicly-listed, Singapore Telecommunications Limited, in which Temasek has substantial interests. Following unsuccessful appeal in May 2008, ST Telemedia sold its stake in Indosat to Qtel, Qatar Telecom.

Although this article was written in last January, the issue is still new for Indonesian Telecommunication communities.

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Yesterday, the chief executive of BWA tender has released a memorandum of information concerning the BWA tender in Indonesia. This info memo document can be downloaded here. The document contents all information concerning the BWA tender, including the schedule, bands, foreign share etc.

Below are the complete schedule of the tender process.

It is also mentioned that there are 15 regions and 2 block of frequency, namely 2360-2375MHz and 2375-2390MHz.

As informed many times in this blog, you should be ready now. BWA tender will really be performed very soon.

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