Indonesia’s Telkomsel to Launch 3G This Year

PT Telkomsel, Indonesia’s leading cellular operator, ready to launch commercial 3G services this year, a Jakarta-based newspaper reported today. During a trial since May last year, Telkomsel performs services such video streaming, video calls and broadband Internet connection.

“Development of 3G market was also pushed by economic growth, technology evolution, regulatory, consumer behavior and interoperator competition,” said Kiskenda Suriahardja, President Director, Telkomsel, as cited by Koran Tempo Daily.

The company has a nationwide network covering about 80% of the population of the fourth most populous country in the world with a population of over 250 million people. Telkomsel operates a dual band GSM 900/1800 network in Indonesia, complete with GPRS services, WiFi hotspots and EDGE technology in selected locations.

The government recently awarded three companies the right to operate high-speed 3G mobile telecommunications services (W-CDMA): PT Telkomsel, PT Excelcomindo Pratama and PT Indosat. While PT Natrindo Telepon Seluler and PT Hutchison CP Telecommunications (which acquired Cyber Access Communications) obtained their licenses in 2004.

The paper reports, in the first phase of 3G services (2006-2007), Telkomsel predicts to reach 270 million users or 0,8 percent of total subscribers. Currently Telkomsel has 27 million GSM users.

In 2007, 3G users will reach 1,2 million. In the third phase, 2010, Telkomsel expects to get 18 million 3G users or 30 percent from total subscirbers.

For two years ahead Telkomsel will spend Rp3 trillion (1 US$ = Rp9,000) to develop and deploy 3G services in Indonesia. [3G!]