This Report Describes The Booming Indonesian Mobile Telephone Market

DUBLIN, Ireland, Sep 10, 2008 (BUSINESS WIRE) -- Research and Markets ( http://www.researchandmarkets.com/research/9ae844/indonesia_mobile) has announced the addition of the "Indonesia - Mobile Communications - Market Overview" report to their offering.

Indonesia's mobile market has grown rapidly in recent years, with the number of subscribers heading for 120 million in 2008, up from 90 million in early 2008, having grown by nearly 40% in 2007. [more, marketwatch]

Indonesia reviews foreign ownership in telecoms

KUALA LUMPUR, May 28 (Reuters) - Indonesia is reviewing
foreign ownership rules in its telecoms industry, the country's
trade minister said on Monday, amid speculation that the
government wanted to tighten restrictions.

Indonesia currently allows foreigners to own up to 95
percent of a local telecoms firm, Trade Minister Mari Pangestu
told a business forum in Kuala Lumpur. This is a much more
generous limit than in many other other Asian countries.

Asked if the restrictions would be tightened, Pangestu told
reporters: "It is still being reviewed. It's better to ask the
telecommunications minister."

Debate had turned to foreign ownership after an executive
from Malaysian phone firm Maxis Communications asked
about rumours that the limit would be reduced. Maxis owns 95
percent of Indonesia's Natrindo.

Indonesian President Susilo Bambang Yudhoyono, who also
took part in the round table, did not answer the question
directly but said there would be no sudden changes in telecoms
policy.

"We will not make dramatic, abrupt changes without
explaining to our partners," he said.

Later, when questioned by reporters, Pangestu said
Indonesia was working on a new investment law that would, among
other things, spell out foreign shareholding limits and other
conditions in various industrial sectors, including telecoms.

"The intention is to make this new list more transparent
and clear to investors in general," she said. "Each sector has
come out with its recommendations."

"With the new investment law, we are coming out with a new
list. Telecommunications will be under the new list. We are
still finalising that list," she added.

Pangestu said some sectors would be closed to foreign
investors following the review, the first since 1994.

"There are some (sectors) that will be more open," she
added, without elaborating.

She said the new list would be a boon to investors.
"It's more transparent, it has greater legal certainty and
the criteria are very clear. The criteria will really be on
national interests."

Indonesia has seen an influx of foreign telecommunication
companies such as Hutchison Whampoa Ltd and Singapore
Telecommunications Ltd .

Most firms are involved in the mobile phone sector. The
number of cellular phone subscribers has risen sharply in
recent years and is expected by analysts to top 100 million by
2010 from some 70 million now.

Indonesia's diversified SETDCO Group plans to bid for a 35
percent stake in the country's largest mobile phone operator,
PT Telekomunikasi Selular (Telkomsel), its chairman had said.

Setiawan Djodi, chairman of the privately owned SETDCO
Group, which has business interests ranging from oil and gas to
shipping, said the company wanted to buy SingTel's stake for
$1.6 billion.

The telecoms arm of Russia's Alfa Group conglomerate,
Altimo, had said it plans to invest $2 billion in Indonesia's
telecommunications sector.

Telekom Malaysia has a controlling stake in
Indonesia's third-largest mobile phone operator, PT
Excelcomindo Pratama Tbk .

(Additional reporting by Harry Suhartono in Jakarta)

Telkomsel to double its call center capacity

Jakarta (ANTARA News) - Cellular telephone operator PT Telkomsel plans to double its call center capacity to 1.1 million calls a day.

"The service supported by an interactive voice response system is operated by around 4,000 personnel and has been the busiest call center in the country," VP Customer Service Irwin Sakti said in a written statement received here on Sunday.

Telkomsel has also opened a call center 136 video service access based on 3G technology as has been widely applied in many advanced countries, he said.

Irwin said PT Telkomsel had earned the international quality standard management certifacate ISO 90001:2000 for customer service covering call centers in Jakarta, Surabaya, Bandung and Medan.

The certificate is an international recognition of the company`s quality standard of all its services including call center and walk-in services.

Irwin said that the company`s call center was supported by complete access to all services from customer service online, SMS, website to e-mail to around 10,500 service points across the country.(*)

ASEAN information ministers agree on applying joint digital broadcasting system

Jakarta (ANTARA News) - ASEAN ministers responsible for information agreed to apply the digital broadcasting technology as standardized broadcasting in ASEAN.

The broadcasting technology standard jointly applied in the ASEAN member countries is the DVB-T (Digital Video Broadcasting-Terestrial) technology of the European digital broadcasting system.

"After several considerations, it was decided to choose the DVB-T which was endorsed by the ASEAN member countries," Minister of Communications and Information Muhammad Nuh as host told a press conference of the ASEAN Ministers Responsible for Information (AMRI) in Jakarta on Thursday.

The agreement was one of the results of the two-day 9th Conference of ASEAN Ministers Responsible for Information (AMRI) in the framework of ASEAN Digital Broadcasting Cooperation opening on Thursday.

Minister Muhammad Nuh said that the ASEAN ministers need to set a digital broadcasting standard to allow them to have an exchange of information.

While actually agreement had already been reached on a digiral broadcasting system in the ASEAN region, the Minister said that each of the regional grouping`s member country is free to choose and apply the most suirable digital broadcasting technology.

"The most important thing is that whatever the trend being used by the respective member countries, there is a connectivity, so that a bridge needs to be built to arrange the different digital broadcasting technologies being applied," Nuh said.

In the meantime, ASEAN Secretary General Ong Ken Yong said that the ASEAN information ministers had agreed to apply the best and most suitable technology for application in the ASEAN region, namely the DVB-T.

"The ministers said that the European technological standard DVB-T is the best for ASEAN, and by 2015 all the world will switch to digital broadcasting," Ong Ken Yong said.

In the meantime, Secretary Secretary General of the Ministry of Communications and Information Freddy Tulung said that three ASEAN member countries, including Indonesia, are applying the DVB-T as a digital broadcasting system in their respective countries.

Freddy also said that the AMRI senior officials meeting (SOM) AMRI merely discussed the time of the joint switch-off from the analog broadcasting system to the digital broadcasting system for the time being set for 2015.

"In the meantime until 2015, adjustments are being made on the basis of the geographical and social condition of the individual countries," Freddy said.(*)

Palapa Ring in Eastern Indonesia to Operate in 2013

TEMPO Interactive, Jakarta:The operation of a fiber optic network in eastern Indonesia will begin in 2013. The construction of the backbone will be as long as 10,000 kilometers, crossing Nusa Tenggara, Maluku, Papua through to the Celebes.

The Directorate General of Post and Telecommunication spokesperson, Gatot S. Dewa Broto, said that the fiber optic network in eastern Indonesia has the capacity of 20 gigabyte per second (gbps) with investment totaling Rp3 million.

“Network construction will be done gradually for three years,” said Gatot in Jakarta yesterday (24/5). After the network is operated, the people in these areas will obtain telecommunication services of voice up to broadband access.

The availability of infrastructure will also make telecommunication and internet service tariff more affordable. The application of distant learning, telemedicine, e-government and applications can also be implemented. (Eko Nopiansyah)

Telecommunication Kiosk (TELKOM) is asked to unblock IDD

BRTI sent a letter to PT Telkom with regards to the continual blocking of International Direct Dialing - IDD access code 001 and 008 by certain Telecommunication Kiosk, shorten as Wartel (Warung Telekomunikasi) in Batam area.

BRTI has carry out a field check and found that the blocking is still occurring in Batam, RIAU Island. The field check was performed upon receiving a report from APWI (Asosiasi Pengusaha Wartel Indonesia) at BRTI Gathering on middle May 2007. This blocking is prohibited and inequitable to the Mahkamah Agung RI (Supreme Court of Indonesia).

Within its letter, BRTI orders PT Telkom to immediately create a Circulation Letter address to all WARTEL in Indonesia, including Warung TELKOM (TELKOM Telco Kiosk). WARTEL must not perform such blocking or to unblock the service of IDD access code 001 and 008 belongs to PT INDOSAT. This (ongoing) blocking is considered as a breaching of the Law No. 5 year 1999 about Anti Monopoly Practice and Unfair Business Competition.

Mobile-8 gets principle permit for wireless fix network operations

Jakarta (ANTARA News) - Publicly-listed cellular phone operator company PT Mobile-8 Telecom has received a principle permit from the Communication and Informatics Ministry to set up fixed wireless telecommunication network with a limited mobility, a spokesperson has said.

The principle permit was given simultaneously to three of PT Mobile-8`s subsidiaries namely PT Telekomindo Selular Raya (Telesera), PT Metro Selular Nusantara (Metrosel), and PT Komunikasi Selular Indonesia (Komselindo), president director Hidajat Tjandradjaja told the Jakarta Stock Exchange (JSX) here Tuesday.

"The principle permit has allowed the three Mobile 8`s subsidiaries to begin setting up network as well as requesting for number sign and operational worthy test," he said.

They also could start making cooperation agreement with other telecommunication operators to install fixed wireless network in certain areas, he said.

The Group`s principal activities are the provision of Code Division Multiple Access (CDMA) cellular for telecommunication network services and trading of multimedia products and related services.

Its prepaid and postpaid mobile cellular services operate under "Fren" brand name.

The Group is the first to commercially launch 3G high-speed mobile Internet services in Indonesia. Operations of the Group are carried out in Indonesia. (*)