ATSI urges govt to regulate Telkom's new service<\/p>\n
Evi Mariani
\nThe Jakarta Post
\nJakarta<\/p>\n
PT Telekomunikasi Indonesia's (Telkom) new fixed-wireless
\nservice, TelkomFlexi, which has features similar to those offered
\non mobile phones, has sparked protests from cellular phone
\nproviders who fear that TelkomFlexi will cut into their share of
\nthe market.<\/p>\n
Indonesian Cellular Phone Provider Association (ATSI) chairman
\nRudiantara told The Jakarta Post on Tuesday that the government
\nshould keep the TelkomFlexi service fixed, so that it would not
\ninterfere with the mobile phone market share.<\/p>\n
\"If it is a fixed service, it should not offer mobile
\nservices,\" he said.<\/p>\n
In May, Telkom introduced TelkomFlexi, which is actually a
\nfixed-wireless service using the latest technology, Code Division
\nMultiple Access (CDMA).<\/p>\n
However, by using the service, customers can carry their
\nfixed-line phones outside their homes as long as they are still
\nwithin reach of a base transreceiver station (BTS). One station
\nhas a radius of more or less five kilometers.<\/p>\n
To sign up for the service, customers pay Rp 150,000.
\nTelkomFlexi offers the same rates as those for fixed-line calls,
\nwhich are cheaper than calls made on a cell phone.<\/p>\n
For an extra Rp 50 per minute, customers can move to an area
\ncovered by another BTS, so that they can communicate within a
\nwider area.<\/p>\n
Telkom vice president for corporate communication Eddy
\nPraptono said for Jakarta customers TelkomFlexi service could
\nreach the whole city for the time being.<\/p>\n
\"We plan to widen the reach to greater Jakarta,\" he told the
\nPost.<\/p>\n
Besides the mobility feature, TelkomFlexi also has other
\nfeatures like short messaging services (SMS) and a relatively
\nfast Internet access of 144 kilobytes per second.<\/p>\n
These mobile features offering fixed costs provided by
\nTelkomFlexi have raised concerns from mobile phone providers, as
\nthey fear it will cut into their share of the market.<\/p>\n
Rudiantara said that fixed-wireless services, such as
\nTelkomFlexi could offer cheaper rates because its provider pays
\nfor a cheaper license from the government.<\/p>\n
\"For example, a mobile service provider like us, members of
\nATSI, has to pay about Rp 18 million (about US$2,195) for
\ninstalling a relay station,\" he said. \"That is 20 times higher
\nthan the cost for installing a fixed service station.\"<\/p>\n
He added that if the government implemented a clear regulation
\non the new service, mobile phone providers would not feel
\nthreatened.<\/p>\n
He said that ATSI had voiced its concerns to government
\nofficials last week.<\/p>\n
\"It's OK for us if the government restricts the TelkomFlexi
\nservice to those of fixed lines, as we will have our own market
\nshare,\" he said. \"But if the regulator lets the service go beyond
\na fixed service, we will object, as TelkomFlexi might take a
\nportion of the mobile market share.\"<\/p>\n
I Ketut Prihadi, the spokesperson for the Directorate General
\nfor Post and Telecommunications at the Ministry of Communications
\nsaid that his ministry was currently discussing a regulation that
\nwould be acceptable to every player in the telecommunications
\nbusiness.<\/p>\n
Rudiantara said that mobile market shares grow by four million
\nto five million a year.<\/p>\n
Meanwhile, TelkomFlexi management has reportedly projected its
\nmarket share to grow by one million a year.<\/p>\n
\"If a fair regulation is not implemented, TelkomFlexi's market
\nshares will fully intersect with the mobile service's,\" he added.<\/p>\n
TelkomFlexi info<\/p>\n
1. Current customers of Telkom fixed-line services cannot switch
\nto TelkomFlexi as it is a separate service.
\nThose who are not Telkom fixed-line customers can buy
\nTelkomFlexi.
\nNew installment fee : Rp 150,000
\nMonthly fee : Rp 46,100<\/p>\n
2. Telephone station : Using a specially-designed handset for
\nTelkomFlexi, available in any phone dealers at prices between Rp
\n1.3 million and Rp 3 million.
\nTariffs : same as fixed line tariffs<\/p>\n
(SMS costs Rp225 per message)<\/p>\n
3. Features : SMS, internet access of 144 kbps, call
\nforwarding, call waiting, calling line identification
\npresentation and restriction, three-way calling, voice mail,
\nactivation schedule profile.<\/p>\n
4. Network range : 5 kilometers for one BTS, movable to
\nanother BTS, in Jakarta reaching up to the whole province.
\nThis might change as the telecommunications regulator is
\ndiscussing a regulation on fixed-wireless access service.<\/p>\n
5. Service locations : Jakarta, Balikpapan, Batam, Surabaya,
\nDenpasar, Makassar.<\/p>",
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