JP\/18\/CAN1<\/p>\n
Infrastructure is still not supportive<\/p>\n
Unlike those in Europe, people in Asia, including -- if not,
\nespecially -- Indonesia like to have the most advanced cellular
\nphone available, even if it is quite expensive.<\/p>\n
A visit to several shops in Paris showed the latest-model
\nhandsets being offered were being sold in Jakarta several months
\nago. Many people in Paris still use handsets that are no longer
\npopular in Jakarta.<\/p>\n
Last year, there were 28 million cellular telephone
\nsubscribers in Indonesia, and the total is expected to increase
\nto 40 million this year.<\/p>\n
Meanwhile, only about 8.5 million of our total population of
\n220 million have fixed-line telephones; for operators, investment
\nin this sector is less attractive compared to mobile telephony
\nbecause the former requires much more funding and the return
\ntakes much longer to realize.<\/p>\n
This all adds up to meaning a very strong cellphone market
\nhere. People often buy handsets with very advanced technology,
\nwhich means they are more costly, even though in their daily
\nlives they rarely make use of many of these functions, either
\nbecause they are worried about high phone bills, or because the
\ntelecommunications infrastructure is still unable to match the
\nlatest technology. Furthermore, many Indonesian users perhaps
\ndon't know how to use many of these advanced features.<\/p>\n
The geographical extent of Indonesia is another problem,
\ncomprising more than 17,000 islands. For the time being,
\ntelecommunications are not a priority for the government; only
\none of the 91 infrastructure projects -- the Palapa O2 Ring
\n(Backbone Network Development) -- was offered to foreign
\ninvestors in January.<\/p>\n
Taking advantage of the large potential cellular market
\navailable, state-owned PT Telkom has provided new services like
\nCode Division Multiple Access (CDMA) through Telkom Flexi,
\nalthough it is still very limited. In April, the company is also
\nscheduled to launch its new satellite service Telkom-2.<\/p>\n
Last July, according to Alcatel's official website, PT Telkom
\nand the French company held a partnership to launch Speedy
\nBroadband Access. In November, Ericsson also won a contract to
\nprovide broadband technology in Surabaya, East Java. Telkom plans
\nto have 2 million broadband users within the next three years.<\/p>\n
Other foreign companies are also working to implement 3G
\ntechnology. Much-criticized Law No.36 on Telecommunications,
\nissued in 1999, has too many loopholes.<\/p>\n
So far the government is only allowing PT Telkom and its
\npartly-owned PT Indosat to provide fixed-line local phone
\nservices, long distance, and international services. Only a few
\ncompanies are allowed to provide Voice over Internet Protocol
\n(VoIP).<\/p>\n
\"We need legal certainly before we commit ourselves,\" said a
\nforeign investor.<\/p>\n
However, sooner or later, consumers will be able to enjoy a
\ngreater variety of services for their cell phone, despite all the
\ncurrent problems. -- Kornelius Purba<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/jp18can1-1447899208",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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