Cyber Access wins 3G license
The Jakarta Post, Jakarta
PT Cyber Access Communications, a relatively unknown player in the telecommunications industry, has won a bidding process arranged by the government to provide the most advanced third generation (3G) mobile services nationwide.
The company stunningly managed to beat out several experienced players in the sector in the final round of selection, such as listed PT Tira Austenite and PT Astratel Nusantara, a unit of giant car producer PT Astra International.
Other companies included in the final round of the bidding were PT Global Media Seluler, PT Catur Surya Lestari and PT Surya Waringin Mas.
In a press statement on Wednesday, the Directorate General of Posts and Telecommunications said that Cyber Access had earned the highest score of 87.55 during the assessment conducted by a special government team.
The directorate said that the final round assessment was based on the company's financial position and its capabilities, legal licenses and documents, and business and development plans.
The assessment also covered the bona fides of the company's partners and affiliates in developing the services.
The 3G mobile service is the most advanced telecommunications service available, and is present in only a few developed countries at present. The service provides a wider range of mobile services, which enables users to send voice, data and video communications, among other things.
Analysts have said that the latest development was interesting as it would provide Indonesian customers with more service choices. And for investors, Indonesia could be a lucrative market given the large number of cell phone subscribers.
The Indonesian Cellular Phone Providers Association (ATSI) predicts that the number of cellular phone subscribers will grow by 16.4 million this year, up 43 percent from 11.4 million last year.
Today, cellular operator PT Telkomsel holds 52 percent of the market, PT Excelcomindo 16 percent and PT Indosat units, including PT Satelindo, 31 percent, according to the association.