Govt backs radio phone business
Govt backs radio phone business
JAKARTA (JP): The government plans to introduce new tariff
structures for radio trunking telecommunications systems to make
them more attractive to users.
Minister of Tourism, Post and Telecommunications Joop Ave
acknowledged on Thursday that telecommunications through the
radio trunking system are not that popular because the fees are
less attractive than those of other telecommunications systems,
including the mobile cellular telephone system.
"The government will evaluate the current tariff structures of
the radio trunking telecommunications systems to see whether
revising them will help increase the number of subscribers," he
told a symposium on the business of radio trunking
telecommunications.
There are currently three firms operating radio phone services
in Indonesia -- PT Mobilkom Telekomindo, PT Jastrindo Dinamika
and PT Maesa Nusatama. Two other firms, PT Prasarana Lokapratama
and PT Indocall Rintis Buana, have been awarded preliminary
licenses and will start operating next year.
The government plans to license seven firms to run radio phone
services.
Joop did not specify the form of the new tariff structures.
Air-time charges on radio trunking systems are lower than the
charges on mobile cellular telephones because the infrastructures
for radio trunking service require a smaller investment than
cellular phone networks.
Like cellular phones, radio phones are also able to transmit
data and connect to household telephones. However they have fewer
features than cellular phones and so do not provide such good
value for money for individuals.
They are therefore usually subscribed to only by companies or
institutions, and not by individuals.
Jastrindo sets a connection fee of Rp 200,000 (US$85.5), air-
time traffic charges of Rp 100,000 ($42.7) per month and a
frequency utilization fee of Rp 105,000 ($41.9) per year.
An executive of the United States-based Motorola
International, Ronnie Sebastian, said that the business of radio
phones is likely to improve if their systems are able to connect
with public switching telephone networks (PSTN).
If the radio phone system is compatible with PSTN, any fixed
telephones at households or offices can receive or call radio
trunking terminals, he said.
"It depends on the government, whether or not the system will
be linked with PSTN," he said. (icn)