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Prepaid SIM cards increase in fame

| Source: JP

Prepaid SIM cards increase in fame

JAKARTA (JP): Cellular phone users watching their pocketbooks
are increasingly preferring the prepaid subscriber identity
module (SIM) card over the monthly billing system, an industry
executive said on Monday.

Kusnadi Sukarja, the director for sales and marketing of PT
Excelcomindo Pratama, said the demand was an indication of
consumer need to monitor expenditures.

"The prepaid SIM card has become increasingly popular because
it allows users to control their bills. It is also more
practical," Kusnadi said at a news conference on the launching of
Excelcomindo Pratama's new service for prepaid SIM cards
subscribers.

He said prepaid SIM cards users did not have to deal with
complicated procedures for identity documents which were required
for the billing system.

Kusnadi said his company, the operator of the global system of
mobile communications (GSM) GSM-XL, recorded rapid growth in the
number of subscribers of its prepaid SIM card Pro-XL since its
launching in April.

"Pro-XL subscribers reach over 100,000 subscribers, exceeding
the GSM-XL subscribers."

Kusnadi said Excelcomindo suffered a 30 percent decline in the
number of users of its SIM card GSM-XL, which operates under a
billing system, this year.

"Our GSM-XL users are currently more than 70,000 subscribers,
a drop by about 30 percent compared to over 100,000 subscribers
last year."

He attributed the downturn to the economic crisis and rising
cellular phone rates.

"Many people have stopped using their phones because they
could not afford to pay their bills anymore."

Excelcomindo's Corporate Communications Manager V. Elisawati
said the sharp drop was partly due the company's recent move to
suspend services to subscribers behind in bill payments.

She dismissed the suggestion that former billing system card
users composed the bulk of those shifting to the prepaid card,
saying they accounted for only 5 percent of the number.

Excelcomindo launched on Monday Tele Pro-XL, which enables its
Pro-XL subscribers to refill their SIM cards by charging payment
to either Visa or Mastercard credit cards or a Bank Bali account.

"Pro-XL subscribers only have to dial 188 using their mobiles,
and give their credit card number or Bank Bali account number to
get a 14-digit secret code. The secret codes can then be used to
refill the pulses of their pro-XL card," Kusnadi said.

"It is our effort to facilitate services to our Pro-XL
subscribers amid the rapid growth of prepaid SIM card
subscribers."

Excelcomindo is the youngest of Indonesia's three GSM
operators which also includes PT Telkomsel and PT Satelindo. It
is owned by Nynex Corp of the United States, Mitsui of Japan, the
Asian Infrastructure Fund and Indonesia's PT Telekomindo Prima
Bhakti.

Excelcomindo, which operates in Greater Jakarta, West Java,
Central Java, East Java, Bali and Lombok, began operating in late
1996. (gis)

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