Telkom checks out potential partners

Telkom checks out potential partners

SINGAPORE (JP): PT Telekomunikasi Indonesia (PT Telkom) has
received applications from private companies wanting to cooperate
with it to run the Digital Cordless System (DCS-1800) and
Personal Handy-phone Service (PHS).

The state-owned telecommunications company's president, Asman
A. Nasution, said here yesterday that Telkom would soon begin
sifting applications to find the right partners.

"We do not need to open a tender because we already know which
companies are good and which ones aren't," Nasution told The
Jakarta Post here at Asia Telecoms 1997.

The government said last week it had awarded five licenses for
the systems, including one to Telkom and PT Cellnet Nusantara to
run DCS-1800 nationwide and one to PT Indoprima Mikroselindo
(Primasel) to run PHS in East Java.

Telkom, with state-owned PT Indosat and PT Inti, is also
licensed to jointly operate DCS-1800 in Greater Jakarta and PHS
in East Java. The consortium of three state-owned firms is
allowed to invite private firms to cooperate with them.

Nasution refused to give further details about the plan,
including whether foreign telecommunications operators, in
particular SingTel of Singapore, could join.

Nasution has held a series of meetings with leading
telecommunications firms' top executives during his Singapore
visit. He said new subsidiaries were likely to be incorporated
to run the new cellular services.

The Strait Times reported Wednesday that SingTel planned to
complete a mega telecommunications deal in Indonesia later this
year.

The director general of the ministry of tourism, post and
telecommunications said earlier this month that SingTel's
participation so far had only been to develop telecommunications
networks in the eastern part of the country, under a joint
operation scheme with Telkom.

In addition to the five new cellular licenses, the government
opened last Monday the tender process for 11 new regional
cellular licenses to operate DCS-1800 and PHS. It closes today.

There are six regional licenses to operate DCS-1800 in
Sumatra, West Java, Central Java, East Java, Kalimantan and
eastern Indonesia and five licenses to operate PHS in Sumatra,
West Java, Central Java, Kalimantan and the eastern islands.

If selected, the companies, as is the case with Cellnet and
Primasel, must cooperate with Telkom to provide services in the
designated areas. (icn)