Thu, 23 Sep 2004

Telkomsel expects 3G license soon

Tony Hotland, The Jakarta Post/Jakarta

PT Telekomunikasi Seluler (Telkomsel) expects to obtain a frequency license to run third-generation technology-based radio network before the end of the year to capitalize on the growing demand for cellular services offered by the technology.

Telkomsel's general manager of technology and strategic network Yoseph Garo said on Wednesday that the country's largest cellular operator had already requested for the 3G license from the government.

"We submitted our proposal to the government some time this year and we're now just waiting for the approval. Actually, we've prepared most of the basic infrastructure required to operate this technology," said Yoseph.

He added that once the license was granted, Telkomsel would purchase the main element to run third-generation (3G) services -- a sort of antenna called the node B -- and would be ready to start providing the services within a period of six months after the license endowment.

"We principally only have to add the node B and several softwares on the base transceiver stations (BTS), or, we could build stations that support 3G," said Yoseph. Telkomsel has approximately 60,000 stations across the country.

According to Merza Fachys from PT Siemens Indonesia, one node B antenna costs between US$60,000 to $200,000.

However, Telkomsel, which is majority owned by publicly listed telecommunications firm PT Telkom, would install the antennas on specific locations based on an identification of demand and need for the relatively new technology here.

"For the voice service, we'll provide it nationwide. But for the data service, we'll divide into categories based on the volume capacity. The more capacity, the more specific the location is," said Yoseph.

The 3G technology, which is used for the Wideband-Code Division Multiple Access (W-CDMA) radio network, is a far more advanced level of the second-generation (2G) technology used in the Global System for Mobile Communications (GSM) network.

It offers substantially enhanced capacity, quality and data rates above those currently available with 2G.

This means that new and more demanding services, such as video streaming and video conferencing through cellular phones, are real and the concurrent use of multiple services is supported.

Current cellular phone owners will have to change their terminals if they wish to use services offered by 3G.

The technology is not really new for many countries, including those in the Asia region like Japan and South Korea, which have run the 3G services since the past few years.

It has received quite warm welcome upon introduction there, although it has yet to match the popularity of even the newest technologies -- the General Packet Radio Service (GPRS) and the Enhanced Data rates for GSM Evolution (EDGE).

There are two domestic cellular operators which have been granted with the license. They are PT Cyber Access Communications in October 2003 and recently granted PT Natrindo Telepon Seluler/Lippo Telecom. However, none of them have yet operated the technology.

"I don't know, perhaps the government has other considerations in determining who gets it first. But I think it's because they (the two companies) had proposed before we did," Yoseph said when asked why Telkomsel had not been given the license.