The telecommunications revolution never ends

JAKARTA (JP): The revolution in telecommunications and information technology, including cellular telephone, is unfolding rapidly. You may discard tomorrow any mobile cellular telecommunications systems or terminals you use today.

But if you are careful in choosing a cellular system, you may be able to keep your handphone for some time to come.

There are three mobile cellular telecommunications systems in use in Indonesia: the analog Advanced Mobile Phone System (AMPS), the Nordics Mobile Telephones (NMT), and the Global System for Mobile Communications (GSM).

The first system, AMPS was originally developed in the United States. In Indonesia, the system operates at between 870 megahertz (mhz) and 890 mhz. It is run by three operators: PT Komselindo, PT Centralindo and PT Telekomindo.

Transmission and signal power in AMPS are good, but in terms of security, users should be aware that this system is the most easily cloned.

To improve service, many AMPS operators have upgraded the system to include the latest generation of digital cellular technology, called Code Division Multiple Access, or CDMA.

The second system, NMT, is run in Indonesia by PT Mobisel. Fewer than 25,000 people use this system, which operates at between 450 mhz and 470 mhz. The system, which was developed by Nordics, is more suitable for mobile vehicles.

GSM is one of the most popular digital systems in Indonesia and other countries. Of the 100 million cellular users in the world, 20 million are GSM subscribers. In Indonesia, GSM, which operates at 890 mhz to 915 mhz, is run by PT Telkomsel, PT Satelindo and PT Excelcomindo.

Of Indonesia's 450,000 cellular users, Satelindo claims a share of 200,000 users, and Telkomsel boasts 135,000. Excelcomindo, which just launched its service earlier this month, is still running trial operations and expects 1,500 users to subscribe to the system.

Some cellular telephones are moving to even higher frequencies, operating at between 1.8 and 1.9 gigahertz, to be able to serve more terminals or handsets.

Indonesia currently runs trial operations for the Personal Handy-phone System (PHS) and the Digital Cordless System (DCS- 1800). These two systems will likely be adopted some time next year as complements to the three existing systems.

In addition, PT Asia Cellular Satellite System (ACeS) plans to begin operations in 1999 of a global mobile satellite system which uses an orbital satellite to transmit cellular signals, rather than the ground station network.

While the telecommunications operators battle to deliver services, telecommunications equipment manufacturers race to create more sophisticated terminals and handsets.

Nokia of Finland's latest product, the Nokia 9000 Communicator, combines a GSM handset, a telecopier and an organizer. The product costs about Rp 5 million.

The U.S. company Motorola recently launched Star Tac, which claims to be the smallest AMPS handset, with a dimension of just 9cm by 5cm by 2.5cm. The product costs about Rp 4.7 million.

Meanwhile, Germany Bosch has the M-Com 725, claimed to be the first GSM car phone equipped for data and fax transmission via laptop.

The Swedish company Ericsson is currently developing a dual- function handset applicable to both GSM and the satellite system operated by ACeS.

Race

Meanwhile, the race to develop multi-function handsets is also intensifying.

Telecommunications experts are still trying to develop multi- band mobile handsets. Perhaps as people become more mobile, they will need to carry more than one handset because different systems operate in different countries.

Adi R. Adiwoso, president of ACeS, said that his company signed a US$225 million contract with Ericsson to supply dual- band handsets for his company.

"People will be able to use ACeS or GSM when each of the system is more proper," he said.

ACeS is a mobile satellite system that allows any person with a handheld device to communicate directly with another person carrying a similar device within the satellite coverage, and, through ground station gateways and normal public switch telephone networks, to any person with a cellular or regular fixed telephone anywhere in the world.

The project will cover an area spanning from India in the west to Indochina in the east, and from China in the north to members of the Association of Southeast Asian Nations (ASEAN) in the south, he said.

"We will announce the prototype of ACeS handsets in 1997 in the hope that such a type can be adopted worldwide," he said.

The state-owned telecommunications equipment manufacturer PT Inti plans to produce cellular telecommunications handsets for the Personal Handy-phone System (PHS) jointly with a number of Japanese firms.

Inti had assembled a number of PHS terminals called the Inti Telkom Advance Cordless Telecommunications System, nicknamed Intacts. The dimensions of the PHS terminal are 115mm in height, 43mm in width and 25mm in length, while its weight is just 120g, including the battery.

One of the lightest cellular handsets in the world, the Ericsson GH 388, is 130mm tall, 49mm wide, 23mm in length and 170 grams in weight.

Tariffs and fees

Mobile cellular telephone operators charge Rp 388,400 for new installation, which includes Rp 300,000 for the activation fee, Rp 8,400 for frequency utilization, Rp 25,000 for administrative fee and Rp 55,000 for the first-month charge.

The monthly billing statement includes the fixed Rp 55,000 monthly charge and Rp 8,400 for frequency utilization, in addition to the fees based on the volume of calls, which are subject to the 10-percent value added tax.

Cellular operators admit that the current billing system is complicated, but say that the fault lies with the government, which has yet to deregulate the interconnection system between the cellular and public switching telephone network (PSTN).

The complicated traffic calls from cellular telephones are also caused by the zone divisions arranged by the state-owned domestic telecommunications operator PT Telkom for long-distance call traffic.

Analysts said that cellular telephone operators should no longer recognize PSTN tariffs, but only air-time charges.

The current cellular telephone tariff structure in Indonesia consists of three components: an air-time charge, local call charge and long distance charge.

The air-time charge includes two tariffs: from cellular to fixed-telephone (Rp 275 per minute), and from cellular to cellular phone (Rp 550 per minute).

Local calls fall into two time divisions: normal and peak hour. Normal hours are between 3 p.m. and 9 a.m., while peak hours fall between 9 a.m. and 3 p.m.

Long distance calls are subject to five time divisions which have different charges depending on work days and holidays.

Cellular operators set up three zone divisions. Zone one is for calls made within the 31 km to 200 km range. The range of zone two is 200 km to 500 km, and the range of zone three is more than 500 km.

Telkom sets three time zone divisions: zone one, between 30 km and 200 km; zone two, between 200 km to 500 km; and zone three, more than 500 km.

GSM subscribers must also remember that they will still be charged if they receive international and long-distance calls when they are out of town.

For example, a subscriber registered in Jakarta who is visiting Surabaya in East Java and receives a call from a fixed telephone in Bandung in West Java will be charged Rp 1,650 per minute for the long-distance call in Telkom's Zone three.

Mobile cellular users face higher charges if they use a number of optional features offered by the operators. Because the government controls both the tariffs for telephone calls and the installation fee, cellular operators can compete only in services, meaning that they need to be creative in offering features.

The monthly charges for the features range from Rp 16,000 to Rp 25,000 a month depending on the additional facilities, which include call forwarding, voice mail, a fax service and short message service.