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IndosatM2 eyes 500,000 customers by year-end
Reinforced by a new wireless technology, Internet and multimedia services provider PT Indosat Mega Media (IM2) plans to increase its customers five-fold to 500,000 by the end of this first semester
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Reinforced by a new wireless technology, Internet and multimedia services provider PT Indosat Mega Media (IM2) plans to increase its customers five-fold to 500,000 by the end of this first semester.
IM2 has launched a pre-paid 3.5G broadband Internet service that uses HSDPA (High Speed Downlink Packet Access) wireless technology.
"The pre-paid service is aimed at those who want to control their Internet usage, especially students and young professionals, by using refillable accounts," IM2 general manager of business planning Hermanudin said at the product launching Wednesday.
IM2 has established 900 HSDPA base transceiver stations (BTS), mostly in Java and Sumatra, to cover areas including Aceh, Bali and most parts of Java and Sumatra.
This year, the company plans to expand to cities in, among other provinces, Riau, South Sulawesi and West Kalimantan.
President director Indar Atmanto said the company's vision was to make the service available to everyone, especially students.
"The service only costs Rp 0.6 per kilobyte, a cheap price for fast data transfer. Students can download and upload materials conveniently," he said.
The company has also introduced programs like Cyber School and Cyber Campus to expand Internet services available in education institutions.
The Indonesian Telecommunications Regulatory Body (BRTI) reported last November that Internet penetration in Indonesia amounted to only 9.1 percent of the total population, with 70 percent of active users located in Greater Jakarta.
IM2 Pre-Paid Broadband is sold in starter packs of Rp 150,000 (about US$16) for a USIM card and a voucher for 160 megabytes' worth of downloads and Rp 1.8 million for a USIM card and a modem.
"Pretty soon cheaper modems from Taiwan will enter Indonesia, and people will be able to spend even less on the modem," Indar said.
BRTI spokesman Heru Sutadi said the current market for broadband Internet was very promising, but competition among providers was also very tight.
"Customers demand cheaper price for better quality, which means increased availability and easier access," Heru said.
On average, Internet connection in the country is about $5.07 per 100 kilobytes per second with a direct connection to an Internet service provider (ISP).
The price is currently the highest in the Southeast Asian region, with Vietnam at $3.69, Malaysia $2.57, Thailand $2.38 and Singapore $1.59.
Heru said the reason for the high charges was the lack of competition between dominant players, such as PT Telkom and PT Indosat, the parent company of IM2. (lva)
