Telkomsel launches commercial 3G service

16 Aug 2006

Indonesia’s biggest cellular operator by subscribers, PT Telkomsel, yesterday launched the country’s first commercial 3G mobile service, which will be available initially in eleven locations: Medan, Palembang, Batam, Jakarta, Bandung, Semarang, Yogyakarta, Surabaya, Bali, Makassar and Balikpapan, rising to 20 by the end of the year. As part of the launch ceremony, the cellco signed contracts with Nokia and Ericsson, and will also sign a similar deal with Siemens later, to support its 3G network rollout programme. Telkomsel also inked partnership agreements with content providers SCM, Metro TV, Bizcom and Elasitas, which it says will enable it to provide a wide selection of content through live mobile TV services, video-on-demand (VoD) streaming and video downloading. In addition, it has also entered into collaborative arrangements with another 162 local and foreign content providers. Telkomsel’s 3G rollout is expected to cost IDR3 trillion (USD331 million) over the next three years, although the operator is confident that it will reach a breakeven point by 2009.