Mobile operator Hutchison 3 Indonesia (Tri) has set out its stall to compete for 2.1GHz and 2.3GHz frequencies in the upcoming auction to be announced by the government. Whilst full details of the tender process are pending, the authorities have issued ‘Regulation of the Minister of Communication and Information No. 20 of 2017’, which sets out the procedures for selecting recipients of spectrum blocks available in both bands. The 2.1GHz auction will comprise two blocks of 2×5MHz (FDD) radio frequency bandwidth. One allocation is in the range 1970MHz-1975MHz, paired with 2160MHz-2165MHz (Block 11), and the other is 1975MHz-1980MHz, paired with 2165MHz-2170MHz (Block 12). The bidding price for the frequencies starts at IDR296.7 billion (USD22.3 million), with bid bond representing 40% of the reserve price (i.e. IDR118.7 billion). Meanwhile, the 2.3GHz auction will comprise a block of 30MHz TDD spectrum (2300MHz-2330MHz), with a reserve of IDR366.7 billion.
In an interview with IndoTelko, Tri deputy president Muhammad Danny Buldansyah confirmed the cellco’s intention to participate in both tenders, admitting it needs additional frequencies to serve its customers’ data traffic needs. Tri currently holds 10MHz at 1800MHz for 2G and 10MHz at 2.1GHz for 3G. With the limited frequency available, Tri has allocated 10MHz from 2.1GHz to serve 3G customers, and 5MHz from 1800MHz to 4G customers, he says.