Telkomsel's Response to Government's 5G Network Expansion Plan
Telkomsel has responded positively to the request from the Ministry of Communication and Information Technology (Kominfo) regarding the plan to provide incentives for expanding the 5G network in Indonesia. Vice President Corporate Communications of Telkomsel, Saki H. Bramono, expressed their support for this plan. He emphasized that building a 5G communication network in Indonesia requires substantial investments.
"If the government could consider reducing the Biaya Hak Penyelenggaraan (BHP) or perhaps provide incentives over the next three years, it would enable us to expand 5G further," Saki mentioned during an interview in Jakarta on Tuesday (7/11).
He elaborated, "Constructing a 5G network involves costs related to frequency, capital expenditure (capex), which is a significant investment. If the government is willing to work together with operators, we should collaborate."
Telkomsel is also prepared to comply with all government rules and regulations concerning the 5G network. Their primary goal is to enhance broadband penetration, especially for 5G in Indonesia. Saki added, "This is the main objective, to improve internet speed in Indonesia. It might require a joint effort with the government to determine the best way to conduct frequency tenders."
On the other hand, Saki suggested that incentives could be granted over three years or operators could use specific frequencies. He noted that this matter would be discussed further with Kominfo.
"After that, we can evaluate its progress. If utilization is high, we can pay according to the capacity used. This should be discussed with the government and Kominfo," Saki stated.
Prior to this, Minister of Communication and Information Technology, Budi Arie Setiadi, mentioned that they are preparing incentives for implementing the 5G network in Indonesia. This is seen as a strategic step to optimize the 5G network for better internet acceleration in Indonesia.
"So, the country will invest first without having to pay, making it cheaper for operators to invest a large amount," said Budi in his written statement.
He is optimistic that internet speed within the country will continue to improve in line with digital technology development. Therefore, the government remains focused on digital infrastructure provision.
He said, "A significant investment, substantial funding, and strong commitment are needed to realize digital infrastructure."
According to him, Kominfo always strives to make Indonesia's internet speed among the top 10 in the world through the 5G network.
"Speed is relative, but what matters is the world ranking. That's how we measure it; the world isn't getting slower in selling its internet. If our target is 100 Mbps but the world ranking keeps rising, it's still the same," Budi remarked.
Furthermore, the government continues to assess and formulate strategic steps for executing better internet speed with a 5G network service.
"We will collaborate with several mobile operators and industry ecosystems to formulate the best possible steps," Budi said.
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