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Indonesia Update, July 2015

  • August 2015
  • -
  • Ovum
  • -
  • 44 pages

Summary

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Indonesia saw its mobile subscription growth slow to 4% year-on-year as mobile penetration climbed to 127.1%, with 324 million subscribers at end-1Q15. During 1H15, the mobile market witnessed growing interest from the big three operators (Telkomsel, XL, and Indosat) in ramping up their LTE infrastructure after a limited launch in mid-to-late December 2014.

Highlights

In July 2015, the government completed harmonisation of 1800MHz spectrum for LTE use, enabling Telkomsel, XL, Indosat, and 3 to launch LTE 1800MHz services simultaneously in different locations across the country. Smartfren launched 4G using 800MHz, along with other players.
FTTx share has gone up swiftly to 6.3% at end-1Q15, up from 0.3% a year ago. The trend is backed by $71.1m in investments by Telkom Indonesia to expand fiber coverage.
LTE devices are subsidized in the form of cash-back deals, to increase affordability.

Features and benefits

Analyzes latest market developments and operator focusIdentifies new regulations and operator initiatives to boost mobile data use.

Key questions answered

What are the drivers feeding growth in the mobile data market?
What will LTE penetration be in 2020?

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