Wednesday, May 8, 2013

The Car Insurance Info : BRTI: operator failed to build the infrastructure recommended "MVNO"

Jakarta (The Car Insurance Info)-Indonesia's Telecommunications Regulatory Body (BRTI) urged cellular operators are not able to build network infrastructure in order to return the license to the State-owned frequencies, and requested permission for Mobile Virtual Network Operator (MVNO).

"In accordance with the regulations in the framework of the" modern ", building the infrastructure of the lisencing is the obligation of the operator. So if anyone has been able to roll out the network not nationally, suggested frequency lands returned to the country, "said a member of BRTI Muhammad Ridwan Effendi, told reporters here on Tuesday.

MVNO service providers of telecommunications services are moving (cellular or FWA) in the form of voice and data, where the organizers didn't have a permit for the frequency spectrum or network access license, but can rent or use frequency spectrum belongs to the Mobile Network Operator (MNO) through a business agreement.

According to the notes, in Indonesia there are five mobile operators with Global System for Mobile (GSM), the five operators of the technology-based Code Division Multiple Access (CDMA), and some of which already have national mobile license.

The number of operators in Indonesia are relatively numerous, if compared with other countries on average have only three operators.

This makes the telecommunications Indonesia business competition is very tight and make the price of the lowest limits despite from touching the side margin revenues are still quite high.

These conditions encourage the emergence of a discourse to share network infrastructure (network sharing) are judged capable of pressing capital expenditures (capital expenditure-capex) the perpetrators of the telecommunications industry in particular the cellular operator.

The reason, the "network sharing" could add to the benefit of efficiency in the development of the network by the existing operator aboard had paved the way with expansion struggled.

"The Right would be more efficient, but the efficiency is not the only goal to be achieved. The aspect of a healthy business competition in telecommunication services are the basis of the telecommunications ACT No. 36/1999, is the most basic, "stated Ridwan.

Therefore, he argued, that "sharing network" that many digadang-gadang by small-scale operators generally have not necessarily adopted in Indonesia because it must consider a variety of other aspects in addition to the aspect of efficiency.

"Aspects of modern business competition, mergers and acquisitions, lisencing issue which should be discussed in greater depth. All these factors will affect each other, "said Ridwan.(*)

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Title Post: The Car Insurance Info : BRTI: operator failed to build the infrastructure recommended "MVNO"
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Author: Mohammad Zulfi Satriawan

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