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Indonesia trials 5G, expands FTTH network further to meet growing demand for high-speed Internet services

Strategic Highlights
Published: 2018-11-16

The Indonesian telecommunications market sustained its growth trajectory in 2017, and it is still more likely to be the case for 2018 – especially for broadband services. In general, the increasing popularity of multiple play offers resulted in faster service take-up of broadband (e.g. FTTP and LTE), which was supported by active network expansions. For instance, Telkom Indonesia has rolled out more than 7m Optical Distribution Ports (ODP) across the country, with more than 155 524 km of fibre optic backbone networks. This was complemented by the operator’s deployments and copper network upgrades in areas like Jakarta, Bogor, Depok, and Tangerang since 2016. As per InfoCom's monitoring, the operator has almost 3m FTTH subscribers which generally buoyed the operator’s total fixed broadband subscriber base (now comprises 84% of the total market).

Network expansions and trials of next generation mobile networks have also resulted in the continued take-up of mobile services in the country – considering that most network investments during the year focused on advanced mobile technologies (e.g. 4.5G). In particular, XL Axiata has started to extend its “4.5G-ready” mobile networks in the Thousand Islands area, in addition to its earlier deployed stations in the islands of Kelapa, Pantara, Pari, Pramuka, and Putri. Meanwhile, Smartfren Telecom started its trials of Massive Multiple Input, Multiple Output (MIMO) and Multi-Antenna Space Division Multiple Access (SDMA) technologies in partnership with ZTE, as the operator’s initial step towards 5G adoption. This was in parallel with the prior activity of Telkomsel (Telkom Indonesia) in partnership with Huawei wherein both companies held a live 5G demo, claiming that the said technology can achieve up to 70 Gbps data speeds. InfoCom considers these activities as preparatory towards the eventual 5G adoption which could propel further mobile development in the country despite the increasing market saturation.

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Published: 2018-11-16

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