Early June 2021, Telkomsel became the first Indonesian operator to launch commercial 5G services, covering the cities of Balikpapan, Medan and Surakarta. In June, Telkomsel expanded coverage to include another five cities in Java and islands, namely Surabaya (Java), Makassar (South Sulawesi), Bandung (Java), Batam (Riau Islands) and Denpasar (Bali) and plans to expand to a total of ten cities by the end of 2021.
The 5G network is also expected to cover Telkomsel Smart Office in Jakarta, the Bandung Institute of Technology, Telkom University in West Java and Telkomsel branch offices in nine cities. The operator’s 5G launch is supported by several devices compatible with 5G non-standalone technology operating in the 2300 MHz band, including Oppo Reno5 5G, Huawei Mate 40, Vivo X60 and Vivo X60 Pro.
Ericsson long-standing partner to Telkomsel showcased several 5G use cases at the recent 5G launch event, demonstrating 5G benefits for both consumers and enterprises.
For consumers, immersive and enhanced video is one of the most exciting use cases 5G can bring. 5G’s high speed and low latency enables a 360 degrees 4K video streaming with wireless connectivity, allowing consumers to enjoy an unparalleled immersive broadcasting experience in real-time through VR goggles.
At the event, Ericsson provided interactive booths where the visitors experienced 360 VR live streaming from Batam city, using a wearable neckband 360 degrees camera from a startup which is part of the Ericsson Startup5G program. This was accomplished using an end-to-end 5G connectivity between Batam and Jakarta.
Furthermore, 5G will transform how enterprises operate, unlocking new possibilities for the future. Ericsson also showcased a "live" augmented reality visualization of the digital twin of an actual city. Immersive technologies such as mixed reality will enable city planners to make better decisions for sustainable urbanism in the future.
In late June, rival operator, Indosat Ooredoo, announced the launch of its 5G services in the city of Surakarta. The NSA network, supplied by Huawei, is using the 1800 MHz spectrum band and is available to both the business and consumer market segments. The operator is planning to extend its 5G footprint in other cities, including Jakarta, Surabaya and Makassar. The 5G commercial launch is part of a partnership between Surakarta Municipality to support economic recovery, including collaboration with small-medium size enterprise empowerment, digital talent education, and smart city development.
Known locally as Solo,Surakarta looking to 5G to boost its post-Covid economic recovery through smart city initiatives and enhanced services.The roll out will support smart city initiatives and more efficient processes for city services and local business.
Helping shape its reputation as a smart city, Ooredoo will also establish a smart information hub at Solo's City Hall that connects the city’s command centre to more than 2,700 RT community residents to provide real-time information across the entire city.
Supporting digital education, Indosat Ooredoo will provide content creator training and coaching to 2,000 of Solo’s youth and main youth-leading communities. The company is also providing Augmented Reality (AR) training for 500 young developers in Solo.
Finally, Ooredoo is providing its micro-lending offer UCan to local MSMEs to help fund the growth of their businesses.
The Solo launch will be followed by commercial roll outs in other major cities in Indonesia, including Jakarta, Surabaya, and Makassar.
Indonesian operators XL Axiata and Smartfren must conduct operational tests before launching their 5G services.
Indonesia’s mobile market has displayed very strong growth for the five years up to 2016. However by 2019, growth had subsided. Growing use of mobile broadband has been a significant driver of this strong growth. Industry consolidation is possible towards 2020 as intense data competition may force smaller and unprofitable mobile operators to be pushed out of the market. Currently four main mobile operators compete for revenues in the Indonesian market. All of these operators are well advanced in the deployment of their 4G LTE networks.
Mobile subscriber growth is expected to be relatively low over the next five years to 2023 as the market further matures in a highly competitive market. The market will be driven by the uptake of both 4G and 5G services. Indonesia has seen a very rapid increase in mobile broadband penetration over the past five years driven by a rising level of mobile broadband users. However, the mobile broadband market is still at a relatively early stage of development. Strong growth is predicted over the next five years to 2023.
Indonesia 4 GSM network operators are Telkomsel, IM3 Ooredoo (a.k.a. Indosat) 3 (= Tri) and XL Axiata. Additionally, Smartfren operates a 4G/LTE network only. For the 4 major national providers 2G is on 900 and 1800 MHz, 3G is on 2100 MHz. 4G/LTE has been started on Telkomsel, XL Axiata and IM3 on 900 MHz (band 8 in Jakarta, Bali and other cities and from summer 2015 on all networks on 1800 MHz (band 3) too.
Telkomsel, the mobile branch of Telkom Indonesia, has a market share of about 40% in Indonesia and is the only operator which is active in all provinces.It is 2/3 owned by the state through Telekom Indonesia and 1/3 by SingTel from Singapore.
Telkomsel presided over a mobile network totalling 146,571 base stations in 2017, of which 65.7% are capable of supporting 3G/4G services. For 4G 900 and 1800 MHz (bands 8 and 3) are used and from 2018 additionally 2300 MHz TD-LTE on band 40.
Telkomsel has the best coverage especially on the outer islands, but can be slow on the main places. 4G/LTE has started on 900 and 1800 MHz in Jakarta, Bali, Bandung, Medan, Surabaya, Makassar, Lombok and Manando: 4G Coverage Map. In 2016 they announced that their LTE network is now live in 100 cities in Sumatra, Java, Kalimantan, Sulawesi, Bali and Nusa Tenggara, as well as Papua, thanks to the deployment of more than 4,500 eNode B base transceiver stations (BTS). 4G access is only possible with a 4G-enabled SIM card sold in stores where they have 4G coverage.
According to the most recent OpenSignal report on Indonesia Telkomsel has maintained its dominance by winning four out of five metrics in their national analysis, and more than 75% of the awards in Indonesia’s 16 largest cities.
Telkomsel has also partnered with Ericsson and selected NFVI core network technology for a major core network upgrade as it moves towards 5G deployment. Ericsson’s core network solutions will enable Telkomsel to improve speed, efficiency and agility for its current business and for future opportunities. With increasing Radio Access Network (RAN) speeds and the growing need for low latency, service providers also face the need to evolve core networks to advanced and flexible architecture that includes distribution to the network edge. The deployment of Ericsson’s NFVI (Network Functions Virtualization Infrastructure) solution, together with Ericsson Cloud Packet Core, is a significant step towards making Telkomsel’s network 5G-ready. Telkomsel will benefit from scalable software architecture, reduced time to market for new services, lower total cost of ownership, and faster responses to changing consumer and enterprise demands.
M3 Ooredoo, a.k.a. Indosat, has become the 2nd operator in Indonesia with 22% share of the market. It's focusing on triple play and mostly owned by Ooredoo, which rebranded it in 2015. It has a good coverage on the main islands of Java, Bali, Kalimatan, Sulawesi and Sumatra: Indosat coverage map at low prices. 4G/LTE has started in Jakarta, Bandung, Yogyakarta and Bali and is available in about 94 cities at the end of 2016 on 900 (B8) and 1800 MHz (B3) with speeds up to 185 Mbps. In 2017 it auctioned further spectrum on 2100 MHz (B1).
3 called Tri in Indonesia by Hutchison Whampoa from Hong Kong is now the 3rd provider with the lowest coverage and the cheapest rates. It has a limited coverage only in some main islands. If you want to travel through the archipelago or to remote places, look elsewhere. Before you buy their SIM, check coverage here for 2G, 3G and 4G/LTE. Up to now 3 has been focusing its efforts on its 3G network rollout, deploying access to the 2,820 sub-districts, 307 municipalities in 25 provinces in Sumatra, Kalimantan, Sulawesi, Java, Bali and Lombok. As of 2015, the operator had extended its national footprint to 86% of the Indonesian population.
In 2015 Tri started 4G/LTE on 1800 MHz (band 3). In 2017 4G/LTE is available in 227 cities in 25 provinces on the islands of Sumatra, Kalimantan, Sulawesi, Java and Bali and Tri auctioned further spectrum on 2100 MHz (band 1).
Despite sharp increases in streaming and gaming services in Indonesia, @Telkomsel saw only a 5% jump in overall data traffic since mid-March while @XLAxiata_Tbk experienced about a 15% increase from March 16 to 20, Jakarta Post reported. That's likely to change in next few weeks pic.twitter.com/TpOFKpM75J
XL Axiata is the 4th provider in Indonesia. It is owned by Axiata Ltd. and has about a 90% coverage on these islands: Java, Bali and Lombok. Furthermore, it covers cities on Sumatra, Kalimatan, Sulawesi and a very limited coverage on Papua. Where it has 3G, speeds are often faster then Telkomsel. 4G/LTE has started in Jakarta, Medan, Yogyakarta and is spread to other regions like Bali, Lombok, Surabaya and East Kalimatan and Sulawesi on 900 and 1800 MHz: 4G Coverage Map . As at 31 October 2017, XL Axiata says it had more than 20 million 4G subscribers nationwide, using a network comprising 16,000 BTS. At the same date, its total number of ‘on-air’ base stations had reached nearly 100,000, of which more than 44,000 were 3G-equipped.
Indonesia operator @XLAxiata_ID reported strong profit and revenue growth in H1. Other highlights: #ARPU grew 10% y-o-y, #4G base stations up 51% to 37k, 7% sub growth, 86% smartphone penetration pic.twitter.com/jJcWsc675H
Smartfren by Indonesian PT Smartfren Telecom Tbk is a major player in the country.They previously used CDMA and EVDO rev.2 instead of GSM, but have now migrated to LTE.
In 2016 Smartfren started the most widespread and fastest LTE in the country so far. It employs LTE Advanced that reaches higher speeds through carrier aggregation. But two rare frequencies are used: 850 MHz FDD (Band 5) and 2300 MHz TDD (Band 40). Smartfren's coverage is on the islands of Java and Bali, parts of Sumatra, Sulawesi, Lombok and Kalimantan. It started 4G/LTE in 25 centers so far (coverage map) and reaches 188 cities in 2016. They launched 4G/LTE SIM cards in 2015. They do not have any coverage outside of their 4G/LTE.
Shurish Subbramaniam, Indonesia mobile operator @Smartfren CTO, said Kominfo awarded it 800MHz in the 28GHz spectrum to conduce #5G trials, which includes real-time remote monitoring at a factory. Achieved downlink speeds of 8.7Gb/s. pic.twitter.com/l1n45qnE7l
Smartfren have selected ZTE of China to collaborate on the development of 5G technology in the country. Together they had a demonstration and deployed a 5G network in a logistics warehouse, and connected the 360-degree camera and the VR headset through the 5G network, transmitting images to the monitoring room in real time. This demonstration adopts spectrum of 28 GHz at 5G medium-high-frequency mmWave, and the maximum throughput using two carriers reaches 8.7 Gbps.
However despite some activity on the 5G front it is not expected to launch in Indonesia any time soon.
A great deal of development is still needed on their 4G networks which despite being nearly-ubiquitous, there are major contrasts between Indonesia’s national average and city speeds highlights and the connectivity gap that exists between sparsely populated rural areas and densely populated cities, and the challenges faced by mobile operators to provide uniform mobile network experience across the country's vast archipelagic geography.
To cope with this digital divide, which is an obstruction towards Indonesia’s digital economy goals, the Indonesian Govt. recently completed the Palapa Ring — a massive fibre-optic infrastructure project to bring high-speed connectivity across Western to Eastern Indonesia, especially to some of its poorest regions in the country’s east, including the restive region of Papua.
But that doesn't immediately solve the problem for mobile internet users, as they still won't be able to find connectivity on the go for some time to come, especially in Eastern Indonesia where mobile operators have a weak presence. Also, some areas could not be reached by fibre cables, mainly the mountainous areas of Papua and West Papua. Therefore, the Ministry of Communication and Information now plans to install 4000 BTS by end of the year to offer a “truly 4G” signal, and on top of this, they will also deploy Multifunctional Satellite (SMF) to increase access in all regions.
Therefore some breathing space is needed before 5G deployment to achieve better connectivity between Indonesia’s islands to try and make the mobile experience a less variable one across its many cities.
Mobile Operators in the sprawling archipelago nation of Indonesia are transitioning their networks to meet the demands of the latest technologies and an increasingly connected population.
Indonesia, a country with nearly 410 million mobile connections, experienced rapid uptake of 4G services over the past year, with connections increasing 2.5-times and LTE penetration hitting 21 per cent.
The country’s 4G connections jumped from 34 million in Q3 2016 to 85.5 million in Q3 2017, according to data from GSMA Intelligence (GSMAi). LTE penetration in Q3 2016 stood 7.9 per cent.
To support the growth, mobile operators almost doubled the number of 4G base stations deployed in the opening six months of 2017, with 55,700 sites at end-July compared with 26,000 at end-2016.
In developed countries, the internet is everywhere. In homes, if not then readily available in schools, coffee shops and libraries. In developing countries this is not the case, if it were not for mobile phones, millions of people would be left on the losing side of the divide. As we can see in this chart, the vast of majority of people in Indonesia (and other countries) use the internet exclusively on mobile devices
The country’s mobile market was characterised for many years by the large number of players licensed by the local regulator. Seven mobile operators are competing for revenues in the Indonesian market: Telkomsel, Indosat, XL Axiata, 3 Indonesia, SmartFren, Bolt and Bakrie Telecom (BTel). Market leader Telkomsel continues to maintain a huge presence but is under increased threat from the competition.
Telkomsel has a market share of about 44% in Indonesia and is the only operator which is active in all provinces. It had 180 million users in late 2017 making it the 6th largest cellular provider in the world. It is 65% owned by the state through Telekom Indonesia, the remainder owned by Singapore Telecom.
The operator, with a 44 per cent market share, sourced network equipment for the deployment from Ericsson, Huawei, Nokia and ZTE. It is using 20MHz of 1.8GHz spectrum combined with 4×4 MIMO technology in the country’s capital city Jakarta and also Medan, Bandung, Denpasar, Mataram, Pontianak, Makassar, Manado and Ambon.
Telkomsel paid Rp 1.01 trillion ($74.7 million) to secure a license for a 30-megahertz band on the 2.3 gigahertz spectrum, which will enhance its capacity to offer wireless broadband services across the country.The new license means that Telkomsel now has a total band of 77.5 MHz on the 2.3 GHz, 2.1 GHz, 1.8 GHz, 900 MHz and 800 MHz spectrums.
The operator said they have deployed at least 5,200 4G base stations in 180 cities across the country to date. It had about 12 million 4G subscribers in Q3 2017 and expects to have 15 million by the end of the year, accounting for nearly 9 per cent of its mobile users, according to GSMA Intelligence.
According to Open Signal Telkomsel was well ahead of its rivals in 4G speed, averaging downloads of 14.6 Mbps in their tests. However 4G availability was where they fell behind their rivals.
Indosat, Indonesia's second-largest telecommunications operator had about 82 million mobile subscribers last year, compared with Telkomsel's 180 million. It has a good coverage on the main islands of Java, Bali, Kalimatan, Sulawesi and Sumatra, at low prices. 4G/LTE has started in Jakarta, Bandung, Yogyakarta and Bali and is available in about 94 cities at the end of 2016 on 900 and 1800 MHz with speeds up to 185 Mbps: 4G coverage map. In 2017 they bid for further spectrum on 2100 MHz.
XL Axiata is the 3rd provider in Indonesia. According to its website they have 46.5 million subscribers. It is owned by Axiata Ltd. and has about a 90% coverage on these islands: Java, Bali and Lombok. Furthermore, it covers cities on Sumatra, Kalimatan, Sulawesi and a very limited coverage on Papua. Where it has 3G, speeds are often faster then Telkomsel. 4G/LTE has started in Jakarta, Medan, Yogyakarta and is spread to other regions like Bali, Lombok, Surabaya and East Kalimatan and Sulawesi on 900 and 1800 MHz.
As at 31 October 2017, XL Axiata says it had rolled out 4G LTE services to around 100 towns and cities in Indonesia and had more than 20 million 4G subscribers nationwide, using a network comprising 16,000 BTS. At the same date, its total number of ‘on-air’ base stations had reached nearly 100,000, of which more than 44,000 were 3G-equipped.
3 called Tri in Indonesia is now the 4th provider with approximately 21 million subscribers previously with the lowest coverage, but the cheapest rates. However the mobile operator controlled by Hong Kong-based CK Hutchison, has revealed that its in-deployment 4G LTE network is now available in 227 cities and districts, including 1,769 sub-districts and 7,296 villages in 25 provinces. Their coverage extends from Lhokseumawe to Manado, and includes the islands of Sumatra, Kalimantan, Sulawesi, Java and Bali. Commenting on the development, Tri Indonesia President Director Randeep Sing Sekhon said:
‘Digital and multimedia services are expected to experience rapid growth this year. And in future the success of these services is reliant on [Tri rolling out] mobile internet infrastructure to support growth, as it is expected to become the main channel to carry such services’.
People wishing to sign up to the Tri 4G LTE network will need to buy a suitable 4G LTE SIM card and handset. Customers can exchange their old Tri 3G to 4G SIM card without extra charge at any 3Store.
Tri currently has a total capacity of 25 MHz -- 10 MHz in 1,800 MHz frequency and 15 MHz in 2.1 GHz frequency.
Smartfren owned by Indonesian PT Smartfren Telecom Tbk is a major player in the country. It had around 13 million customers in 2016 and has now migrated entirely to LTE. In 2016 Smartfren started the most widespread andfastest LTE in the country so far. It employs LTE Advanced that reaches higher speeds through carrier aggregation. But two rare frequencies are used: 850 MHz FDD (Band 5) and 2300 MHz TDD (Band 40). Already 5 million customers have been migrated to LTE.
Smartfren's coverage is on the islands of Java and Bali, parts of Sumatra, Sulawesi, Lombok and Kalimantan. It started 4G/LTE in 25 centers so far and reaches 188 cities in 2016.
Since Smartfren phased out its 3G network, it has an impressive 4G network in terms of reach for those 2G and 3G customers to migrate to. According to Open Signal Smartfren testers were able to find an LTE signal more than 90% of the time, winning Smartfren their 4G availability award.
Bolt! owned by Internux is an Indonesian wireless broadband provider based on TD-LTE. It started in 2014 and has already 3 million customers in 2017. It uses the rare 2300 MHz TD-LTE (band 40) that is not covered by usual devices. That's why you are likely to buy new hardware for them. It only operates so far in the cities of Jakarta and Medan. Therefore it's more like a substitute for a landline ADSL-provider than a travel option.
The smallest and troubled mobile operator owes the government millions of dollars in licence and frequency rights fees. It originally launched CDMA service in 2003 in Jakarta, West Java and Banten and started to offer fixed wireless service in 2007. It had about eight million subscribers at its peak. Last year the Ministry of Communications and Information Technology revoked its fixed wireless access (FWA) and fixed licences. Huawei have recently acquired a near 17 per cent stake in Bakrie Telecom.
Questions for the future: Can the Indonesian market sustain this number of mobile operators? Who will win the 4G and subsequent 5G race?