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Indonesia Mobile Market - Outlook to 2010

China overcame the United States to be known as the world's largest market for mobile phones a few years ago, but the growth in Indonesia has been equally stunning. Over 20 million Indonesians now own mobile phones, roughly about eight percent of the country's 220 million population. And we expect significant growth is still to come. We expect the country to reach 60 million subscribers by 2007. Foreign expertise, capital and technology are sought to make this still underdeveloped mobile economy competitive. Singapore, Chinese and Korean telecommunications companies have made strong inroads already.

The Indonesia market is appealing for GSM based service providers, as well as CDMA based wireless local loop WLL limited mobility services - primarily because CDMA lower initial costs are a key factor for increasing teledensity. Recently PT Mobile-8 Telecom launched Indonesia's first CDMA service and invested in infrastructure to reach one million subscribers by the end of 2004, and 2 million lines by the end of 2005. The fixed wireless providers in Jakarta have started significant new marketing programs to attract subscribers by offering free airtime and free SMS.

Indonesia mobile users have a passion for SMS with a Text to Voice usage ratio of 10:1.

This report details the latest five-year projections for mobile voice and mobile data market in Indonesia, with research providing an analysis of market developments that are driving the growth of mobile voice and services. Market share data with subscriber projections to 2010 are provided.

Anti-corruption drive on track


President Susilo Bambang Yudhoyono claims his fight against corruption is on track, but admits corruption remains rife in numerous governance sectors.

Speaking during the commemoration of World Anti-Corruption Day at the National Monument on Tuesday, the President called on the public and law enforcement agencies to monitor the use of state and regional budgets for projects.

“We have to ensure that no state money is embezzled, and no state project is marked up,” he said.

The President said business license issuance was particularly prone to collusion between state officials and investors.

“State officials should not misuse their authority to help businesspeople,” he said.

Procurement of goods and services, tax and excise collection, recruitment of civil servants and private employees are also havens for corruption, the President said.

A number of recent graft trials at the Corruption Court have revealed collective corruption involving government officials, House of Representatives legislators and businesspeople.

The common modus operandi involves government officials asking businesspeople to provide bribes to win House approval for certain projects.

Since January, the Corruption Eradication Commission has arrested House politicians, government officials and their business partners for their alleged involvement in graft. Some have been convicted.

Yudhoyono said he was confident preventative measures were already bearing fruit.

“We are grateful that during these last couple of years there have been major achievements in our corruption eradication (effort). We should carry these on in a bid to free the country from corruption,” he said.

Indonesia moved up the rankings of the Transparency International perception corruption index from 143 to 126 this year. However, the Indonesia office of the anti-corruption surveyor said the achievement did not have anything to do with law enforcement, but rather concerned the progress of other countries during the year.

Yudhoyono said the country’s success in the fight against corruption was evidenced by the huge amount of state assets seized from corruption convicts and the establishment of a more advanced supporting system to deter people from corruption.

He attributed the achievement to the non-discriminatory approach of law enforcers.

“The government is very serious about combating corruption,” he said, adding that the country was only starting out in its journey to become corruption-free.

The anti-graft drive has ensnared the father-in-law of Yudhoyono’s son, Aulia Pohan, who has been named a suspect in the misappropriation of Bank Indonesia funds in 2003.

Aulia, a former BI deputy governor, is currently in custody at the Mobile Brigade detention center in Kelapa Dua in Depok, West Java, pending his trial.

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Lamaran paling lambat kami terima tanggal 31 Desember 2008
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