Premier Insight : Telkomsel and ISAT conducted trial on Palapa Ring network
Wednesday, March 20, 2019       09:07 WIB

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Telco Sector: Telkomsel and conducted trial on Palapa Ring network. Palapa Ring is a nation-wide backbone (fiber optic) infrastructure construction project for the purpose to spread ("equalize") broadband access in Indonesia with scope in (currently) less feasible areas from business /financial perspective. Palapa Ring Phase II consists of West (Riau area and Riau island), Central (Kalimantan, Sulawesi, and North Maluku), and East (East Nusa Tenggara, Maluku, West Papua, and Papua). The trial period is Dec 2018-Mar 2019 for free. Afterward, Communication and Informatics Ministry will release special price for Central Palapa Ring. (CNN Indonesia, Communication and Informatics Ministry).
 Comment: We expect insignificant impact for now to our estimates for (owned 65% of Telkomsel) and . We will monitor final pricing and tenants of the Palapa Ring network. We think usage of Palapa Ring connection might give benefits in the long term as it helps operator to expand network more efficiently in certain areas. We have a Hold for (TP Rp 4200) and (TP Rp2800).  

Sumber : IPS RESEARCH

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