1. OVERVIEW OF SPECTRUM ISSUES IN INDONESIA
Presented by:
Denny Setiawan
Deputy Director of Spectrum Policy and Planning
Directorate General of Post and Telecommunications
Ministry of Communications and IT
GSMA Spectrum Workshop
Session 3: Regulatory Frameworks and government policy
affects spectrum availability
London, 29th June 2010
DG POSTEL
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2. PRESENTATION OVERVIEW MOBILE COMMUNICATIONS AND FREQUENCY BANDS
IMT-ADVANCED SPECTRUM AND PROBLEMS
SPECTRUM PRICING AND LICENSING REFORM
DG POSTEL
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3. SOUTHEAST ASIA AND INDONESIA IN BRIEF (Ref: Wikipedia)
Area: 5,000,000 km2
Pops (2009): 593,000,000
Density: people per km2
GDP per capita (2009): US$ 2500
Indonesia:
Area: 1,919,440 km2 (land), 735,355 sq.mi (sea)
Pops (2009): 229,965,000
Density: 119,9 people per km2
GDP per capita (2009): US$ 4156
S.E Asia countries consist of : Indonesia, Malaysia, Singapore, Phillipines, Thailand, Brunei, Vietnam, Myanmar, Laos, Cambodia, East Timor, Papua New Guinea
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4. 1. INDONESIAN TELECOMMUNICATIONS GROWTH
Sumber: Business Monitor International Report 2Q2008
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5. INDONESIA ICT STATISTIC
Fixed Wireline
Fixed Wireless
Internet
Cellular
Number of
subscribers
8.8 Millions
140.5 Millions
2.3 Millions
21.7 Millions
3 Operators
4 Operators
8 Operator
(5 GSM & 3 CDMA)
164 ISP,
± 25 MillionUsers
Penetration
3.81%
9.53%
61.72%
10%
Number of population: More than millions pops
Data: Q1-2009
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6. 2. MOBILE SERVICES AND FREQUENCY BANDS
MOBILE OPERATORS IN INDONESIA (FDD / Paired Band)
BAND PLAN GSM-900/1800
IMT-2000 (UMTS) BAND PLAN
MOBILE AND FWA OPERATORS IN INDONESIA (FDD / Paired Band)
BAND PLAN CDMA-850
2.6 GHz BAND PLAN OPTIONS
DTTB & DIGITAL DIVIDEND IN UHF-BAND
DIGITAL DIVIDEND (700 MHz) BAND PLAN
IMT-ADVANCED SPECTRUM AND PROBLEMS
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7. MOBILE OPERATORS IN INDONESIA (FDD / Paired Band)
Telkomsel
Indosat
XL Axiata
Hutch CPT
Axis
Starting of operation
1995
1994
1996
2004
Number of subs (end of 2008)
65,300,000
36,500,000
26,000,000
4,501,000
3,000,000
Standard
GSM/UMTS /HSPA
Frequency Band (MHz)
900/1800/
2100
Bandwidth
40 MHz FDD
20 MHz FDD
15 MHz FDD
Notes:
Reference: Number of subscribers: Annual report of operators year 2008, Ditjen Postel.
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8. BAND PLAN GSM-900/1800
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9. IMT-2000 (UMTS) BAND PLAN
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10. MOBILE AND FWA OPERATORS IN INDONESIA (FDD / Paired Band)
SAMPOERNA TI
MOBILE-8
BAKRIE TELECOM
TELKOM FLEXI
INDOSAT STARONE
SMART
Starting of operation
1985
1990s
2002
2004
Number of subs (Y:2008)
N/A
3,004,400
7,300,000
12,725,000
761,589
Standard
CDMA
Frequency Band (MHz)
450
850
1900
Bandwidth
3.69 MHz FDD
4.92 MHz FDD
4.96 MHz FDD
2.26 MHz FDD
6.15 MHz FDD
Notes:
Bakrie Esia: 4 carrier 1.23 MHz di West Java, DKI, Banten,
Telkom: 4 carrier 1.23 MHz exclude West Java, DKI, Banten
Reference: Number of subscribers: Annual report of operators year 2008, Ditjen Postel.
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11. BAND PLAN CDMA-850
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12. OPERATOR BWA TDD 2.6 GHz (Unpaired Band) & SATELIT BSS
CSM
ELANG MAHKOTA
MNC SKVISION (INDOVISION)
Starting of operation
2009
N.A
1996
Licensed Area
Jakarta and some major cities in Java islands
Nationwide
Number of subs (end of 2008)
N/A
< 1,000,000
Standard
Wimax
BSS Satellite
Frequency Band (MHz)
2520 – 2670
Bandwidth
15 MHz TDD
150 MHz (10 MHz)
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13. 2.6 GHz BAND PLAN OPTIONS Status Quo Option Rec ITU-R M.1036
Band Segmentation Option
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14. DTTB & DIGITAL DIVIDEND IN UHF-BAND
Digital TV Terrestrial Broadcasting (DTTB) Planning
Fixed DTTB: DVB-T Standard (decided in 2007), Mobile TV: no mandatory standard.
Dealing with multi regulator environment (Telecommunication and Broadcasting authorities).
Must to accommodate different public policies and objectives (nationwide and local TVs, public, private and community broadcasting, etc).
Digital Dividend in UHF-band
470 – 806 MHz is used for Analog TV Broadcasting (PAL standard).
806 – 890 MHz is used for Radio Trunking and CDMA cellular / FWA services
Some potential technologies identified (Additional DTTBs, Mobile Broadband, PPDR, PSME, etc).
Special opportunity to have most valuable spectrum with larger bandwidth and coverage.
DG POSTEL
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15. IDENTIFIED BANDS FOR IMT-ADVANCED (4G)
In operation for Mobile Communication Services
450 MHz / 850 MHz Band / 1900 MHz Band (3GPP2/CDMA- based)
900 MHz Band / 1800 MHz / 2100 MHz Band (3GPP/GSM- based)
Used by other services i.e. Satellite, Broadcasting Services, etc.
700 MHz Band
2500 MHz Band
3600 MHz Band
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16. 3. IMT-ADVANCED SPECTRUM & PROBLEMS
For existing bands of Mobile Communication Services
Most of bands has no contigously large enough bandwidth available for 4G services.
Most possible band used for IMT-Advanced (assuming 20 MHz bandwidth contiguously required for IMT) is the 1.8 GHz band. However, it will need spectrum re-arrangement among operators.
Spectrum re-farming with existing services (HSPA, GSM, CDMA, etc).
Possible interference between different band plans (850 MHz and 900 MHz band plan, 1900 MHz and UMTS band plan).
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17. IMT-ADVANCED SPECTRUM & PROBLEMS (cont..)
2.5 / 2.6 GHz band
Sharing IMT services with Broadcasting Satellite Services / Direct to Home Satellite is very difficult.
If band segmentation option is selected, how to maintain the services of significant number of BSS/DTH subscribers.
3.5 GHz band
Part of bands used by Pay-TV DTH services.
The band is used by several Indonesian satellites.
700 MHz band / Digital Dividend
Migration Analog to Digital TV is not started yet.
How to negotiate with broadcasting industry to release analog TV spectrum in near future.
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18. 4. SPECTRUM LICENSING AND PRICING REFORM
Before year 2005:
All major spectrum licensing were granted by first come first served basis.
Licenses issued based on lobbying from applicants. Sometime without proper planning.
No commitment and fees based on deployment of base stations.
Result:
Some of licensees did not roll out the networks, but rather waiting for “new investors...(using spectrum as its valuable asset)
Overlapping band plans of PCS-1900 and UMTS in 1900 MHz band, and 850 MHz/900 MHz between GSM and CDMA.
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19. SPECTRUM LICENSING AND PRICING REFORM
Since year 2005:
Introduction of auction of the method of spectrum licensing (Most fair, transparant, independent)
Success with mobile spectrum licensing.
Difficult to convince the broadcasting authorities to conduct the auctions.
Method of spectrum auction was relatively simple (2nd round sealed bid auction), need to be improved.
Result:
3G network roll out has been implemented very rapidly.
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20. SPECTRUM LICENSING AND PRICING REFORM
Current and future projects :
Converting existing spectrum license of mobile operators from apparatus license-based to become bandwidth license. It will significantly reduce the complexity of the licensing process.
Consultation with industry to introduce cost-recovery based spectrum pricing method as well as taking into account spectrum value.
Improvement of spectrum auction methods.
Challenges: Need to negotiate and convince the Ministry of Finance and Parliaments that the Government Income from spectrum license fees should not be targeted each year increasingly, and should reflect the cost-recovery of spectrum management process.
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21. CLOSING REMARKS
Most of identified spectrum for IMT-Advanced / 4G are heavily used by existing services.
DG Postel would like to invite proposals, ideas, expertises of spectrum refarming strategy and issues to facilitate the implementation of the IMT-Advanced / 4G in Indonesia, taking into account the concerns of relevant parties.
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22. Q & A: denny@Postel.go.id Ferry_a_wibowo@postel.go.id
Thank you
Q & A:
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