British Telecom Working on Indonesian Data Communication Market

Ilustrasi (dok)

JAKARTA (IndoTelko) - British Telecom (BT) announced that it has officially obtained a license to begin their data communication system operation (Siskomdat) in Indonesia.

This license provides opportunity for BT to offer an IT services and network applications portfolio directly to Indonesian customers.

BT is one of two global telecom companies who received a Siskomdat license. Indonesian companies or multinational companies that have invested in the country, can now improve their competitiveness by utilizing IT network services from BT global scale.

Recently, BT launched its fiber cable ring infrastructure (fiber ring) in Singapore which connects six data centers owned by third parties to the BT network, thereby creating an increasing network capacity and resiliency.

More than 28 Connect Global Point-of-Presence (POPs) ethernet has also been added to the existing infrastructure within the last 6 months and some additional internet access points has been launched in Hong Kong, Singapore, Australia, Japan, and South Africa.

"The recent obtained telecommunications licenses in Indonesia is a new step to support our customers in AMEA and around the world to achieve success," said BT Global Services President for Asia Pacific, Middle East, and Africa Kevin Taylor in a statement Tuesday (29/9).

Controversy
The success of BT in obtaining a license for the data communication system (Siskomdat) operation in Indonesia has raised a question mark for some parties.

Because based on an internet research, this British company established PT BT Communications Indonesia with an enterprise license number 09.03.1.62.40121.

BT Communications Indonesia is currently based at Sampoerna Strategic Square South Tower Lt. 18, South Jakarta. BT is the majority owner of BT Communications Indonesia.

When referring to the harmonization of the Negative Investment List (DNI) issued by the government in 2013, foreign ownership for multimedia services is only up to 49%. (See also:DNI Regulation is Harmonized)

However, when referring to the presidential decree No. 36/2010 about the DNI, maximum shareholding of foreign company ia 95%  for the organizers of the data communication system and Internet interconnection services by 65%.

Kemenkominfo (Indonesian Ministry of Communication and Information Technology) spokesman Ismail Cawidu revealed that the siskomdat permission was issued for BT after referring to the harmonization regulation was done.

"For BT, the DNI used is 95%. The revised DNI share for foreign companies is lower for multimedia services, "he told IndoTelko in a short message on Wednesday (30/9).

According to him, the passage of BT from foreign ownership restrictions because it already filed the permission before the revised DNI regulation was issued. "This has been communicated to the BKPM before being processed the permission for BT," he said.

Currently with BT entering the Siskomdat service, there are other several players who have already exists in Indonesia such as Telkom, Indosat, AT & T, PT Sejahtera Globlindo, PT Sistelindo Mitralintas, PT Centrin Nuance Technology, PT Berca Hardayaperkasa, PT Dini Nusa Kusuma, PT EDI Indonesia, PT Imani Prima PT Patrakom, PT Aplikanusa Lintasarta, Electronic Data Interchange Indonesia, Access Engineering, and Citra Agung Mustika.

Telkom reaction
The success of BT permission for  data communication system (Siskomdat) in Indonesia, did not made Telkom as the ruler of the local market to be frightened.

"We are ready to compete. That is also the reason why Telkom embrace Telstra (Australia Operator) as a strategic partner working on managed services segment. While on the wholesale side, Telkom is partnering with global operators," said Chief Innovation and Strategy Officer (CISO) Telkom Group Indra Utoyo

Indra said that the growth of cloud-based digital market enterprises segment will increase in the future. (See also: BT Bag Siskomdat)

"World-class global operator such as BT, Orange, AT & T, will naturally follow the expansion of its multinational customers by providing global data communications services that rely on the power of the network and its cloud applications. For a local operator, the entry of global players will certainly increase the competition side of innovation and customer experience," Indra said.

This year Telkom and Telstra have operationalize its joint venture, TelkomTelstra. The subsidiary company is aiming for about 50 corporate customers by the end of 2016. (See also: TelkomTelstra and ambition)

Until the last nine months, Telkom and Telstra have spending funds amounting to US $ 10 million to develop this joint venture.(es)