Three operators to compete for 2.1 GHz frequency

JAKARTA (IndoTelko) - The Ministry of Communications and Informatics (Kominfo) announced, three operators have submitted documents to participate in an additional bid of 2.1 GHz frequency.

"There are three operators who sent the documents (in order to join the bid). They are Indosat, Tri Indonesia, and XL Axiata," Head of Public Relations of Kominfo, Noor Izza, said to IndoTelko, Wednesday (25/10).

He said next phase is participant documents verification process by auction committee. It will be held from 25 to 27 October. After that, on 29 October, they will begin the price auction for two blocks at 2.1 GHz frequency.

In this auction, the government will be releasing two blocks of radio frequency band at 2.1 GHz. It is 5 MHz FDD radio frequency bandwidth in the range of 1970-1975 MHz in pairs with 2160-2165 MHz (Block 11). Also bandwidth range 1975- 1980 MHz paired with 2165-2170 MHz (Block 12).

The offering price for the 2.1 GHz frequency is Rp296,742 billion with a bid bond 40 percent of the offering price, which amounts Rp118.696 billion.

Separately, Smartfren President Director Merza Fachys said his company did not participate in the 2.1 GHz auction because it wanted to provide greater opportunities for the other three players to compete.

"We want to be good friends to all," he joked.

Earlier, Deutsche Bank Markets Research study, released October 16, 2017, predicted four mobile operators would fight over an additional one block (5 MHz) 2.1 GHz frequency. The four operators are Indosat, XL Axiata, Tri Indonesia, and Smartfren.

Indosat and Tri Indonesia are expected to fight all-out in order to gain additional frequency.

As an information, operators that control the 2.1 GHz frequency now are Tri Indonesia (10 Mhz), Telkomsel (15 MHz), Indosat (10 Mhz) and XL (15 Mhz), respectively.(es)