Investment 4G Large, XL Request Data Rates Up

PT XL Axiata Tbk claimed to be ready to invest to organize a long-term service evolution (LTE), also known as 4G at a frequency of 1800 MHz. The Company proposes need no adjustment of data rates considering investing very large operators for data services.

President Director of PT XL Axiata Tbk Hasnul Suhaimi said the company is ready to roll out 4G services on the 1800 MHz frequency for LTE services in the 900 MHz insufficient. So far 4G XL has held in several cities such as Jakarta, Bogor, Yogyakarta, and Medan.

"4G, there are two possibilities in the 900 MHz and 1800 MHz. To Jakarta for example is not quite in the 900 MHz and 1800 MHz there is space and we are ready to invest twice as much in there, "he said in Jakarta, Tuesday (01/27/2015).

Hasnul explained in the 1800 MHz frequency band the company has a wider width, amounting to 22.5 MHz, while at 900 MHz the company only has 7.5 MHz. If the company a permit to hold a 4G at 1800 MHz, the company will roll out the service across Indonesia.

Meanwhile, other operators that have a frequency band at 1800 MHz is 22.5 MHz wide Telkomsel, Indosat 20 MHz, 22.5 MHz XL Axiata, Indonesia and Hutchison 3 (Tri) 10 MHz. Previously, Communications and Information Technology has plans to issue a permit to hold a 4G at that frequency.

"Permit at 1800 MHz as is planned this year. We expect to be able in the second quarter or third quarter / 2014, "he added.

Hasnul pleaded not concerned with ecosystem 4G devices because it's been a lot of support for LTE devices. In addition, the company is also setting up modem-based devices for tethering so 4G services can be accessed by a smart phone.

He continued in this year the company prepares for the development of infrastructure investment of Rp 7 trillion. The fund is sourced from internal cash and other sources such as bank loans and capital markets.

Given the large number of operators’ investment, Hasnul believes there needs to be an adjustment rate data services. Because the current price data services are very cheap as a direct result of the large number of operators in the country.

"There must be a balance between investment and benefits operators. It looks good for customers but not to the operator. Due to the long term development of the network is limited and the quality of service is not good, "he explained.

Hasnul said this year the company is eyeing based data services revenue increased by 28% compared to 2014. In the third quarter / 2014, the company's revenue from data recorded at Rp4,56 trillion, an increase of 42.94% (y-o-y).

However, the overall performance of PT XL Axiata Tbk in the third quarter / 2014 was a loss of Rp901 billion. The loss was caused by an increase in interest expense and the consequent weakening of the exchange rate.

Meanwhile, the number of subscribers totaled 58.3 million XL. Of that amount as much as 53% of the customer data with the number of customers using smart phones as much as 14.6 million. Subsidiary of Axiata Group Berhad was noted to have 49 682 base stations, including 15 429 Node B.