Operator Under Performed
Transcription
Operator Under Performed
T I Majalah C All about ICT in Indonesia No. 22 Edition II Year March 2014 Operator Under Performed Monetized OTT is the Operators' Lifesafer Djoko Tata Ibrahim Marketing Is Art E-Magazine|Free www.majalahict.com FROM THE EDITOR After being present for over a year on your PC, tablet and smartphone Majalah ICT always intends to increase its content quality. In addition to being present in digital format, through the website www.majalahict.com and twitter account @IndoICT, readers can also follow IT and telecommunication issues updated daily. At this time there have been many digital magazines for IT segment, however Majalah ICT is the first and pioneer of digital magazine in the field of Indonesia information technology. Our presence even took place when print media and magazines still existed. Now, when printed edition of IT have difficulties in facing competition and increased production cost, many of them switched to digital. Finally, we always expect readers support, since without your support we are nothing. ADVERTISING TARIFF Cover 184 x 50 mm:IDR 2 million/edition 50 x 50 mm :IDR 1 million/edition Back Page Full page :IDR 750,000 /edition Half page :IDR 500,000/edition 184 x 50 mm:IDR 250,000/edition 50 x 50 mm :IDR 100,000/edition Halaman Dalam Full page :IDR 750.000/edition Half page :IDR 500.000/edition 184 x 50 mm:IDR 250.000/edition 50 x 50 mm:IDR 100.000/edition 2 Majalah IC T No. 22• March 2014 COVER PHOTOGRAPH: Djoko Tata Ibrahim PHOTOGRAPH: Kahfi Kamaru COVER DESIGN: F. Tian Index: Security System Datascript Style.....3 Under performed Operators.............4 Monetized OTT Is the Lifesaver of Operators.....................................6 XL Is the Strong Opponent for Telkomsel.........................................8 Stickerized Laptop Polemic............10 Djoko Tata Ibrahim, New Kids on the Block in Telecommunication.....12 Picture Gallery.......................... 16-17 Impact & Challenge of Network Virtualization Regulation................18 Local Cellular Phones In The Early Year............................20 EDITORIAL Editor in Chief Arif Pitoyo Editorial Address : Villa Cemara No.22 Jl. Sawangan Raya-Depok Email: [email protected] ADVERTISING & PROMOTION Email: [email protected] Telephone: 08159302319 (Era) Facsimile 021- 7756782 WINDOW DRESSING Security System Datascript Style Datascript presents integrated security solution which may be applied by business actors, particularly in manufacturing industrial sector. This security system solution covers from the out most layer, namely factory main gate, working area in the factory up to the parking area. The security systems presented are among others Boom Gate to block vehicle queue, Long Range to limit drivers and vehicle which intend to enter the factory area, access control for measuring parameter in daily operation in the factory area. In addition there are also CCTV, pedestrian gate, walkthrough and paper shredder.(02) Produc su t i j u F t from y ine arra l e n o l-in ktop al supports to s e d C st P full s newe y to provide t i f o o f tw ead ing ence o s which are r tem. s e r increas p e e s h e h t y r t s u o t d t ) C ce C tter fea announ ts integrated boration (UC& T bring UC& velop the be . u s t i j u – F 23 olla eds o de by i hened nications & C SPRIMO X9 hich intends t the users’ ne t g n e r t E s h Commu 23 and vision w ogy wit Unified ESPRIMO X9 cting Fujitsu itable technol e Fujitsu ce level, perf roviding of su an ep perform ity through th n commu e newest 1, With th module d a i d e multim as integrate h llegrated t a u n s i t o i t j n u s a F re g r and creatin e featu all thes SPRIMO PC, which is easie E in-one ication system n commu ctive. ff e more e The N e n O n i l ew Al Majalah IC T s, No. 22• March 2014 33 HOT NEWS Underperformed Operators A Arif Pitoyo 4 Majalah IC T No. 22• March 2014 ll operators, particularly those listed in stock exchange, have disclosed their achievements in 2013. Unlike Tekomsel and its subsidiary Telkom who achieved big success, other operators were underperformed, several of them are even threatened to be discontinued. To make matters worse, outside the largest 3, operators still have negative EBITDA margin which means they are still trapped in the cliff of loss while to free themselves from loss it will be difficult unless there is a helping god such as XL which acquired AXIS. Operators that are threatened to be discontinued are among others PT Bakrie Telecom Tbk (Esia) and certainly AXIS, meanwhile Tri and Smartfren are predicted to be able to survive longer due to the strong capital. Indosat, through its financial statement reveals that during 2013 it suffered loss of up to IDR2.78 trillion, despite from revenue point of view, actually Indosat increased by 6.4 percent from 2012 to become HOT NEWS IDR23.8 trillion from previously IDR22.42 trillion. Business burden increase and foreign exchange value loss were the triggers of Indosat high loss, moreove with the debt burden in the amount of IDR23.93 trillion with funding of rental obligation in the amout of IDR3.94 trillion. Indosat burden becaming heavier with the additional IM2 case fee in 2013 which drained its energy and fund. It is predicted that capex increase for network modernization and spectrum framing will weaken Indosat financial condition in the next 1-2 years. Meanwhile in XL, the company revenue also shows increase in 2013 compared to 2012. In 2012 the company revenue was IDR20.97 trillion, in 2013 XL revenue increased to become IDR21.26 trillion. Unfortunately, the increased revenue is not followed by nett pofit which decreased from IDR2.76 trillion in 2012 to become ‘only’ IDR1.03 trillion in 2013. Same as Indosat, nett profit decrease was caused by foreign exchange loss and business burden increase to become IDR19.61 trillion compared to the previous year IDR16.62 trillion. Smartfren is still troubled by past debt and is still in negative zone despite the decreasing loss. This year, such Sinar Mas Group subsidiary is optimistic that it can reach positive EBITDA margin. Whereas Tri, despite its reluctance to reveal its performance result, is predicted to still suffer loss. On the contrary, Telkom has recorded nett profit of up to IDR14.2 trillion. From such figure, Telkom Group total revenue reached up to IDR83 trillion. This confirms that Indonesian telecommunication market has still been absolutely controlled by Telkomsel. Such Telkom revenue which reached IDR83 trillion increased by approximately 7.5 percent from the previous year revenue. Such revenue is fully supported by business revenue growth of Telkomsel by 10.1 percent. Surprisingly, despite this has taken place for the last three years, the government and regulator still guess the cause of operators’ performance decrease, unlike the period of 2005-2009 when their performance was still glowing. If regulators are still guessing, how can they compose and draft regulations that can cure the industry? With healthy industry, customers and the state can enjoy its use. Majalah IC T No. 22• March 2014 35 HOT NEWS Monetized OTT is Operators’ Lifesaver Arif O ver The Top (OTT) application issue is neverending. In addition to its benefit, it is considered as a parasite that bothers its network. Moreover this parasite does not pay the rent whatsoever to its mother tree. 6 Majalah IC T No. 22• March 2014 When data service grows fast, the presence of OTT is operators’ weapon to maintain customers, at the same time grab customers from other Pitoyo operators through low data tariff offer. It is very inexpensive that operators do not have the strength to bear the operational cost which continues to decrease their revenue. To avoid loss, telecommunication operators must structure charging data and apply tariffing strategy for OTT or profit decrease just like what took place in 2013. Members of Indonesia Telecommunication Regulation Board (BRTI) Nonot Harsono said that if charging data was adjusted, revenue and nett profit could increase. “However if pricing strategy is not improved, it could increase, since tariff always increases, are you going to continue providing it for free but you suffer loss or improve, that is operators’ choices,” he said. According to Nonot, if for the sake of customers’ preference operators provide free data service instead of improving tariffing system, operators’ revenue must decrease, and they might as well kill themselves. A number of mediocre operators such as Tri, Smartfren and Esia even HOT NEWS highly depend on data service in order to be able to compete with the 3 largest operators considering that voice service not only does not attract customers it also contains large interconnection fee. Still on Over The Top (OTT) service and cellular operator, this time around the context is how operators survive with decreased revenue, particularly in terms of telephone use or messange sending. Synergy with OTT service is one of the keys of survival for cellular operators in this tight competition era. According to Ericsson, countries whose majority of customers have used smartphones, more than 50% of their revenue have been donated for of data consumption. There is no reason to say that data is unable to become the locomotive of new revenue source for network owners. Concerning the discourse of OTT service fee imposure Ericsson said that for certain OTT services it would be normal if cooperation was held involving funding considering that infrastructure investment was indeed not cheap. This is considered as normal since operators bear investment fee for network and service quality for users. With business model that is mutually beneficial, cooperation among operators and OTT should be more maximized. XL for instance, in its cooperation with OTT discussed its step with OTT players to obtain the right business model, provide benefits for customers, and has service diversification. XL begins to request OTT that cost be shared for infrastructure, and OTT is willing to pay for it, among others in the form of cost notification to customers. Monetized OTT can also be in the form of sticker sales allocation, there is also a number of OTTs that start to provide spaces in their platforms for XL marketing purpose. Revie said that allocation from OTT can also be obtained from its users’ volume. Majalah IC T No. 22• March 2014 37 TELECOMMUNICATION XL Is the Strong Opponent for Telkomsel Majalah ICT The approval of Business Competition Supervisory Commission (KPPU) on merger and acquisition of XL upon AXIS has really provided fresh air for the both of them. On the one hand, AXIS admited that it could no longer survive. Such operator has no longer been unable to face tho more difficult situation since it continued to suffer loss. As the fifth GSM operator in Indonesia, it is very difficult for AXIS to compete in terms of tariff and service in this country’s telecommunication industry. As to XL, despite its long journey to go after Telkomsel both in terms of number of customers and revenue, this Axiata subsidiary has a good chance to be a strong competitor due to the same frequency ownership, namely 45 MHz, and both of them have 25 MHz on 1800 Mhz band prepared 8 Majalah IC T No. 22• March 2014 for LTE. There are many sides that worry Tel komsel, which 65% shares are owned by Telkom and 35% are owned by Singapore Telecom (Singtel), will be slided and defeated by XL. However, with the number of customers which is two folds higher TELECOMMUNICATION than XL, reaching 131.5 million users, Telkomsel is considered as very powerful and it will be difficult for XL to keep up with. To be able to keep up with Tekomsel, moreover when customers are bored, to increase the number of customers, the only way to do it is by acquiring other operators’ customers. Whereas acquiring customers is more difficult compared to establishing new area, therefore XL requires another years to be able to keep up with Telkomsel customers. As to the frequency allocated to XL, the value will be the same as that of Telkomsel, and it is affirmed that the amount of frequency owned does not correlate with the increase of the number of customers, it can even be useless, since the frequency is not optimally used. Such under utilized frequency can even be the company burden in paying the frequency use right fee (BHP). Operators with the increasing amount of frequency also have advantages in terms of network efficiency, namely the establishment of BTS with fewer number compared to those that have smaller frequency. Nevertheless, Telkomsel should no longer live in a dream. The closest opponent of Telkomsel was previously Indosat which only had half of the number of Telkomsel’s customers. However now with the merger of XL and Axis, the number of customers of XL has passed Indosat and is closer to that of Telkomsel. Frequency capital and infrastructure seem to really be utilized by XL to be able to at least be close to Telkomsel and not left behind by Indosat. To be able to keep up with Telkomsel, XL has to be encouraged to open new markets in the outmost parts of Indonesia. Majalah IC T No. 22• March 2014 39 INFORMATION TECHNOLOGY Laptop Stickerized Polemic Arif Pitoyo T he availability of many IT devices, particularly illegal or black market (BM) notebook circulated in computer sales centers has caused the Ministry of Industry to come up with the idea of stickerized 10 Majalah IC T No. 22• March 2014 legal products and appoint Indonesia IT Industrial Association (AITI) to arrange the same. The reason of appointing AITI is that since the beginning such association proposed such IT stickerized products. This AITI proposal is an input from foreign vendors. AITI claims as the closest institution to PC vendors and global noteboook since it is the partner of their sales in local markets or as their distributor. BM PC circulation in Indonesia turns out to be very large. Indonesia Computer Businessman Association (Apkomindo) predicts that almost half of the PC circulated in each quarter are BM or on the same level as 3.5 million units. Apkomindo members who are mostly local PC assembler and global brand PC distributors are concerned since out of 7 million units of circulating notebooks and PC half of them are illegal or smuggled. However, rejection voice directly comes from INFORMATION TECHNOLOGY Indonesia Telemathic Society (Mastel) through its spokesperson Rudi Rusdiah. Rudi is the caretaker at Apkomindo since as we all know in the body of Apkomindo body there is a breakage between Foundations which then became caretakers and association sides. A number of information technology practicioners question the policy of Minister of Industry which obliges IT devices to use hologram stickers which can be ordered to an appointed association. Since November 2013, there has been a Minister of Trading regulation regarding a rule that computer goods including tablet and handset imported must have postel label stickers and their packaging must be in the Indonesian language. At first this was too much trouble however finally importers can anticipate this rule after being socialized for a year. Fortunately, sticker and packaging in the Indonesian language are not determined on where they must be made or who can make them therefore this regulation is not too much trouble. Mastel firmly declines such stickerized and labelized notebook. Mastel considered the presence of overlapping rules and regulations regarding stickerized goods wihtout any clear coordination and tend to cause trouble to the industry and its markets. Such mastel stickers are based on complaints and inputs from several global notebook products principal brands which are members of Mastel which feel that the new NIP (Industrial identification Number)sticker proposal will only add burden to the industry. AITI itself claims that its side does not generate profit from the application of stickerized notebooks. Such association admits that the price of sticker is only IDR1,000 far lower that its production cost and its procurement is also conducted by offshore vendors or principals. Majalah IC T No. 22• March 2014 3 11 PROFILE Djoko Tata Ibrahim New Kids on the Block in Telecommunication 12 Majalah IC T No. 22• March 2014 PROFILE Arif Pitoyo T his man’s style is very casual when meeting majalah ICT in his office in Sabang area, Central Jakarta. With jeans, t-shirt and black leather, Djoko Tata Ibrahim greeted us. Djoko Tata Ibrahim is a new name in Indonesian telecommunication. He did not appear until the birth of Smartfren on April 11, 2007. Djoko is one of the first 30 employees who work for Smart Telecom which is the result of merger between PT Wireless Indonesia and PT Indoprima Mikroselindo. Previously this man who is now the Deputy CEO of Smartfren did not have any experience whatsoever in telecommunication. For 30 years Djoko had been involved in consumer goods field, such as milk, frying oil, fruit, sugar and other goods distribution. Djoko was also one of the executives at PT Tiga Raksa Satria. “The opening of such distribution channel was a common acivity conducted at a consumer goods company, just lika a pipe, such channel could be filled with anything. However since at the Majalah IC T No. 22• March 2014 3 13 PROFILE time Smart Telecom was still new there wasn’t any agent who considered it, I did a little variation and marketing art,” he said recently. He said that Smart Telecom was the first operator to enter supermarkets. Occasionally this man who still looks fit and healthy goes to the filed and meets dealers and agents to find out the issues on the filed. He has done it until today. “Agents and distributors 14 Majalah IC T No. 22• March 2014 will feel appreciated if the director is involved directly. That is why many distributors and agents are loyal since in addition to being appreciated, Andromax products are very high in terms of sales and customers seek these products, therefore they love to sell Andromax,” he said. He has started to understand since participating in drectors’ meetings and reading from referrence books up to telecommunication terms dictionaries. “The evil side of telecommunication is that there are many abbreviations which as though people know what they stand for,” he said. His expertise in telecommunication field was sharpened when he dealt with infrastructure within the period of 20082010, including synergy with optic fiber and BTS providers and dealt with his projects. This man whose hobbies are reading books and exercising such as playing badminton and swimming on his spare time feels the challenge in telecommunication as very obvious and the peak was when Smart Telecom joined Fren on November 2011. “It was a difficult and busy time we had to do marketing and technology consolidation and opening new channels for Smartfren. In my opinion that is very hard however with strong determination, such challenge finally can be overcome now,” he said. For him, marketing and sales are art, and the art of opening new sales centers and expanding distribution channels are not easy, let alone introducing new products. However with commitment of owners to this business sector, we need longer breath. “Being aware that we are a new comer, while others have explored everywhere, we have to be smart. It is only that when we are among the community, coincidently our timing was pretty good. In accordance with the technology we support, namely CDMA, it means we have a good and ideal channel management for PROFILE internet/data services,” he said. It is no surprise that this company revenue from data service is pretty good. This is caused by the better customer quality in whith the high use of phone credit, it can reach up to 40 thousand – 50 thousand even 100 thousand. Due to the dependence of data service, it is not easy for them to switch providers. Therefore based on a new platform, we obtain good quality and loyal customers. The number even continues to increase. “The focus of the last 2 years have been on customers who use modem. In the past, a person had one modem used with several friends due to its high price, around 600 thousand per month. Here we have a breakthrough by selling the ones that only cost IDR199,000,” he said. Competition, according to him, is not something that you need to fear instead it drives us to be more creative in targeting the intended market. The philosophy he holds says there is nothing that cannot be solved, moreover if you work in a team. “In working I am certainly not alone, I work with a team with young and new in the field members, however they are people who are ready to face and have the ability through challenges. They are the future leaders,” he said. Djoko who is a senior can still do push ups with one hand admits that when he is old he will move to Australia accompanying his children who already live there. “I have had honeymoons with my wife at home since my children started to go to schools di Australia. In my old days I want to stay and become a resident there,” he said. Majalah IC T No. 22• March 2014 3 15 GALLERY XL channeled flood donation SMS – Food that devastated several areas in Indonesia early 2014 has risen the concern of extensive community, including XL customers. Through Donation SMS program which was opened on January 17 to January 31, 2014, XL customers donation had been generated with a total amount of IDR278,130,000 which was channeled to flood victims in Manado and Bekasi. Rakuten Helps Yogya Small-Middle Business (UKM) – Online shopping Rakuten (RBO) focused on local development by empowering UKM in Yogyakarta. E-Commerce conference in universities drives Indonesian young entrepreneurs to build their online dreams. 16 Majalah IC T No. 22• March 2014 Telkomsel launched a new brand, LOOP – Telkomsel targeted youngsters by releasing a new brand LOOP simultaneusly in 10 cities, namely Medan, Palembang, Jakarta, Bandung, Yogyakarta, Surabaya, Malang, Denpasar, Banjarmasin and Makassar in an event called One Million Dreams (OMDC) in Jakarta (3/9), and could be witnessed by customers through device by ways of live streaming. GALLERY Indosat Achieved Nework of The Year – Indosat succeeded in achieving Roy Morgan Customer Satisfaction Awards for “Mobile Network of The Year Indonesia 2013”. This award is an acknowledgement of Indosat commitment which continues to seek the best experience for its customers. Advan showed off at Mega Bazaar Consumer Show – Advan, a local smartphone brand recorded a sale of 3 thousand units at Mega Bazaar Consumer Show 2014. Such figure is considered as realistic since Advan movement continues to increase along with the strength and quality of the products. MITO Participated In An International Event – a national cellular phone producer, MITO MOBILE spoke at a global market with its participation in the mobile world conference (MWC) event held in Barcelona a couple of days ago. The product showcased was MITO A150 Fantasy Pocket. Majalah IC T No. 22• March 2014 3 17 REGULATION Regulation Impact & Challenge Virtualized Network I Dr. Taufik Hasan A Lecturer of Post Graduate Program Telkom University, A Member of Mastel 18 Majalah IC T No. 22• March 2014 n the last two decades, we have witnessed the extraordinary development of the ability of computing, with decreasing physical dimention. Gordon E. Moore, former high officer and co-founder of Intel observes that a number of transistors in an integrated circuit, approximately double every 2 years which was then known as Moore’s Law. This transistor adding which forms processor power as the brain of the computer, doubles its power and at the same time reduces its size. This computing power enables virtual machine that is able to run different processes in one hardware. This is obvious when a different operating system can run on one computer, starting from Windows and other operating systems, such as GNU/Linux. Furhter this enables different users to share one same device with different uses, accoding to each person’s need. We call it machine virtualization. Cellular communication infrastructure with a number of components basically is a collection of computers which cotrol various processes starting from user identification, authentication, channel allocation, connecting process up to credit to up. Initially almost all functions were controlled by one computer. However, with increased computer ability, and virtualization technique, various functions can be run with only one computer control. REGULATION We see the application of network function virtualization concept mainly on cellular new technology namely the 4th generation or LTE. Several cellular network device providers have begun to offer their products such as AlcatelLucent, Huawei and NEC. In offering device with this virtualization, we find it suitable with LTE network architech for instance virtualized RAN (vRAN), virtualized EPC (vEPC), and vitualized IMS (vIMS). Generally this virtual machine service is cloud based, Huawei calls it CloudEgde service. With the development like this it no wonder that computer processor chip manufacturing giants begin to look for an opportunity to play a role in providing cellular telephone network infrastructure. Regulation Impact With the coming development, business entity which provides physical network provider, virtual network povider and service provider need to be anticipated. The big challenge that must be anticipated is regulation aspect since this will affect legal certainty to have business on the one hand, and on the other hand the availability of a chance to utilize technological advance which offers efficiency. Majalah IC T No. 22• March 2014 3 19 GADGET REVIEW Majalah ICT L Local Cellular Phones In The Early Year 20 Majalah IC T No. 22• March 2014 ocal cellular phones begin to show off, even almost all of them have claimed to be the second most sold smartphones in Indonesia after Samsung. Local cellular phone vendor such as Advan and Evercoss admit that in terms of number of product they have exceeded Samsung, however in terms of revenue they are still left behind. MITO even spoke on global level, by showcasing its product, MITO Fantasy Pocket in a mobile world conference (MWC) held in Barcelona a couple of days ago. Fantasy Pocket is equipped with Android 4.2 Jelly Bean operating system.This smartphone priced at IDR999,000 targets users with high mobility. With quad-core, MITO Fantasy Pocket’s performance is more realiable, particularly to support multitasking application. Another local cellular phone vendor, EVERCOSS launcehd its newest product, Elevate. Elevate is categorized as phablet or phone tablet, which supports In Plane Switching (IPS) technology with the GADGET REVIEW size of 6 inches and LCD screen with resolution of QHD 540 x 960. The attraction of such smartphone priced at IDR2.5 million is on its camera feature. The back camera of EVERCROSS A66S has a censor with 13 megapixel supported by autofocus and LED flash light. Meanwhile the front camera has a resolution of up to 3 megapixel. Meanwhile the popularity of phablet Advan is increasing. It is evidenced by the increasing interest of customers who are also anticipating this product. This is caused by the commitment of Advan in presenting quality products with competitive power. Just like S5G that has IPS screen specification with full high definition (1920 x 1080), 18 MP camera, internal memory 32 GB, RAM 1GB, as well as quad-core processor. The performance is as good as global brands and is one of Advan’s high-end products. Advan also has other phenomenal phablets in 2013 such as S5F, S5K and S5E. In terms of sales, Vandroid S5E is recorded as the most sold phablet in which in 2013 approximately 1 million units of them were sold. Meanwhile synergy between Cyrus and Telkomsel once again launched Android Cyrus Cerry Slim smartphone which is the continuation of Cyrus Cerry. On the previous series Cyrus relied more on cameras and stylist design, and on the new series Cyrus is present with back camera with the size of 8MP equipped with flash and auto focus. Such newest smartphone from Cyrus is also equipped with front camera with the size of 2MP which accomodates users’ need to self photographed to be uploaded to various social media such as Path, Instagtam, or Twitter. Cerry Slim supports Android Jelly Bean operating system as well as 1.2 GHz Quacore processor produced by Qualcomm and 1 GB RAM. For connectivity Cerry Slim is armed with dual SIM GSM—GSM for 3G data connection with downloading speed of up to 7.2 Mbps with an upload speed of up to 5.76Mbps. Majalah IC T No. 22• March 2014 3 21 Gotik Magazine can be downloaded at: gotik.indokini.co.id
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