EXCLUSIVE INTERVIEW: Indonesia’s long-running data price war, which intensified a year ago when the major players began rolling out 4G, looks to be finally easing with tariffs starting to edge higher, Indosat Ooredoo CEO Alexander Rusli (pictured) said.
The country witnessed fierce competition in data pricing over the past three years, but Rusli said the market appears to have reached the bottom and is starting to see some increases in data yield.
“There was a point where Indonesia had the lowest data yields in the region, which was ridiculous. We’re cautious but hopeful in terms of getting the yields up in 2017,” he said.
Indosat Ooredoo, the second largest mobile operator in the country with a 22 per cent market share, was fortunate its 4G network came online full speed in 2016, lowering the cost per bit of data, which helps profitability, Rusli said.
“As an operator, we need to be very good at delivering data cheaply to the customer – there’s no way around that,” he insisted.
In terms of alternative revenue sources for a mobile player, he said Indosat is interested in fibre in order to move into the home market. “This is one traditional revenue stream we’re looking to add, which would allow us to own the home. But more importantly, we’re looking at B2B, because with everyone moving into digital, it creates a big opportunity for us to support these companies.”
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