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Ericsson eyes stable growth in Indonesia

Publication Date : 27-03-2014


Sweden-based communication technology and services provider Ericsson is expecting its business in Indonesia to see stable growth this year on the back of the country’s growing demand for high-speed broadband services.

Visiting Ericsson CEO Hans Vestberg said in a press briefing on Wednesday that his company constantly innovated to meet growing consumer demand for high-speed broadband to support its telecommunication needs, which had shifted from voice to data transfer.

“We spend roughly US$5 billion a year on research and development to come up with new solutions and innovations for our clients,” he said, adding his company would launch a new device that would be able to boost indoor Internet speed.

The International Data Corporation (IDC) Indonesia previously projected that Indonesia's total broadband market would grow by 55 per cent until 2016.

IDC projected the total broadband subscriber base had hit 39.8 million users in 2013, a 28-per cent increase from 31 million users a year earlier.

Vestberg said that globally, mobile subscribers would hit 9.2 billion people in 2019, 8 billion of which were broadband subscribers.

Ericsson networks business head Johan Wibergh said in the same event that the indoor Internet speed booster, known as the “radio dot” system, would be launched in the fourth quarter of this year.

It is able to boost the indoor Internet speed with an area coverage of up to 600 square metres.

He said the product would be one that competitors in the country did not yet possess.

Market players in the country’s telecom vendor business include the Nokia Siemens Networks and Huawei.

“We will offer the device to our operator’s clients. It will be able to help them have greater efficiency in their business,” he said.

Ericsson, through its local unit PT Ericsson Indonesia, serves three major telecommunication operators in the country, namely PT Telekomunikasi Selular, PT Indosat and PT XL Axiata.


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