Indosat to spend $1 billion on cellular services in 2007

Jakarta (Antara News) - State telecommunication operator PT Indosat is planning to spend more than US$1 billion mainly on the development of its cellular services next year, its marketing director said.

"The greatest portion of the investment will go to development of cellular services, namely 70 percent to 80 percent of the total. The rest will be used to develop multimedia, data communication and Internet (MIDI) services," Wahyu Wijayadi said on Thursday.

The rise in investment was also related to the current positive trend and expected high demand for cellular phone services in 2007, he said.

The investment would push operational income to more than Rp10 trillion next year from Rp8.87 trillion in the first nine months of this year, the company`s finance director Wong Heang Tuck said.

The third-quarter operational income rose 1.4 percent from a corresponding period last year when it stood at Rp8.75 trillion, he said.

Nearly 74.9 percent of the operational income originated from cellular services, 15.9 percent from MIDI services and 9.2 percent from telecommunication services. (*)
_________________________ Indonesian Business and Investment News Aggregator