Mobile network provider Indosat will set aside Rp 16 trillion ($1.3 billion) for a 2-year capital expenditure to boost the company’s network capacity and improve its services, an official said on Thursday. The provider plans to spend between Rp 8 trillion and Rp 8.5 trillion ($12.5 million) this year, while next yea
Mobile network provider Indosat will set aside Rp 16 trillion ($1.3 billion) for a 2-year capital expenditure to boost the company's network capacity and improve its services, an official said on Thursday.
The provider plans to spend between Rp 8 trillion and Rp 8.5 trillion ($12.5 million) this year, while next year's capex is planned to reach Rp 7 trillion to 7.5 trillion ($10 million), said Alexander Rusli, president director of Indosat.
He said Indosat needed to continue revitalizing its networks to increase its capacity and enhance its customers' experience. As of the end of September last year, the carrier served 53 million subscribers across Indonesia.
In comparison, rival XL Axiata, which has more than 58 million subscribers, has prepared Rp 9 trillion ($9 million) for its capex this year in efforts to boost its data services.
By improving network capacity, Indosat hopes to sustain its demanding traffic.
“We will continue to modernize our network so we can better serve the subscribers despite our increasingly crowded traffic,” Alexander said.
Indosat, Indonesia's 3rd-biggest network in terms of subscribers, is largely owned by Qatar-based Ooredoo.