The tower operator of PT Dayamitra Telekomunikasi plans to build 2,300 towers and microcells throughout Indonesia evenly in 2017.
President Director of PT Dayamitra Telekomunikasi (Mitratel) David Bangun targets the expansion of tower construction, 1,150 base transceiver station (BTS) and 1,150 microcell by 2017. As a result, Mitratel's tower increased 25% from the original 8,700 towers in 2016, increasing cumulatively to 11,000 tower by 2017.
"Our target increased 25% or increased 2,300 towers, microcell and tower portion of each half," he said when contacted Business, Tuesday (7/2/2017).
The development of towers and microcells will be conducted throughout Indonesia equally, both in Java and Outer Java. Subsidiary of PT Telekomunikasi Indonesia (Persero) Tbk. it does not prioritize one particular area because all telecom operators are assessed to experience significant broadband traffic growth across the region.
Related to tower leasing composition, PT Telkomsel still dominates leasing with a majority portion of 80%, while the remaining 20% is leased by other operators, PT XL axiata Tbk., PT Indosat Tbk, PT Smartfren Telecom Tbk and PT Hutchison Tri Indonesia.
The derivatives of the state-owned company will spend Rp2.8 trillion in capital expenditures for the main infrastructure expansion needs. The plan, the funds obtained through the financing scheme of banking.
Mitratel has pocketed loan portfolio from several banks, among others, PT Bank Rakyat Indonesia Tbk., PT Bank Mandiri (Persero), PT Bank UOB Indonesia, PT Sarana Multi Infrastruktur, and Bank of Tokyo Mitsubishi UFJ.
With an aggressive expansion plan, the company targets revenue growth to reach 18 percent in 2017 or to Rp4 trillion from the total turnover of Rp3.4 trillion in the previous year.
"The revenue growth target is triggered by the expansion in 2017, well around 10% and some 8% of the development that has occurred in the last year," he said.
For information, Mitratel has three business microcell concepts that run. First, In-Building Solution, telecommunication infrastructure leasing services in office buildings, and public facility buildings, to provide cellular / Wifi services in IBS Mitratel existing.
Secondly, BTS Hotel is an outdoor solution to extend coverage and address capacity issues in strategic locations and business centers. Third, Micro Pole that works with BTS Hotel solution but has a different shape.
In essence, the microcell serves as a repeater to amplify an existing signal so that communication becomes more stable. Infrastructure can also be used to overcome communication in areas that are still experiencing blank spots.
In previous news, another tower operator, PT Tower Bersama Infrastructure Tbk. said that he will conduct an organic expansion of maximum development of 3,000 towers throughout Indonesia in 2017.
Tower Bersama Infrastructure Director Herman Setya Budi said each new tower construction is estimated to cost around Rp800 million to Rp1.2 billion. The value of the investment required depends on the height and location of the tower, for example building in the village or in the city, as well as in Java or outside Java.