The Indonesian Ministry of Communication and Digital (Komdigi) is preparing for a major move in the country's internet landscape: the auction of the 1.4 GHz frequency spectrum for Broadband Wireless Access (BWA). This new initiative, which will offer 80 MHz of bandwidth, is part of a broader strategy to increase fixed broadband penetration across the nation.

Once a popular method for providing internet, BWA services like Bolt and IM2 saw rapid growth in their early years. However, with the rise of mobile internet, BWA lost its appeal and was eventually phased out. In fact, the 2.3 GHz frequency that was once allocated for BWA was handed back to the government. Now, Komdigi is looking to bring BWA back into play in hopes of strengthening the country’s internet infrastructure.

Wayan Toni, Director-General of Digital Infrastructure at Komdigi, explained that the goal of this move is to boost fixed broadband coverage in Indonesia. The auction will be open to all companies with the proper “Packet Switched” network licenses, which means only fixed-line operators will be eligible. This excludes mobile network providers.

At present, 402 companies hold these licenses, including familiar names like Telkomsel, XL Axiata, and PT Aplikasi Lintasarta, a subsidiary of Indosat. Komdigi is also actively gathering feedback from the public as it prepares the auction process. Additionally, the ministry is drafting a standardization framework for devices that will use the 1.4 GHz frequency.

This new auction could bring fresh competition into Indonesia’s broadband market, possibly introducing new players while offering existing providers the chance to expand their services. If successful, it could improve internet access, especially in underserved regions. Komdigi is determined to create a more connected nation by revitalizing the BWA service.

The auction process is still being finalized, and many are eager to see what changes it will bring. Whether new operators will emerge or existing ones take the lead, this move reflects Indonesia’s ongoing commitment to improving internet access for its population.

SOURCE: CNBCINDONESIA | PHOTO: ISTOCK

This article was created with AI assistance.