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IndosatFiber

Bringingthegreatnessofhomebroadband
endlesspossibilities

Strictly confidential and not allowed to be distributed to any external nor third party

At The Glance

Disclaimer:

The information contained herein is of a general nature and is not intended to address the circumstances of
any particular individual or entity. Although we endeavour to provide accurate and timely information, there
can be no guarantee that such information is accurate as of the date it is received or that it will continue
to be accurate in the future.
future No one should act on such information without appropriate professional advice
after a thorough examination of the particular situation.
This document is strictly confidential for PT. REKAPRANATA CIPTATANGGUH, and not allowed to be distributed to
1
any external nor third party.

At The Glance
Today's

converging network environments now


enable many service providers to build and secure
their customer base by offering bundled voice,
video, and data services at discounted rates.
Subscribers may be tempted by the cost benefits
and valueadded features available with Triple
Play service.

A tripleplay
t i l
l
network
t
k is
i
one in
i
which
hi h voice,
i
video and data are all provided in a single
access subscription. The most common applications
are Telephony,
Telephony
community antenna television
(CATV) and highspeed Internet service with the
transmission medium base on fiber optic.

And we believe this kind of business model will


not just boost revenue for the property owner in
terms of usage
g
but also increasing
g value of
property which installed with it.
2

Fixed and mobile data traffic are drastically growing driven by new,
mostly content, internet services whereof ~70% is consumed at home
Worldwide, Exabyte per month

SE Asia

Both
o mobile
ob e traffic
a ca
and
d fixed
ed
+21% p.a.
Fixed
broadband
traffic

109.5

traffic is growing rapidly

where mobile is expected to


42.7
13 6
13.6

have steeper growth rate than


fixed

54.0

17 5
17.5

38.2

10.8
+67% p.a.

However, over 70% of the


data usage consumed at
the home leading to steep
demand on connected
homes with wireless
connectivity to internet

Growth is highly influenced by

Mobile
broadband
traffic

growth in video traffic

0.8
0.3
20 2
2012

1.5

4.4

0.5
13
3

20 8
2018

Over 5 billion mobile and 2

billion M2M data enabled


devices worldwide is expected
i 2015
in
3

Video Bandwidth Growth Driving Fiber To The Home (FTTH)


Data Rate to Each Home

Top Tier D
Data Rate (M
Mb/s)

10,000
1,000

2012 Offers
Fiber:

20 - 1,000 Mbps

No limit!!*

100

Copper
Speed
Limit

10

Digital

1
42% annual growth
Increasing 4 times
every 4 years

0.1
0.01

Analog
Modems

0.001

* Fiber limit is >50 Tbps

Source: Technology
futures and OFS

Year

0
1980

1990
Text

2000
Pictures

2010

2020

Video HD SHD 3D

Today's converging network environments now enable many service providers to


build and secure their customer base by offering bundled voice, video, and
data services at discounted rates. Subscribers may
y be tempted
p
by
y the cost
benefits and valueadded features available with Triple Play service. A
tripleplay network is one in which voice, video and data are all provided in
a single access subscription.

Market projections of Internet speed demands indicate strongly that they will
rapidly approach 100 Mbps, and then eventually reach 1 Gbps for individual
users. Only fiber cables have the capacity to support these higher speeds over
the long distances that exist in access networks.
And we believe this kind of business model will not just boost revenue in
terms of usage but also increasing value of property which installed with it.

Residential Drivers

Need for SPEED

Consumer speeds increasing at 6-10x


every 6 years
Throughputs in excess of 1Gbps are
expected by 2016

Competitive advantage

New services/technologies
Gain operational savings via copper
replacement
Central office consolidation

g HD & 3D
Downloading
video content

UGC Sharing

Multi
location 3D HD
Multi-location
video conferencing

g screens require
q
Larger
higher resolution
6

TVs Are Growing Bigger, Higher Definition and


More Intelligent

Web, Gaming and Entertainment are Merging

A growing need for very high-speed networks

FTTH - The Layered Model

An FTTH network can be considered to have four layers: the passive


infrastructure comprising the fiber, duct, enclosures and other outside plant;
the active network comprising the electrical equipment; retail services, which
provides connectivity to the internet; and of course the endusers.
10

The Technology

11

At The Glance

12

Executive summary: We offer you full suite of FTTH broadband services


with an Experience
p

Video, internet, and new applications are driving bandwidth increases that require fiber
Fiber is the best method for providing low cost, high bandwidth services
High speed fibre broadband services with 100x faster speeds than normal speeds : Indosat offer a
full suite of high speed broadband services from 15Mbps to 1Gbps at affordable prices enabling tenants

to crystal clear HD content at no time


Pure fiber-to-the-home and triple play + WiFi: Indosat will deploy pure fiber-to-the-home triple play
services, high speed internet, TV/content and voice enabled via 100% fiber optic in the building
Enabling true smart building and living: Indosat fiber supports direct value creation by enabling
seamless data connectivity and smart building automation solution over fiber including IBS
Best
est custo
customer
e eexperience:
pe e ce Indosat
dosat iss co
committed
tted to maximize
a
e custo
customer
e eexperience
pe e ce to you
your te
tenants,
a ts, aandd

will deploy fiber space (kiosks) and experience centres within the building
Long term partnership commitment: A flexible commercial and revenue share model is proposed

Att ti recurring
Attractive
i revenue share
h with
ith incremental
i
t l scheme
h
correlated
l t d to
t take
t k up rate
t %
Share is on gross revenues and not on profit, and long term sustainable revenue stream
Provides maximum revenue generation, new revenue streams and incentives for Property
Provides higher benefits due to leaner operation and massive infrastructure ownership
13

The Demanding Consumer as a Tenant


Network
Coverage
High
y of
Quality
Service

Convenience

New Age Customer


Latest
Technology

TechSavvy
InstantGeneration
Noncompromising

Affordable
Costs

14

Tenants expecting higher speeds to enjoy new internet services on


both fixed and mobile devices, with home roaming
g being
g key
y
New Internet requirements
Fixed

Connection
Speed

Traffic
allowance

Mobile

Home

1Mbps - 10Mbps

Up to 150 Mbps

10Mbps - 1Gbps

Unlimited

Capped / month,
e.g. 30GB /
month

Unlimited

Seamless home roaming connection over multiple devices with a constant and high
qualityy access is required
q
q
to be offered to tenants in their homes - enabled byy FTTH
15

The evolved demand by tenants require homes to evolve to connected


and smart homes with fiber as enabler (2/2)

FTTH and GPON

16

The evolved demand by tenants require homes to evolve to


connected and smart homes with fiber as enabler (1/2)

17

18

Product Roadmap

Phase 1: Launch disruptive


3Play

Products and
offerings
ff i

Technology
ec o ogy
enabler

Timing

Phase 2: Continuing
disruptive & introducing full
4Play

Phase 3: Continuing disruptive & start


envy innovating

Full commercial launch:


- Up to 15Mbps
Full commercial launch:
- Up to 30Mbps
- Up to 15Mbps
- Up to 100Mbps
- Up to 30Mbps
- Up to 1Gbps
- Up to 100Mbps
- Fixed voice
- Up to 1Gbps
- OTT content + STB
- Fixed voice
- Chromecast Dongle & Apps
- OTT content + STB (continuing from - Additional VOD*
launched 2015)
- IPTV content + STB
- Chromecast Dongle & Apps
- Mobile service*
- Additional VOD
VOD*
- Chromebook
Chromebook*
- Mobile service*

Completion of core
- Interim OSS/BSS (IBOSS)
- Complete BNG & AAA

Q1 2016

Completion of core
- Interim OSS/BSS (IBOSS)
- Complete BNG & AAA
- Complete PCEF/PCRF
- Upgrade bandwidth capacity

Q2-Q3 2016

Full commercial launch:


- Up to 15Mbps
- Up to 30Mbps
- Up to 100Mbps
- Up to 1Gbps
- Fixed voice
- OTT content + STB
- Chromecast Dongle & Apps
- Additional VOD/ Premium Channel*
- IPTV content
t t + STB
- Mobile service*
- Chromebook*
- Bandwidth Management*
- Parental Control*
- CCTV*
Completion of core
- Interim OSS/BSS (IBOSS)
- Complete BNG & AAA
- Complete PCEF/PCRF
- Upgrade bandwidth capacity

Q4 2016
19

Indosat GIG Collaboration with Google

Google backs Indosats new internet service


Indosat Ooredoo launched new GIG Home Internet Service,
, which enables users to
enjoy internet speeds of up to 1GB per second on their home devices. The company
will utilize full fiber optic connections for the new internet service.
The Google partnership will offer customers a bundling option in the form of
Googles Chromecast streaming service, a new Google Chromebook laptop and up to
50 GB of free Google Drive storage for users subscribing to GIGs multiple packet
data options
p

20

21

Indosat will deliver a unique and rich transformative internet experience


to Property
provider in Indonesia with this capabilities!
p y tenants only
yp
p

Watch

The best content,


selected for you

The entire Internet,


on your TV screen

Always connected
and updated

Files & photos,


securely online

Indosat's YouTube app


features quality curated
content from Indonesia
and around the world

Indosat is offering
casting devices that
casts the best online
content magically to
customers TV from
their tablet or phone

Indosat offers safest


and easiest way to get
connected and be
productive

Cloud storage keep


customers files safe
and makes sharing
easy this can be used
for security video
content too

Indosats fiber products and services will enable additional new sources of
revenue and value propositions to Property tenants

22

Why OTT-Trend of Entertainment Over OTT


1

Easy Access Multiscreen ; Large Screen, Laptop,


PC, Mobile. while traditional IP Content delivery
mostly
tl limited
li it d for
f channel
h
l access

2
More Studios, Content Provider/
Principals moving toward OTT

3
More service choice: OTT FTA Chs,
OTT Premium Ch
Chs
s, VOD-SVOD
VOD SVOD &
TVOD

Economic and efficient content


platform ((content on internet
p
based)

23

The Full GI

G Experience

24

Consumer Internet Video Composition

25

Indosat will deploy local fiber customer experience centers and onsite
customer service staff to ensure best experience by users
Smart & connected channels

Fiber
experience
spaces

Scope, key activities and value added to tenants

We will deploy Fiber Spaces to enable users and tenants to

meet our fiber experts and learn more fiber services locally
Onsite customer support tailored to meet users and tenants
needs

We will deploy several mobile Fiber Spaces (kiosks)


(kiosks), within
2

Mobile fiber
spaces

Call centre

the lobbies of each tower/building


Allows users and tenants can see what our devices look
like, explore our high speed internet, crystal-clear highd fi iti TV and
definition
d content
t t offering,
ff i
and
d connectt with
ith
members of our fiber team to ask questions

Dedicated trained call centre staff for Property tenants


Dedicated fiber call centre contact number
Establish onsite 1st line support and operations &
maintenance with lean processes

We will run Indosat Fiber Space events where users and


4

Fiber events

tenants can learn about how Indosat Fiber and Property


positively
the community
can p
y impact
p
y
We will regularly run activities for the Property tenants
26

Indosat will provide a full suite of customer and tenant fiber spaces
for optimal customer experience and service

Fiber spaces
to allow
customers
and tenants
experience
i
the service
and socialize
with Indosat
fiber experts
- this will be
deployed for
Property

Mobile
spaces,
kiosks

Call centers

27

Activities and events we will enable the PPRS to enhance the overall
experience of life and satisfaction sat invest 100%

GIG space we
offer benefits
for tenants

Thematic
events for the
tenants and
communities

All tenants:
Monthly zumba with
famous instructors

Woman + kids:
GIG Voice competition
and digital karaoke

Kids + p
parents:
Creative LEGO build
and coloring session
and creative competition

Cooking
g + moms:
Cooking class with guests
chefs and always new
themes

28

Activities and events we will enable the PPRS to enhance the overall
experience of life and satisfaction sat invest 100%

GIG Thematic
events for the
tenants and
communities

GIG booth
events for the
tenants and
communities

All tenants:
Monthly zumba with
famous instructors

29

GIG Space Operation Profile


Product & price inquiry, product subscription
A l Central
Azalea
C t l Park
P k
-

Cash and Non Cash

Operational Hours
10:00 20:00
Total Agents : 5

Technical complaint handling,


customer profile changes,
changes dispute
handling, etc
Cherry Field Bandung
-

Operational Hours
09:00 18:00
Total Agents : 2

Demo area, Game Zone

30

31

Indosat will provide buildings and tenants a full suite of next generation
broadband services via fiber
Play
High speed
i
internet,
voice and
WiFi

Products / services to tenants

Monthly price2 IDR 000

Up to 15 1Gbps high speed internet


Home roaming all over in the home for unlimited

devices

Voice, fix telephony (VoIP)

15Mbps - 400
30Mbps - 750
100Mpbs - 1,950
1Gpbs IDR 5,500

OTT/FTA channels and content


Multimedia Premium SD / HD content
and content
- Sports
services1
- Entertainment
- Multi-screen and casting

Subsequent phase - to
be discussed

Home monitoring and clean pipe


Digital home management
A la carte
services and
- Surveillance
smart
- Video streaming
building /
Video conference
home1
Enhanced in-building cellular coverage

Subsequent phase - to
be discussed and
subject to Property
strategic roadmap

1 Subsequent deployment to internet, voice, WiFi


2 Prices subject to changes in line with Indosat product development and market changes
32

Our pure play fiber proposition to Basura City is designed to focus on


three levers its tenants value maximization
Lever

Description of offer features

Improve customer experience by tailoring offers to


Objectives and value

Deliver innovative

services
i
t tenants
to
t
t

Offer attractive

prices for high speed


services

Provide solutions for


all voice, content and
broadband needs

Ensure that tenants

are able to choice


their preferred solution
provider

specific tenant needs (personalization)

Packages
suited to
Tenants
needs

Provide feature-light alternatives for price sensitive


or light-user tenants, enhances choices

Provide add-ons to provide greater value to tenants


Provide simple and easy access to voice, content
and broadband to meet the needs of tenants
within
i hi the
h green field
fi ld vicinity
i i i

Attractive
access to high
speed
internet

Offer high speed broadband at attractive prices


Encourage tenants to adopt higher speeds enabled
by the fibre network through value added add-ons

Provide tenants a provider


p
a la carte option
p
for
Flexibility to
choose
providers

voice, broadband and content services

Tenants to selected their preferred provider for

voice, content or broadband solutions to ensure


optimal
ti l experience
i
and
d satisfaction
ti f ti
33

We offer rewarding revenue share scheme on internet revenues based


on conversion rate achievement
Preliminary revenue share calculation for brownfield buildings
as a result of direct sales to tenants in the buildings
Long term conversion
Fix flat

Revenue share
Total 20%
(Partner - SKP Group)

1. Internet account for Building Management & Public


area (Up to 5 Mbps with an available IM2 product
range)
2. Free WiFi in public areas (number of locations will be
determined after technical survey)
3. Collaborate marketing activities giving benefit for both
parties

1 On received monthly gross revenues from subscribers


2 Include activation, operations & maintenance

34

Detail price point for fixed phone product for Basura City
Average price in IDR

Economy package

Minimum payment in IDR1

Premium package

25,000 / month

Local call
- PSTN

110 / min

33 / min

- Mobile Indosat

325 / min

100 / min

- Mobile non-Indosat

600 / min

600 / min

- PSTN

160 / min

50 / min

- Mobile Indosat

420 / min

295 / min

- Mobile
M bil non-Indosat
I d
t

1 000 / min
1,000
i

900 / min
i

2 500 / min
2,500

875 / min

Long distance

International call
- Flat call 010162

1 Offerings and prices are subject to changes related to product development and specific local campaigns
2 To Singapore, Malaysia, Brunei, Thailand, USA, Canada, Taiwan, China, South Korea, Hong Kong

35

GIG Optical network terminal (ONT)


Benefit for Customer
1.
2.
3
3.
4.
5
5.

High speed internet access


Unlimited data (without Quota Volume or FUP)
S
Support
t video
id streaming
t
i without
ith t buffering
b ff i
Dynamic Public IP Address
Including customer device,
device ONT (Optical Network Terminal)
Huawei HG8245H
GE p
ports and POTS p
port
Embedded WiFi 802.11 b/g/n
Dimension : 195 mm x 174 mm x 34 mm
Weight : 550 gr
6. Fast Installation
36

We offer a guaranteed income stream Basura City with a revenue share


of 10% - allow PPR to generate IDR 2.7 bn for community improvement
Proposed commercial model (example):
Scenario: revenue upside opportunities
Estimated cumulative revenues for Basura
City, in IDR Mn
2,705
850%
1,851

Commercial benefit to Basura City


1,139
712
285

Gross revenue share at 10 % For


Internet Services (basic assumption)

Gross revenue share at 5% For


Telephony system

One residential site of 1,000 households

Proposed term of 10 years

Yield cumulative revenue to Basura City

Extension of additional 5 years

Y1

Y2

Y3

Y4

Y
Y5

and PPRS to support the community of


IDR2.7bn over 5 years
Example Calculation
37

Why should Basura City Go with FTTH with Indosat

38

Why should Basura City Go with FTTH with Indosat


Strategic benefit for

Basura City

Value add for Developer and its tenants

Limited incremental Opex for IT as integration with existing IT


Limited Opex

capabilities will take place

Limited incremental Opex


p proposed
p p
for operations
p
and maintenance
that will be offset against a attractive revenue share generation

Best customer
p
experience
and service
No Capex and
additional
revenues

Indosat will provide for fiber specialists with opportunity to upskill

Developer
p staff,, will ensure full operational
p
integration
g
and partnership
p
p

Indosat will provide for local mobile fiber space kiosks and fiber spaces
Minimum incremental Capex for the green field construction, a Capex
model
d l proposed
d where
h
no investment
i
t
t is
i needed
d d

Co-marketing opportunities to establish new sustainable revenue


streams and tenant acquisition levers

Maximum value add to tenants to choice preferred provider for any


Fiber events

service

39

OSP Installation Plan (Inside of Basura City Apartment)


Definitions

Handhole RINGCO
RING CO
EastCasablanca
Residence
Handhole Accessto
Bassura City
Apartment

1. OSP (Outside Plan)


Fiber Roll Out from Outside Apartment
(Indosat Central Office/CO) to
Apartment MDF Room .
2. ISP (Inside Plan)
Fiber Roll Out inside Apartment building
t picall from MDF Room to Shaft room
typically
in each floor or to customer premises.
3. MDF Room
Main distribution room in Apartment
building.
4 Cable Tray
4.
A unit or assembly of unit, used to support
cable wiring.
5. Shaft
Vertical hole that uses as hollow space for
g route.
wiring
6. Shaft Room
Room for access to the shaft.
7. ODF (Optical Diftribution Frame)
Special frame that used for fiber core
distribution, typically placed in MDF Room.

LEGEND :
Cable route from CO to Basura City
Apartment
Propose NEW Handhole inside
Apartment

40

What we need from Property Basura City/Rekapranata will be to


provide space
p
p
and permit
p
to Indosat as part
p
of commercial proposition
p p

Responsibility

Indosat

Property

Cable route OSP from Outside to MDF Room


OSP Fiber optic material & Installation
C bl route
Cable
t ISP MDF room to
t each
h shaft
h ft room
Shaft Room
ISP Fiber Optic material & Vertical Installation
Tray cable for horizontal installation
Drop wire foiber optic material & installation
Telco / MDF Room
AC Power Source
Active Equipment (ONT)
Active Equipment (OLT) If required
User Activation
Marketing
Sales
Sales booth space

Provide space and permit

Provide
P
id space and
d permitit
Provide space and permit

Provide space and permit

Provide space and permit


Provide space and permit

Provide space and permit

41

Evolving Indonesia, For Indonesia


Contact:
Julian Hutabarat
Head of Market Development & Partnership
Mobile: +62815 851551
Email: julian.hutabarat@indosatm2.com
42

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