business

PT Telkom Looks to China for Satellites

Now dependent on the U.S. and Europe for the technology, the Indonesian telecommunications outfit will soon have another option

Indonesia's state-owned telecommunications company PT Telkom said it is expanding cooperation with China in the procurement and launching of telecommunications satellites.

The cooperation with China was marked with the signing in Beijing last week of a memorandum of understanding between Telkom and China's Great Wall Industry on the design, manufacture, assembly and launch of satellites.

Telkom president Arwin Rasyid after signing the contract said the country's largest telecommunication company planned to launch a new satellite in 2014 to replace its Telkom-1 satellite, which will end its life span that year.

So far Indonesia has relied only on the US and Europe for the procurement and launch of its satellites.

Telkom now has two satellite in service, including Telkom-1 launched in August, 1999 and Telkom-2 launched in November, 2005.

The new satellite-Telkom-3 will be larger in capacity, with 42 transponders to support Telkom's cellular and Internet service business.

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