27 October, 2004: Indonesian-based P. T. Telekomunikasi Selular (Telkomsel) and Siemens have signed a framework agreement to expand Telkomsel's GSM network. Under the terms of the contract, which is expected to be worth more than E300mn, Siemens will be supplying new network technology for the country's largest mobile provider over the course of the next three years and installing it on a turnkey basis.The contract covers capacity expansions for both the radio and core network. To do that, Siemens will be installing additional base stations and upgrading the Telkomsel network with new switching technology.

Telkomsel is the largest mobile operator in Indonesia with 13.5mn subscribers today, representing a market share of over 50%. By year end 2004 Telkomsel expected a 14.6mn subscriber base. Indonesia is seen as one of the top growth markets in the mobile communication sector: Today only some eleven percent of the population is communicating the mobile way. Last year, the number of mobile subscribers rose by 60%. According to market estimates, the country's mobile subscriber base is expected to total more than 60mn by 2008.

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