KTF said on October 7 that it would invest 10 million dollars in stakes in PT Mobile-8 Telecom, a mobile phone service provider in Indonesia.
KTF will receive a part of payment for its consulting services by PT Mobile-8 Telecom`s 14 million stocks in value of 10 million dollars instead of cash, representing 2.9% of stakes in the Indonesian mobile communication carrier.
According to the investment contract, KTF has acquired the position of a preferred partner in relation to wireless Internet service of PT Mobile-8 Telecom and a right to take initiative in offering wireless Internet portal service for that mobile communication player.
Based on these deals with PT Mobile-8 Telecom, KTF plans to set up a regional stronghold for augmenting its presence in Southeast Asia and other parts of the world.
Being a startup in the 800MHz cdma2000 1x mobile communication service industry in Indonesia where GSM mobile phone services are predominant, PT Mobile-8 Telecom is set to provide its service in Java Island including Jakarta starting late this year.
With 11.7 million subscribers to mobile phone services out of a total population of 210 million as of the end of last year, KTF foresees a great potentiality for growth in mobile phone service market in Indonesia.
Meanwhile, KTF entered in July a contract with PT Mobile-8 Telecom to offer consulting services for three years for building cdma2000 1x networks, marketing, wireless Internet service and billing expertise.