REPUBLIKA.CO.ID, JAKARTA -- Telecommunications provider PT Indosat, also known as Indosat Ooredoo, and satellite communication service provider PT Pasifik Satelit Nusantara (PSN) signed a satellite purchase agreement with Chinese satellite producer China Great Wall Industry Corporation (CGWIC) in Jakarta, Wednesday.

Both the Indonesian companies, who purchased the satellite under the joint venture company PT Palapa Satelit Nusa Sejahtera (PSNS), signed a US$220 million-contract on the sidelines of the Asia Pacific Satellite Communications System International Conference (APSAT) 2017, in the presence of Communications and Information Minister Rudiantara.

Alexander Rusli, President Director and CEO of Indonesia Ooredoo, said the Palapa-N1 satellite would replace the Palapa-D and would be positioned in the orbital slot of 133 degrees east longitude.

"This is the fourth satellite to be launched in the slot. We expect a replacement in 2020, so the services provided to our customers will run smoothly," he explained.

Palapa-N1 satellite will optimize the existing spectrum resources to provide broadcast and broadband services throughout Indonesia, using the new High Throughput Satellite (HTS) technology.

The purchase of the new satellite also confirmed the company's commitment to accelerate its broadband penetration in the country.

"Our target is to ensure that all existing customers receive streamline services, as we use the HTS technology to be part of the broadband solution in Indonesia," Rusli stressed.

The purchasing contract that has been signed will cover the cost of the construction, insurance and satellite launch, which is scheduled before July 2020.

Minister Rudiantara remarked the Palapa-N1 satellite would help improve telecommunication infrastructure in the archipelago.

Adi Rahman Adiwoso, CEO of Pasifik Satellite Nusantara, stated it would solve the digital gap among the various regions in Indonesia. 

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