South Korea-Based Smartphone Producer Sees Potential in Indonesia
Optis-led South Korean tech consortium plans on joining the smartphone competition in Indonesia. The condition of local telecommunication industry, which is currently on the verge of transition from 3G to 4G/LTE, is seen as a potential gold mine. The company has projected to bring along Pantech, which finds difficulties to survive in the South Korean market.
According to Optis' representative, the process of telecommunication transition in Indonesia is an opportunity in which the company look to profit from. “At the moment, our priority is to dominate the smartphone market in the country (Indonesia) using this Pantech’s technology,” he said.
“Indonesia is the host of Asian Games 2018, meaning that the demand for IT technology will sharply increase. We’ll do our best to fulfill the demands for the upcoming Asian Games,” he continued.
Pantech is the third biggest South Korea-based cellphone producer, after Samsung and LG. After failing to compete in the local smartphone market, the company finally got acquired by Optis. Optis identified that Indonesia is a potential market for Pantech to grow.
Optis-Solid’s decision to bring Pantech to Indonesia will face tough competition, as the company really needs to directly compete with Xiaomi, Lenovo, or Huawei in the low-to-mid-end smartphone segment.
Previously, Minister of Communication and Information Rudiantara guaranteed that the 4G/LTE network will be available all over Indonesia by early 2016. The government has also prepared the Local Component Legislation, forcing 4G/LTE smartphone to contain 30% of its smartphone with local-produced components.