Drastic price cut hampered Industrial competition

Telecommunication operators expected the authority not drastically cut telephone rate. Since if it become too low the competition on telecommunication business would be damaged. "New operators will be disadvantaged when it determined too cheap price," said the Director of Corporate Service of PT Bakrie Telecom Tbk, Rahmat Junaedi in Jakarta yesterday commenting the authority's immediate plan to reduce the price up to 30%. While President Director of PT Indosat Tbk Johnny Swandi Sjam gave similar comment. According Johnny, charge of cartel from the business competition monitoring commission is not true. "Since each operator decided the rate based on their own calculation," he said. Let say Indosat which offers different rate of SMS for each product. President Director of PT Telkomsel Kiskenda Suriahardja also that Telkomsel will be available to explain the charge of cartel