Smartcom, a mobile network provider from Singapore, has started operating in Indonesia. It is mainly focuses on the logistics, oil and gas, and public safety sectors.
The company offers push-to-talk communication tools and devices that feature barcode scanners and GPS tracking.
The technology combines ATEX-certified devices with TASSTA communication apps and works using LTE or Wi-Fi networks.
Smartcom’s technology is already being used by the National Traffic Police and Indonesia’s state-owned railway company, Kereta Api Indonesia.
The systems use 4G and 5G networks, with the help of Indonesian telecom provider Telkomsel, to ensure they get priority internet access during busy times.
This teamwork is focused on keeping communication secure and connected in dangerous or high-risk situations.
Smartcom’s devices are now being sold in Indonesia through local partners in Java, Sumatra, and Kalimantan.
Indonesia’s complex telecom regulations shape foreign entrants’ strategy
Smartcom is entering Indonesia, where strict telecom regulations affect how foreign companies can do business.
Foreign companies can only own up to 67% of a telecom business in Indonesia. This means they must work with local partners and go through a complicated licensing process, which can take up to six months.
Telecom companies also have to pay 1.25% of their total income to help fund the Universal Service Obligation (USO), a program that provides phone and internet services to areas with limited or no access.
Smartcom’s partnership with Telkomsel is significant because Indonesia’s telecom market is primarily controlled by five major companies, which hold around 90% of the market.
The rules in place help explain why Smartcom is focusing on specific business areas instead of trying to compete directly with big companies in the consumer market.
B2B specialisation targets high-growth sectors amid market evolution
Smartcom’s choice to focus on industries like logistics, oil and gas, and security fits well with the growing trends in Indonesia’s business-to-business telecom market.
The B2B telecom market in Indonesia is expected to grow from $1.89 billion in 2025 to $2.03 billion by 2030, primarily due to the increasing demand for fast data and reliable connectivity.
The oil and gas industry, one of Smartcom’s focus areas, faces significant tech challenges, such as the need for better communication in remote areas. This creates an exceptional opportunity for telecom companies that offer specialised services.
Indonesia’s logistics sector is split into many parts and is increasingly focusing on digital tools and new technologies to make operations more efficient.
By focusing on the critical communication needs in these sectors, Smartcom targets specific business areas where reliable communication is highly valued, rather than competing in the crowded consumer market.
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