Solusi Tunas Pratama (SUPR), telecommunication tower provider, jumped 19.53% Friday (May 17) to become a company with market capitalization of slightly above US$600 million following the company's intention to acquire towers from Telkom Group. This makes the race to control Telkom Group's towers more interesting to watch.

CDMA-based cellular operator PT Smartfren Telecom (FREN) Tbk, controlled by Sinarmas Group, posted net loss of Rp355.5 billion in the first quarter of 2013, down from Rp533.3 billion in the corresponding period of 2012. The company also posted operating loss of Rp324 billion, despite stronger sales revenue growth than peers.  

Changing dynamics in the telecommunication industry turned out hurtful for Indosat (ISAT) and XL Axiata (EXCL). EXCL shares lost 23% its value from peak last year as the company continued to report downsides. ISAT, which sold substantial amount of its towers to Tower Bersama Infrastructure (TBIG), is now valued inches above TBIG.

Ananda Krishnan from Astro Group and James Riady from Lippo Group were business partners in the development of pay TV business here. Their partnership, however, ended in an endless fights in various jurisdictions: Indonesia, Malaysia, Singapore, and Hong Kong. A series of five arbitration awards has been granted to Astro against Lippo for a total sum of about US$303 million. 

Shares of Indosat (ISAT) ended lower by 1.57% to Rp6250 Monday (April 22) as the company is forced to adjust its financial statement, including profit-loss for 2012, related to divestment of 2,500 towers to PT Tower Bersama Infrastructure (TBIG) Tbk last year, which was followed with leaseback agreement.  

So, Telkom (TLKM) shares ended substantially higher by 5.38% to Rp11,750 on Tuesday (April 16). This is the highest price since December 2007. Telkom, like other stocks, collapsed to almost Rp5,000 in late 2008. Since then, the stock gained to above Rp9,000 in early 2010, retreated to below Rp7,000 in early last year, but has since rallied to new high in five years. It has yet to return to its peak (Rp12,000) in 2007.

TV broadcasting industry might enter a 'triopoly' like cement industry if Bakrie Group agrees to sell Visi Media Asia (VIVA) to either Chairul Tanjung's CT Corp or Harry Tanoesoedibjo's MNC Group. This might lead to a 'fixed profit scheme' over a long period of time like cement players have been enjoying since Soeharto years.

Bakrie Telecom (BTEL) and Smartfren (FREN), controlled by two major business groups of Bakrie and Sinarmas, have released their 2012 financial results. Smartfren recorded net loss of US$160 million, while Bakrie Telecom posted a ballooned US$322 million loss. Why? Technology or financial & operating issues? Will both survive?

We now have five 'independent tower operators' listed on the Indonesia Stock Exchange (IDX).  They have a combined market capitalization of Rp64 trillion or about US$6.5 billion. Three of them have released 2012 financial results with average operating profit margin above 60%, better than telco operators. For how long?

First Media (KBLV) failed to ride on 'media boom' in the stock market. While Sariaatmadja's Surya Citra Media, operator of SCTV, is now valued almost US$3 billion, 12.5 x equity, Lippo Group First Media's market value is only around US$100 million. Worse, the company posted net loss of Rp105 billion last year, expanded from Rp44.2 billion in 2011.

Bakrie & Brothers (BNBR) confirmed Thursday (March 14) that it has transferred 4.3 billion shares in Bakrie Telecom (BTEL) to Mount Charlotte Holdings Ltd. The company, however, failed to confirm whether Mount Charlotte has made the Rp1.462 trillion of payments to BNBR. 

Financial information giant Bloomberg has just soft launched its Bloomberg TV in Jakarta last week. This is part of the group's 'big push' into Southeast Asia market. The group has earlier published Indonesian edition of its Bloomberg Businessweek magazine. While Indonesia is a potential market because of its growing economy and huge population, TV news industry is tough.