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Indosat accused of predatory pricing outside Java

( June 27, 2016, 04:01 GMT | Insight) -- The Indonesian Telecommunication Regulatory Authority's commissioner and Bandung Institute of Technology academic M. Ridwan Effendi say telco Indosat has engaged in predatory pricing by offering rates of 1 rupiah ($0.00007) per second for voice calls outside Java, Tribunnews reports. The Indonesian Telecommunication Regulatory Authority's commissioner and Bandung Institute of Technology academic M. Ridwan Effendi say telco Indosat has engaged in predatory pricing by offering rates of 1 rupiah ($0.00007) per second for voice calls outside Java, Tribunnews reports. Based on Indosat's financial report for the first quarter of 2016, that price was below cost of the calls, and hence in the long run it could harm the cellular industry, the commissioner and the academic explained. They suspected that Doha-based Ooredoo — the main shareholder of Indosat — had subsidized the cost so the company could offer cheaper tariffs to its customers, a practice that they said was anticompetitive....

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