Satelite service provider - a solution

1. Satellite Service Provider
Business Plan inIndonesia

2. Agenda
| 2
 Objectives
 Background
 Project Summary
 Vision and Mission
 Product and
Services
 Market Analysis
 Marketing Strategy
 Financial Schemes
 Projected Profit &
Loss
 Projected Cashflow
 Sensitivity Analysis
 Project Timeline
 Organization
 SWOT Analysis
 Conclusion

3. Objectives
| 3
To seek a loan for US$ 50 million for a new
start-up company of Satellite Service
Provider in Indonesia.

4. Notable trends in the Indonesian digital services market include exponential
growth in eCommerce, the fintech market and digital content.
The Indonesian telecommunications market is fiercely contested,
predominantly by global investors (Singapore, Qatar, Malaysia) and local
players.
The growth in mobile consumption and increasing demand for disaster
recovery services have been key in driving the cloud market in Indonesia,
while concerns over cloud security continue to serve as a key restraint.
The nation is still in the early stages of evolution in terms of its digital and
financial services. Mobile and internet banking platforms continue to grow in
popularity
Indonesia’s size and geographic complexity is favorable for mobile
connectivity as opposed to fixed connectivity.
Indonesia is becoming a key location for regional offices of multinational
companies looking to move into the South East Asian market. The
Indonesian government actively supports inward foreign investment since
this helps stimulate the local economy
| 4 Back gr ou n d

5. Project S u m m a r y
| 5
Project title Satellite Service Provider
Locatio
n
Jakarta,
Indonesia
Objective
s
To establish a new Satellite Service Provider company in
Indonesia.
Product &
services
 Mobile services
 Corporate solution
 Wholesales & international
solution
Project
scopes
Installation of Satellite Service Devices c/w infrastructures
and further operates to provide client with satellite
communication services.
Key to
success
 Introduce better value-added services to end
user
 Maintain and increase customer services
Capex &
Opex
US$ 36.34 million ; US$ 11.73 million
(p.a.)
Estimated
revenue
US$ 23.4 million
(p.a.)
Economic
s
NPV: US$ 32.3 million , IRR: 22.6%, POT: 4.9
years

6. Vision a n d Mission
| 6
Vision:
The most preferred Satellite Service Provider of integrated connectivity.
Mission:
 To support a modern business and economic in Indonesia through a
reliable Satellite Services.
 To provide customers with comprehensives solutions;
bridging communication borders and optimizing business
opportunities.
 Actively promotes and involves in sustainability development,
community development and social responsibility.
Value:
 Innovation: thriving on creativity and ingenuity in satellite
communications, by creating ideas and solutions to stakeholders.
 Excellence: striving to exceed expectations in all that we do, both
internally and externally.
 Accountability: pursuing goals with ultimate agility and passion, and
do not compromise on company principles and ethics.

7. Products a n d Services
| 7
As a telecommunication operator in Indonesia, we planned to
provide three main product and services:
 Mobile Services
 Corporate Solution
 Wholesale & International Services

8. Market Analysis
(The essential data of mobile, internet, social media use)
| 8
 With the population of 272.1 million, GDP of $ 1,126 billion, and internet penetration of
64%, Indonesia is a large potential market for Information and Communication
Technology (ICT) development.
 The projected market growth for the Telecom's industry in Indonesia has been one of the
most highlighted aspects of new business. Internet users sharply increased by 17% in the
periods of Jan 2020 to Jan 2019.
 The statistical data above concludes that Indonesia has a big chance of increasing
individual internet usage by 350,000 users. This figure is our reference in setting the
initial target market.
 For corporate users, we targeted for 500 MBPS monthly internet usage, which will
includes government, ministry, authorities, military and banks.

9. Market Analysis
(ICT market forecast 2016-2022)
| 9
Source: Frost & Sullivan
Indonesia
Telecommunications
 The Indonesian telecoms market
is competitive. Data and value-
added services are set to grow
to an estimated USD 22.5 billion
by 2022.
 The majority of mobile
subscriptions use 2.5G
technology, but both 3G and 4G
uptake is increasing
Area of opportunity
 4G connectivity
 Fixed-wireless access connectivity
Digital
Services
 Digital services are disrupting
traditional business models, with
the majority coming from
eCommerce, digital finance, and
cloud services .
 Digital finance is the fastest
growing digital service, set to
total USD 1.25 billion by 2022,
followed by cloud services at
USD 1.2 billion by 2022
Area of opportunity
 Pay TV, Fintech,
Cloud
Cybersecuri
ty
 The cybersecurity market
comprises network security and
network advanced malware
analysis. Both will account for an
estimated 68% of the total market
by 2022.
 Government organizations and
financial institutions are
becoming more vulnerable to
cyber-attacks
Area of opportunity
 Network security and advisory
service

10. Marketing Strategy
| 10
 Emphasize service and support: communicate with the client on an
ongoing basis with important information about the product or service
which has been delivered.
 Build a long-term relationship with the customer: Maintain as many
clients as is possible, and having constant contact with them. This is
achieved by sending out newsletters and emails so that they are kept up-
to-date with all that is happening in the marketplace.
 Focus on target markets: Having a goal and focus on a certain market
segment. Understand the constant changes in requirements, to make the
required decisions on new markets rather quickly and efficiently.
 Differentiate and fulfill the promise: Aim to be different from other service
providers. To provide pre-paid services and rural telephony and get involved
in the education of the users and sub-users of our product.
 Product flexibility: Strive to maintain a lead in the ability to easily add
schemes and re-configure the system, and maintain an open
environment.

11. Financial Schemes
| 1
1
Intanjaya
JV Company
Operation BD / Commercial
Finance
Gemstones
(Lender)
Supply development mortgagesas
required in various phases of
development
Day-to-day operationand
management marketing,etc.
G&A / Legal
Partner
Partnership providescash
equity coming toproject.
Partnership providescash
equity coming to project.

12. Projected Profit & Loss
| 12
No Description Unit
Unit Cost
(US$)
Volume
Total
(US$)
Remarks
I Basic & Assumption
Individual Subscription user 5.0 350,000 Monthly
Corporate Subscription MBPS 400 500 For military, banks,ministry
II Capex 36,340,000
PreOps set 250,000 1 250,000
O3B Hub & Consultancy Fees set 17,500,000 1 17,500,000
O3B Terminals set 12,500,000 1 12,500,000
Building and NOC Facilities set 5,500,000 1 5,500,000 Network Operator Center
Office Equipment Ls 175,000 1 175,000
Office Decoration & Furniture Ls 125,000 1 125,000
Permit & Licenses Ls 35,000 1 35,000
Generator Set set 75,000 1 75,000
Cars & Vehicles unit 18,000 10 180,000
III Opex 11,727,880
Salary & Wages Ls 2,072,880 1 2,072,880
Sales & Marketing Ls 3,050,000 1 3,050,000
VSAT O3B Terminal Ls 2,250,000 1 2,250,000
TRC Frequency Fees Ls 350,000 1 350,000 Telecom Regulatory Commission
Royalty Ls 1,750,000 1 1,750,000
Maintenance Ls 1,250,000 1 1,250,000
G&A Expenses Ls 1,005,000 1 1,005,000
IV Revenue 23,400,000
Individual Subscription user 60 350,000 21,000,000
Corporate Subscription MBPS 4,800 500 2,400,000
V Gross Margin 11,672,120
Tax, 10% 1,167,212
Net Margin 10,504,908
VI ROI % 29%
VII POT years 3.5

13. Projected Cashflow
| 13
(In US$
000)
No Description Total
Y e a r
I Opening Balance 0.0 487.2 18,739.7 16,744.6 14,959.6 13,388.9 12,036.8 10,907.6 22,505.9 34,336.1
II Revenue & Receipt 38,000.0 24,700.0 23,400.0 23,868.0 24,345.4 24,832.3 25,328.9 25,835.5 26,352.2 26,879.2
1 Equity 1,000.0 1,000.0
2 Loan 50,000.0 37,000.0 13,000.0
For development 37,000.0 37,000.0
For working capital 13,000.0 13,000.0
3 Revenue 212,541.5 11,700.0 23,400.0 23,868.0 24,345.4 24,832.3 25,328.9 25,835.5 26,352.2 26,879.2
Individual Subscription 10,500.0 21,000.0 21,420.0 21,848.4 22,285.4 22,731.1 23,185.7 23,649.4 24,122.4
Corporate Subscription 1,200.0 2,400.0 2,448.0 2,497.0 2,546.9 2,597.8 2,649.8 2,702.8 2,756.8
4 Available Fund 38,000.0 25,187.2 42,139.7 40,612.6 39,304.9 38,221.2 37,365.7 36,743.1 48,858.1 61,215.4
III Expenditures 37,512.8 6,447.5 25,395.1 25,653.0 25,916.1 26,184.4 26,458.1 14,237.2 14,522.0 14,812.4
1 CAPEX 36,340.0 36,340.0
PreOps 250.0 250.0
O3B Hub & Consultancy Fees 17,500.0 17,500.0
O3B Terminals 12,500.0 12,500.0
Building and NOC Facilities 5,500.0 5,500.0
Office Equipment 175.0 175.0
Office Decoration & Furniture 125.0 125.0
Permit & Licenses 35.0 35.0
Generator Set 75.0 75.0
Cars & Vehicles 180.0 180.0
2 OPEX 107,696.8 1,172.8 5,863.9 11,727.9 11,962.4 12,201.7 12,445.7 12,694.6 12,948.5 13,207.5 13,471.6
Salary & Wages 207.3 1,036.4 2,072.9 2,114.3 2,156.6 2,199.8 2,243.8 2,288.6 2,334.4 2,381.1
Sales & Marketing 305.0 1,525.0 3,050.0 3,111.0 3,173.2 3,236.7 3,301.4 3,367.4 3,434.8 3,503.5
VSAT O3B Terminal 225.0 1,125.0 2,250.0 2,295.0 2,340.9 2,387.7 2,435.5 2,484.2 2,533.9 2,584.5
TRC Frequency Fees 35.0 175.0 350.0 357.0 364.1 371.4 378.9 386.4 394.2 402.0
Royalty 175.0 875.0 1,750.0 1,785.0 1,820.7 1,857.1 1,894.3 1,932.1 1,970.8 2,010.2
Maintenance 125.0 625.0 1,250.0 1,275.0 1,300.5 1,326.5 1,353.0 1,380.1 1,407.7 1,435.9
G&A Expenses 100.5 502.5 1,005.0 1,025.1 1,045.6 1,066.5 1,087.8 1,109.6 1,131.8 1,154.4
3 Tax (10%) 583.6 1,167.2 1,190.6 1,214.4 1,238.7 1,263.4 1,288.7 1,314.5 1,340.8
4 Banking 12,500.0 12,500.0 12,500.0 12,500.0 12,500.0
Installment 10,000.0 10,000.0 10,000.0 10,000.0 10,000.0
Interest (5% p.a.) 2,500.0 2,500.0 2,500.0 2,500.0 2,500.0
IV End Balance 487.2 18,739.7 16,744.6 14,959.6 13,388.9 12,036.8 10,907.6 22,505.9 34,336.1 46,403.0

14. Sensitivity Analysis
| 14
 Revenue, which is generated by number of subscriptions and internet usage are the
parameters that most affect to the Net Present Value (NPV) and Internal Rate of Return
(IRR).
 Capital Expenditures (Capex) and Operating Expenses (Opex) are the parameter that
moderate affected to the economic indicators (NPV and IRR).
 Conclusion; marketing effort to increase the number of client and advertisement to
increase the internet usage need to be prioritized.
NPV (US$
000)
IRR
(%)

15. Project Timeline
| 15
No Description
Year 1 Year 2
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
1 Feasibility study & business model dev.
Site survey
Feasibility study
Business model development
2 Agreements
Financial schemes development
Establishment of agreement
Company establishment
3 Facility engineering
Engineering &design
Finalized design and cost estimate
4 Operation Preparation
Procurement - equipments & accessories
Device assembly and installations
Infrastructure constructions
5 Legal, permits, insurance
Equipment certification
Permits and licenses
6 Organization & SOP
Organization establishment
SOP establishment
Recruitment & staffing
7 Pre-marketing
Market development
Marketing network establishment
8 Commissioning & start-up

16. Organ iz at ion
| 16
 Legal, permit, license
 PR, GovRel
 Organization, staffing,
compendium
Dir. Finance Dir. General Affair
General Manager
Operation Manager
Sales & Marketing
Manager
Finance Manager
Dir. Operation Dir. Commercial
President Director
General Affair
Manager
Board of
Commissioner
 Business
development
 Frequency &
Regulation
 Satellite
 NOC control
 Pre-sales
 Post
sales
 Marketin
g
 Accountin
g
 Tax
 Insurance
 HRD
 CD/SR
 Office
management
 Technic
al

17. SWOT Analysis
| 17
POSITIVE NEGATIVE
EXTERNA
L
INTERNA
L
WEAKNE
SS
THRE
AT
STRENGTH
 Communication between people
separated by distance;
 At home and within the workplace
 Working from home with ease
 Setting up an online business
 Gathering information (valuable asset
in business)
OPPORTUNITY
 New markets can be explored.
 Growing economies leading to
higher profitability.
 New products and services to cater to a
wide variety of applications.
 Introduction of simpler tariffs.
 The economic crisis; householders less
likely to increase their broadband
subscriptions.
 Economic slowdown and exchange
rate fluctuations..
 Lower cost competitors and imports.
 New entrants underestimate level of
expertise needed to survive the
market.
 Large sums of fund required to set
up business.
 Low market trust due to new player
 Numerous pricing tariff and service
options

18. Conclusion
| 18
 Development of a reliable Satellite Service Provider in Indonesia
subsequently will expand the socio-economic transformation that will
improve the per capita income and ensuring that country’s prosperity.
 Good opportunity for establishment a start up company for Satellite
Service Provider in Indonesia.
 Establishment of a Satellite Service Provider in Indonesia is good
prospect of business, with following economic indicators;
 NPV = US$ 32.3 million
 IRR = 22.6%
 POT = 4.9 years

19. Thank You
Backup Data

20. Economic Calculations
| 20
(In US$
000)
No Description Total
Y e a r
I Investment 36,340.0 36,340.0
PreOps 250.0 250.0
O3BHub& ConsultancyFees 17,500.0 17,500.0
O3B Terminals 12,500.0 12,500.0
Building andNOC Facilities 5,500.0 5,500.0
Office Equipment 175.0 175.0
Office Decoration & Furniture 125.0 125.0
Permit & Licenses 35.0 35.0
Generator Set 75.0 75.0
Cars &Vehicles 180.0 180.0
II Revenue 212,541.5 11,700.0 23,400.0 23,868.0 24,345.4 24,832.3 25,328.9 25,835.5 26,352.2 26,879.2
III Opex 107,696.8 1,172.8 5,863.9 11,727.9 11,962.4 12,201.7 12,445.7 12,694.6 12,948.5 13,207.5 13,471.6
Salary &Wages 207.3 1,036.4 2,072.9 2,114.3 2,156.6 2,199.8 2,243.8 2,288.6 2,334.4 2,381.1
Sales &Marketing 305.0 1,525.0 3,050.0 3,111.0 3,173.2 3,236.7 3,301.4 3,367.4 3,434.8 3,503.5
VSAT O3B Terminal 225.0 1,125.0 2,250.0 2,295.0 2,340.9 2,387.7 2,435.5 2,484.2 2,533.9 2,584.5
TRCFrequency Fees 35.0 175.0 350.0 357.0 364.1 371.4 378.9 386.4 394.2 402.0
Royalty 175.0 875.0 1,750.0 1,785.0 1,820.7 1,857.1 1,894.3 1,932.1 1,970.8 2,010.2
Maintenance 125.0 625.0 1,250.0 1,275.0 1,300.5 1,326.5 1,353.0 1,380.1 1,407.7 1,435.9
G&A Expenses 100.5 502.5 1,005.0 1,025.1 1,045.6 1,066.5 1,087.8 1,109.6 1,131.8 1,154.4
IV EBITDA 106,017.5 5,836.1 11,672.1 11,905.6 12,143.7 12,386.5 12,634.3 12,887.0 13,144.7 13,407.6
Taxes 10% 10,601.8 583.6 1,167.2 1,190.6 1,214.4 1,238.7 1,263.4 1,288.7 1,314.5 1,340.8
Earningafter tax 95,415.8 5,252.5 10,504.9 10,715.0 10,929.3 11,147.9 11,370.9 11,598.3 11,830.2 12,066.8
V Cash in flow 59,075.8 (36,340.0) 5,252.5 10,504.9 10,715.0 10,929.3 11,147.9 11,370.9 11,598.3 11,830.2 12,066.8
Earningafter tax 95,415.8 5,252.5 10,504.9 10,715.0 10,929.3 11,147.9 11,370.9 11,598.3 11,830.2 12,066.8
Salvage value 0.0
VI Cummulative cash in flow (36,340.0) (31,087.5) (20,582.6) (9,867.6) 1,061.7 12,209.6 23,580.4 35,178.7 47,008.9 59,075.8
VII Economics Indicator
NPV(@6%) 32,304.4
IRR,% 22.6%
POT, years 4.9

21. Digital the World i n 2020
| 21

22. Internet Penetration by Region
| 22