Study on 2G Termination in Indonesia using BCG Matrix

摘要

The presence of 4G technology encourages changes in customer behavior in the Indonesian market. This technology is believed to have fulfill the needs of the community for data access to social media, messenger, transportation services and ecommerce. On the other hand 4G technology has also replaced the 2G technology that has been primary income for operators in Indonesia. The rampant messenger technology used in the 4G era enables users to make video calls, send text messages or voice over IP networks and replace conventional calls (Circuit Switch) and Short Message Services (SMS). The sustainability of 2G technology enters a critical phase, where traffic and subscriber continues to degrade and the need for spectrum allocation for data services gets louder. For that, in this paper we analyze about the sustainability of this technology using Boston Consulting Group (BCG) Matrix. From BCG Matrix analysis, it shown that 2G have low market share and experience low growth rates. It means 2G focussed on voice services are on declining phase of product life cycle.