DBS Telkom: Hold; Rp8,750; TP Rp8,500; TLKM IJ TLKM sell CDMA smartphone with Google Android OS

TLKM subsidiary, Flexi, will sell Android OS based smartphone this year. In the initial year, Flexi targets to sell 100,000 units of cellphones with selling price around Rp1.5m/each. Flexi offers the bundling package in collaboration with some manufacturers i.e. Ivio, Haier Mobile, ZTE, TiPhone and Hisense. Android OS offers benefits in terms of realtime operating system and various application supports. To boost the selling target, Flexi has secured commitment from 150 content application partners.