Telco
Jul25 Price Tracker: Product Simplification Efforts Advance Further as MNOs Pursue Yield Uplift
- Simpati & Hutch have continued to rationalize high-volume data packages, driving +31% and +8% mom avg. yield upside, respectively.
- IndiHome refines its lineup with new 150/200Mbps tiers and streamlined bundling; EZNet repriced to Rp170k to help stabilize ARPU.
- We reiterate our OW call on the sector, supported by progress in product simplification amid ongoing market consolidation.
High-volume data package rationalization on-track
Our Jul25 price tracker highlights continued rationalization of high-volume data packages, with Simpati cutting SKUs from 78 to 61 and driving a +31% mom uplift in average data yield to Rp5.8k/GB. Hutch followed with an SKU reduction from 50 to 44, raising yield by +8.2% mom to Rp3.4k/GB. IM3 modestly expanded SKUs in the 5-20GB range, which still supports yield improvement. Meanwhile, the three XLSmart brands showed no further simplification, likely reflecting an already lean and optimized high-volume offering.
Flat reload prices; Strategic tilt toward product simplification and traffic
Reload package pricing remained largely stable in Jul25, with only Axis raising prices by 10-14% for select short-duration unlimited plans. We noted that instead of broad-based hikes, MNOs continue to optimize portfolios through substitution. Telkomsel removed its 5G-focused offering and introduced the “Voucher Internet” range (3-30 days, average yield of Rp5.7/GB) and “Simpati TikTok” starter pack (Rp55k for 5GB, yield of Rp11k/GB), aligning with sector pricing. These adjustments reflect a dual focus: monetizing higher-yield products and driving traffic consumption, amid weak macro challenges that limit direct price increases.
IndiHome adds high-speed tiers; EZNet turns more rational
In the fixed broadband segment, pricing remained largely stable across operators in Jul25. However, IndiHome introduced 150 and 200 Mbps speed tiers while simplifying its bundling structure with Phone and IPTV, signaling a strategic shift toward more commercially viable offerings and tapping into the high-speed consumer segment where rivals have gained ground. Meanwhile, EZNet pricing was revised from Rp150k for 10 Mbps to Rp170k for 20 Mbps, which we view as a rational adjustment to mitigate ARPU dilution, following a -3.9% qoq decline in 1Q25 to Rp223.8k, amid broader adoption of EZNet.
Overweight stance upheld on sustained pricing repair and consolidation
We reiterate our Overweight rating on the telco sector, underpinned by signs of progress in product simplification amid ongoing market consolidation. Despite expectations of a soft 2Q25 print, the sector remains attractively valued, trading at 4.3x 5-yr EV/EBITDA (-1.5 SD), ahead of broader market repair implementation in 2H25.
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