Definition
Universal Service Obligation – A mandatory contribution Indonesian telecom operators pay, set as a percentage of gross revenue (net of uncollectible receivables and interconnection expense), toward government-directed telecommunications infrastructure buildout in underserved areas. The required percentage is set by regulation and has changed over time (raised from 0.75% to 1.25% of gross revenue effective January 2009, alongside a cut to a separate telecommunications-license fee), so the same nominal contribution can represent a different real burden from one year to the next. Found In: Notes to Financial Statements (regulatory/tariff disclosures)