Synopsis
This report presents an overview of Indonesia’s internet and broadband market and looks at the changes that have taken place over the last decade or so as the telecommunications industry got back on its feet following the economic crisis of the late 1990s. Commercial internet services were not launched in Indonesia until 1995. Coming into 2011, it was estimated that Indonesia had around 22 million internet users, up from 13 million in 2007. This meant that by early 2011 internet users comprised only around 9% of the population. On a positive note broadband internet services, although still very much in their infancy, had already become a significant proportion (40%) of the internet subscriber base by end-2010. The ongoing efforts to expand internet access will, however, likely be impeded by inferior telecommunications infrastructure. Nevertheless, the country is considered to have enormous potential as an online market.
Key developments:
Broadband services were growing at around 50% annually in 2011, as this segment of the market finally takes off. PT Telkom Indonesia and Telkomsel combined to offer a new broadband package under the brand name SpeedyFlash; the service allowed fixed and mobile broadband customers to access internet services as a single account. Social networking is proving to be very popular in Indonesia (in company with a number of other Asia nations.)
Companies covered in this report include:
PT Telkom, TelkomNet, Telkomsel, PT Indosat, Bakrie Telecom, PT Indosat Mega Media; PT Internux; PT First Media; PT Jasnita Telekomindo; PT Berca Hardayaperkasa; PT Rahajasa Media Internet; PT Comtronics Systems; PT Adiwarta Perdania.
