2018 Indonesia - Telecoms, Mobile and Broadband - Statistics and Analyses

Last updated: 3 Apr 2018 Update History

Report Status: Archived

Report Pages: 141

Analyst: Phil Harpur

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Summary
Table Of Contents

Publication Overview

This report provides a comprehensive overview of trends and developments in Indonesia’s telecommunications market. The report analyses the Telecoms Infrastructure, mobile, fixed broadband, Digital Media and Digital Economy sectors. Subjects include:

Market and industry analyses, trends and developments;
Industry and regulatory issues;
Infrastructure;
Major players, revenues, subscribers, ARPU;
Broadband, VoIP, IPTV;
Mobile voice and data markets;
Broadband (FttH, DSL, wireless);
Digital Economy and Digital Media sectors eg e-Commerce and e-Payments;
Mobile and fixed broadband forecasts to 2022
Telecoms Maturity Index

Researcher:- Phil Harpur
Current publication date:- April 2018 (24th Edition)

Executive Summary

Mobile broadband penetration surges in Indonesia

Indonesia still faces some big challenges if it is to successfully continue the building of the telecommunications infrastructure required to support a large population spread over what is a uniquely complex geography. Continued progress in the development of the telecom sector will need further government action on restructuring the industry.

Indonesia is ranked 17th on the Asian Telecoms Maturity Index with an Index score of 33. Indonesia is also ranked 10th in the ‘Market Challengers” category out of 16 countries. (BuddeComm’s “Asian Telecoms Maturity Index”, is an index (on a scale between 0 and 100) that measures and ranks the relative maturity of the telecoms industry in all of the 34 countries in Asia.) Compared to other Asian nations, Indonesia has very low fixed line and fixed broadband penetration, high mobile penetration and moderate mobile broadband penetration.

Fixed broadband penetration in Indonesia remains relatively low mainly due to a limited number of fixed lines and the dominance of the mobile platform. The fixed broadband market has grown slightly over the past five years from a very small base. Over the next five years to 2022 moderate growth is expected to continue from this very small base.

4G mobile services offering mobile broadband is now relatively advanced in Indonesia and act as a direct substitute to fixed line broadband.

This also inhibits further fixed broadband rollouts. Mobile broadband subscribers have grown rapidly over the past five years in Indonesia. Strong growth is predicted over the next five years to 2022.

Not only is wireless-based mobile broadband helping to get more people online; it is also bypassing the problem of inferior telecommunications infrastructure that has been impeding fixed broadband expansion.

Indonesia’s mobile market has displayed very strong growth over the last five years and particularly during 2016 to 2018. Growing use of mobile broadband has been a significant driver of this strong growth. The market has seen a strong increase in subscribers from the market leader Telkomsel, supported by very strong growth from XL Axiata and Indosat Ooredoo.

Industry consolidation is possible towards 2019 as intense data competition may force smaller and unprofitable mobile operators to be pushed out of the market. Industry consolidation is more likely to have a positive impact on the local telco sector as it will reduce the overcapacity in the market and bring more stability to data tariffs.

Mobile subscriber growth is expected to be relatively low over the next five years to 2022 as the market further matures in a highly competitive market. The market will be driven by the uptake of both 4G and 5G services.

Key Developments

Indonesia is ranked 17th on the Asian Telecoms Maturity Index with an Index score of 33.
The fixed line market (wireless and wireline) continues to suffer setbacks with a rapidly declining subscriber base.
The fixed broadband market has grown slightly over the past five years from a very small base.
4G mobile services offering mobile broadband is now relatively advanced in Indonesia.
Telkomsel and Huawei held a live demo of 5G technology in Jakarta, which they claim is capable of producing data speeds of up to 70Gbps.
Industry consolidation is possible as intense data competition may force smaller mobile operators to be pushed out of the market.
Strong growth is predicted over the next five years to 2022 for the mobile broadband segment.

Key companies mentioned in this report:

PT Telkom; PT Indosat; Bakrie Telecom; PT Satelindo; ThaiCom. PT Telkomsel, Temasek, TelkomNet, Telkomsel.

Phil Harpur
April 2018

Key statistics

Country overview

Telecommunications market

Market overview and analysis
Historical overview
Regional Asian Market Comparison

Regulatory environment

Historic overview

Telecommunications Law 1989
Telecommunications Law 2000
Ministry of Communication and Informatics (MoCI)
Foreign ownership
Anti-monopoly case

Access

Fixed network operators

Operator Statistics
Pt Telkom Indonesia
Indosat Ooredoo
Pt Telekomunikasi Indonesia (Telkom)

Telecommunications infrastructure

Introduction
Fixed Lines Statistics

Telecom towers

New developments such as NGN, fibre networks etc

Palapa Ring Project
High-Speed Broadband (HSBB) project
TITO (Trade In Trade Off) Access Modernization Project
Other developments

International infrastructure

International gateway exchanges
Submarine cable networks

Satellite networks
Specific IT developments (data centres, cloud computing)

Data centres

Smart infrastructure

Smart cities

Broadband market

Fixed Broadband Statistics And Forecasts
Broadband Service Providers

TelkomNet
LinkNet
MNC Kabel Mediacom
Biznet Networks
MyRepublic (Indonesia)

Other Fixed Broadband Services

Fixed wireless (WiFi and WiMAX)

Digital economy

e-Commerce
E-Payments
e-Government
e-Health
e-Education
E-Books
Other digital services relevant to the country

Internet of Things (IoT)
Start-up Incubation Programs
Google’s Project Loon

Digital media

Advertising

Taxing of Digital Transactions

Videostreaming / IPTV

Introduction
Major players

Mobile communications

Market Overview And analysis
Mobile statistics

Mobile Subscriber Statistics and Forecasts
Mobile data
Mobile Broadband Statistics and Forecast

Regulatory issues

Near Field Communication (NFC)
Spectrum
MNP

Mobile infrastructure

Digital networks
Other infrastructure developments
IoT and M2M networks

Major mobile operators

Operator Statistics
XL Axiata
Telkomsel
Indosat Ooredoo
PT Hutchison 3 Indonesia
PT SmartFren Telecom (SmartFren)
PT Bakrie Telecom (BTEL)
Sampoerna Telekomunikasi Indonesia (STI) / (Net1)
Internux (Bolt!)

Mobile content and applications

m-TV

List of Tables

Table 1 – Country statistics – 2017
Table 2 – Telephone network statistics – 2017 (e)
Table 3 – Internet user statistics – 2017 (e)
Table 4 – Broadband statistics – 2017 (e)
Table 5 – Mobile statistics – 2017 (e)
Table 6 – National telecommunications authorities
Table 7 – Percentage of Population Covered by Type of Mobile Network
Table 8 – Key Metrics - Compound Annual Growth Rate (CAGR) - 2017 – 2022
Table 9 – Historic - Major fixed-line operators - subscribers – 2012 – 2015
Table 10 – Historic - Fixed lines subscribers and annual change by operator – 2015
Table 11 – PT Telkom – Revenue and EBITDA – 2012 – 2017
Table 12 – Historic - PT Telkom’s capital expenditure (capex) – 2008 – 2016
Table 13 – Historic - PT Telkom – revenue contribution by market segment – 2015 – 2016
Table 14 – Historic - PT Telkom – Operations results by Segment – 2015 – 2016
Table 15 – PT Telkom’s total fixed-line subscribers – 2004 – 2016
Table 16 – Fixed lines and penetration – 2012 – 2017
Table 17 – Fixed Broadband Subscribers and Penetration (with Forecast) – 2005 – 2022
Table 18 – Historic - DSL subscribers – 2001 – 2015
Table 19 – Internet Users and Penetration – 2007 – 2017
Table 20 – Historic - Internet users – 1998 – 2006
Table 21 – Total international internet bandwidth – 2005 – 2017
Table 22 – PT Telkom’s fixed broadband subscribers – 2004 – 2017
Table 23 – PT Telkom’s mobile broadband subscribers – 2011 – 2016
Table 24 – Mobile Subscribers and Penetration (with Forecast) – 2007 – 2022
Table 25 – Historic - Mobile subscribers – 1995 – 2006
Table 26 – Mobile Broadband Subscribers and Penetration (with Forecast) – 2009 – 2022
Table 27 – Historic - Frequency spectrum overview - major mobile operators – September 2015
Table 28 – Historical - Fixed-wireless (WLL) subscribers – 2003; 2007 – 2015
Table 29 – Major mobile operators by System\
Table 30 – Mobile subscribers and market share by operator – 2017
Table 31 – XL Axiata mobile subscribers – 2005 – 2017
Table 32 – Telkomsel mobile subscribers – 1999 – 2017
Table 33 – Telkomsel’s mobile broadband subscribers – 2011 – 2016
Table 34 – PT Indosat – revenue and contribution by market segment – 2015 – 2016
Table 35 – Indosat Ooredoo - mobile subscribers – 2005 – 2017
Table 36 – PT Indosat - postpaid and prepaid mobile subscribers (million)– 2015 – 2016
Table 37 – PT Indosat ARPU (IDR thousand/month ) – 2011 – 2017
Table 38 – 3 Indonesia subscribers – 2007 – 2017
Table 39 – SmartFren subscribers – 2010 – 2017
Table 40 – Bakrie Telecom subscribers – 2004 – 2017
Table 41 – Internux (Bolt!) – Mobile Subscribers – 2014 – 2017

List of Charts

Chart 1– Mobile, Mobile Broadband & Fixed Broadband Penetration – 2017; 2022
Chart 2 – Asian Telecoms Maturity Index by Market Category – 2017
Chart 3 – Asian Telecoms Maturity Index – South East Asia – 2017
Chart 4 – Asian Telecoms Maturity Index vs GDP per Capita – 2017
Chart 5 – Fixed Broadband vs Mobile Penetration – South East Asia – 2017
Chart 6 – Fixed Broadband vs Mobile Penetration – Top Ten Countries in Asia by Population – 2017
Chart 7 - Fixed Lines and penetration – 2012 – 2017
Chart 8 – Fixed Broadband Subscribers and Penetration (with Forecast) – 2007 – 2022
Chart 9 – Internet Users and Penetration – 2007 – 2017
Chart 10 – Mobile Subscribers and Penetration (with Forecast) – 2007 – 2022
Chart 11 – Mobile Broadband Subscribers and Penetration (with Forecast) – 2007 – 2022

List of Exhibits

Exhibit 1 – Key Market Characteristics by Market Segment
Exhibit 2 – South East Asia -Telecoms Markets- Country Snapshot
Exhibit 3 – PT Telkom – major shareholder groups
Exhibit 4 – Major shareholder categories in PT Telkom
Exhibit 5 – Palapa Ring Project – specification of rings
Exhibit 6 – Indonesian satellites
Exhibit 7 – Major shareholders in PT Indosat

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2018 Indonesia - Telecoms, Mobile and Broadband - Statistics and Analyses

Purchase this Report

Mobile broadband penetration surges in Indonesia

Key Developments

Key companies mentioned in this report:

Key statistics

Telecommunications market

Regulatory environment

Fixed network operators

Telecommunications infrastructure

Broadband market

Digital economy

Digital media

Mobile communications

Purchase this Report

Share this Report

TMT Intelligence

A platform to scale your intelligence tasks

Research Methodology

Hot Topics

News & Views