Indonesia Telecoms Market Report

Telecoms, Mobile and Broadband - Statistics and Analyses

Last updated: 1 Dec 2024 Update History

Report Status: Current

Report Pages: 160

Analyst: Henry Lancaster

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Summary
Table Of Contents

Indonesia’s telcos restructure to adapt to telecom landscape

Indonesia comprises the world’s largest archipelago, and as such the country faces a range of obstacles in terms of enabling widespread access to quality telecom services covering its population. Geographical challenges have been exacerbated by a variety of social, political, and economic problems over the years, which have kept the country’s wealth distributed very thinly.

Many islands are sparsely populated, which has rendered the deployment of fixed-line infrastructure on a broad scale largely impractical. What fixed infrastructure does exist remains concentrated around major urban centres. The relatively low broadband penetration rate is partly due to under-investment by the previously state-owned incumbent Telkom, though in recent years more effort has been made to address poor connectivity in outlying areas, where a good proportion of the population resides with limited internet coverage. There has been renewed activity in laying out fibre cables (though mostly again concentrated in built-up areas, where the return on investment is more secure), but the bundling of fixed-line telephony with TV and internet services will see the country’s teledensity stabilise for the near future. For all that, Indonesia’s telecom sector is largely focussed on mobile connectivity. In what has become a highly competitive market, mobile penetration stands at 125% and is projected to continue to increase at a steady, though slow, rate over the next five years.

With the near universally availability of LTE, the mobile operators have been busy trialling and launching 5G services in selected areas. Telkomsel was the first to go live, in Jakarta in May 2021, followed by IOH in Solo shortly afterwards. However, the rollout of 5G is being hampered by the lack of available spectrum. Telkomsel was obliged to launch services using limited spectrum in the 2.3-2.4GHz band, which is only supported by a small number of handsets. Much of the LTE spectrum has had to be re-farmed from broadcasting services. Telkomsel was able to alleviate some of the pressure on its limited spectrum holdings after having secured 20MHz of spectrum in the 2.1GHz band at auction in November 2022. The same refarming process is likely to be considered in order for the operators to expand 5G into its core frequency bands (3.3-4.2GHz).

Key Developments

Indosat expands 5G services.
IndiHome is merged with Telkomsel.
Telkom increases its data centre capacity from 42MW to 55MW.
SpaceX’s satellite operator Starlink launches services in Indonesia with a focus on connecting the healthcare and education sectors.
Report update includes the regulator's market data releases, telcos' operating and financial data to Q3 2024, updated Telecom Maturity Index charts and analyses, recent market developments.

Key companies mentioned in this report:

Telkom, Indosat Ooredoo, Bakrie Telecom, Telkomsel, XL Axiata, 3 Indonesia, Smartfren, STI, Internux (Bolt!), TelkomNet, Link Net, MNC Kabel Mediacom, Biznet Networks, MyRepublic

Key statistics
Regional Asia market comparison

Market characteristics
Market Leaders
Market Challengers
Market Emergents
TMI vs GDP
Mobile and mobile broadband penetration
Fixed versus mobile broadband penetration

Country overview
Telecommunications market
Regulatory environment

Regulatory authority

Ministry of Communication and Informatics (MoCI)

Fixed-line developments

Telecommunications Law 1989
Telecommunications Law 2000
Badan Regulasi Telekomunikasi Indonesia (BRTI)
Foreign ownership
Access
Universal Service Obligation (USO)

Mobile network developments

Spectrum auctions
Mobile Number Portability (MNP)

Mobile market

Mobile statistics
Mobile infrastructure

5G
LTE
Other infrastructure developments
Mobile broadband

Major mobile operators

Telkomsel
Indosat Ooredoo Hutchison (IOH)
XL Axiata
Smartfren Telecom
Bakrie Telecom
Sampoerna Telekomunikasi Indonesia (STI) / Net1 Indonesia
Internux (Bolt!)

Fixed-line broadband market

Broadband statistics
Fixed broadband service providers

TelkomNet
Link Net
MNC Kabel Mediacom
Biznet Networks
XL Axiata
MyRepublic (Indonesia)

Fixed-line broadband technologies

Fixed wireless (Wi-Fi and WiMAX)
Satellite broadband

Fixed network market

Major network operator

Telkom Indonesia

Telecommunications infrastructure

National telecom network

Fibre networks

International infrastructure

International gateway exchanges
Submarine cable networks
Satellite networks

Data centres

Major data centre providers

Smart infrastructure

Smart cities and IoT

Glossary of abbreviations
Related reports

List of Tables

Table 1 – Top level country statistics and telco authorities – 2024 (e)
Table 2 – Growth in telecom sector revenue – 2011 – 2025
Table 3 – Growth in the number of mobile subscribers and penetration – 2012 – 2027
Table 4 – Change in the number of prepaid and contract mobile subscribers – 2015 – 2022
Table 6 – Growth in the number of mobile broadband subscribers and penetration – 2012 – 2027
Table 7 – Growth in the number of Telkomsel’s mobile broadband subscribers – 2012 – 2023
Table 8 – Change in the number of Telkomsel’s base stations in service – 2011 – 2024
Table 9 – Change in the number of Telkomsel’s mobile subscribers (million) – 2011 – 2024
Table 10 – Development of Telkomsel’s mobile revenue (IDR billion)– 2014 – 2023
Table 11 – Development of Telkomsel’s mobile blended ARPU – 2013 – 2024
Table 12 – Change in the number of IOH’s mobile subscribers (million) – 2011 – 2024
Table 13 – Development of IOH’s mobile ARPU (IDR thousand / month) – 2011 – 2024
Table 14 – Development of IOH’s financial data (IDR billion) – 2017 – 2024
Table 15 – Development of IOH’s revenue by type (IDR billion) – 2018 – 2023
Table 17 – Increase in IOH’s mobile data traffic – 2017 – 2024
Table 18 – Change in the number of 3 Indonesia’s subscribers – 2011 – 2021
Table 19 – Development of 3 Indonesia’s mobile revenue (HK$ million) – 2017 – 2021
Table 20 – Development of Indosat Ooredoo’s financial data (QAR million) – 2009 – 2021
Table 21 – Development of IOH’s mobile ARPU (QAR per month) – 2015 – 2021
Table 22 – Change in the number of XL Axiata’s mobile base stations by technology – 2011 – 2024
Table 23 – Change in the number of XL Axiata’s mobile subscribers (million)– 2013 – 2024
Table 24 – Change in XL Axiata’s mobile ARPU (IDR thousand / month) – 2013 – 2024
Table 25 – Development of XL Axiata’s financial data (IDR billion) – 2011 – 2024
Table 26 – Change in the number of Smartfren Telecom’s mobile base stations subscribers – 2012 – 2023
Table 27 – Change in the number of Smartfren Telecom’s mobile subscribers (million) – 2010 – 2023
Table 28 – Development of Smartfren Telecom’s mobile ARPU (IDR/subscriber/month) – 2012 – 2023
Table 29 – Development of Smartfren Telecom’s financial data (IDR billion) – 2011 – 2024
Table 30 – Growth in the number of fixed broadband subscribers, penetration – 2012 – 2027
Table 31 – Growth in the number of Telkom’s fixed broadband subscribers – 2015 – 2024
Table 32 – Growth in Telkom’s fixed broadband revenue – 2019 – 2023
Table 33 – Change in Link Net's financial data (IDR trillion) – 2022 – 2024
Table 34 – Change in the number of Link Net's broadband subscribers – 2014 – 2020
Table 35 – Development of PT Telkom’s financial data (IDR billion) – 2010 – 2024
Table 36 – Change in fixed-line and mobile contribution to PT Telkom’s revenue – 2018 – 2022
Table 37 – Change in the number of fixed lines and penetration – 2012 – 2027
Table 38 – Growth in international internet bandwidth – 2011 – 2023
Table 39 – Growth in internet bandwidth per user– 2011 – 2021
Table 40 – Historic - Mobile subscribers – 1995 – 2010
Table 41 – Historic - Frequency spectrum overview - major mobile operators (2015)
Table 42 – Historic - XL Axiata mobile subscribers – 2007 – 2010
Table 43 – Historic - Telkomsel mobile subscribers (million) – 2007 – 2010
Table 44 – Historic - Telkom’s fixed broadband subscribers – 2004 – 2010
Table 45 – Historic - Indosat Ooredoo - mobile subscribers (million) – 2007 – 2010
Table 46 – Historic - 3 Indonesia subscribers – 2007 – 2010
Table 47 – Historic - Major mobile operators by system - 2010
Table 48 – Historic - Decline in mobile voice traffic (million minutes) – 2014 – 2018
Table 49 – Historic - Decline in SMS traffic (million) – 2014 – 2018
Table 50 – Historic - Fixed broadband subscribers and penetration – 2005 – 2010
Table 51 – Historic - DSL subscribers – 2001 – 2010
Table 52 – Historic - International internet bandwidth – 2005 – 2010
Table 53 – Historic - Internet users – 1998 – 2006
Table 54 – Historic - Bakrie Telecom mobile subscribers – 2007 – 2015

List of Charts

Chart 1 – Asia Telecoms Maturity Index – Market Leaders
Chart 2 – Asia Telecoms Maturity Index – Market Challengers
Chart 3 – Asia Telecoms Maturity Index – Market Emergents
Chart 4 – Asia – Telecoms Maturity Index vs GDP per capita
Chart 5 – Asia – Mobile subscriber penetration vs mobile broadband penetration
Chart 6 – South East Asia – Mobile subscriber penetration vs mobile broadband penetration
Chart 7 – South East Asia – Fixed and mobile broadband penetration
Chart 8 – Growth in telecom sector revenue – 2011 – 2025
Chart 9 – Growth in the number of mobile subscribers and penetration – 2012 – 2027
Chart 10 – Change in the number of prepaid and contract mobile subscribers – 2015 – 2022
Chart 11 – Growth in the number of mobile broadband subscribers and penetration – 2012 – 2027
Chart 12 – Growth in the number of Telkomsel’s mobile broadband subscribers – 2012 – 2023
Chart 13 – Change in the number of Telkomsel’s mobile subscribers – 2011 – 2024
Chart 14 – Development of Telkomsel’s mobile revenue – 2014 – 2023
Chart 15 – Change in the number of IOH’s mobile subscribers – 2011 – 2024
Chart 16 – Development of IOH’s mobile ARPU – 2011 – 2024
Chart 17 – Development of IOH’s financial data – 2017 – 2024
Chart 18 – Development of IOH’s revenue by type – 2018 – 2023
Chart 19 – Change in the number of IOH’s mobile base stations by type – 2017 – 2024
Chart 20 – Change in the number of 3 Indonesia’s subscribers – 2011 – 2021
Chart 21 – Development of 3 Indonesia’s mobile revenue – 2017 – 2021
Chart 22 – Development of Indosat Ooredoo’s financial data – 2009 – 2021
Chart 23 – Development of IOH’s mobile ARPU (QAR per month) – 2015 – 2021
Chart 24 – Change in the number of XL Axiata’s mobile base stations by technology – 2011 – 2024
Chart 25 – Change in the number of XL Axiata’s mobile subscribers – 2013 – 2024
Chart 26 – Change in XL Axiata’s mobile ARPU – 2013 – 2024
Chart 27 – Development of XL Axiata’s financial data – 2011 – 2024
Chart 28 – Change in the number of Smartfren Telecom’s mobile base stations – 2012 – 2023
Chart 29 – Change in the number of Smartfren Telecom’s mobile subscribers – 2010 – 2023
Chart 30 – Development of Smartfren Telecom’s mobile ARPU (IDR/subscriber/month) – 2012 – 2023
Chart 31 – Development of Smartfren Telecom’s financial data (IDR billion) – 2011 – 2024
Chart 32 – Growth in the number of fixed broadband subscribers and penetration – 2012 – 2027
Chart 33 – Growth in the number of Telkom’s fixed broadband subscribers – 2015 – 2024
Chart 34 – Growth in Telkom’s fixed broadband revenue – 2019 – 2023
Chart 35 – Change in the number of Link Net's broadband subscribers – 2014 – 2020
Chart 36 – Development of PT Telkom’s financial data – 2010 – 2024
Chart 37 – Change in fixed-line and mobile contribution to PT Telkom’s revenue – 2018 – 2022
Chart 38 – Change in the number of fixed lines and penetration – 2012 – 2027
Chart 39 – Growth in international internet bandwidth (Gb/s) – 2011 – 2023

List of Exhibits

Exhibit 1 – Map of Telecom Maturity Index global ranking among countries in Asia
Exhibit 2 – Generalised Market Characteristics by Market Segment
Exhibit 3 – Asia – Market Leaders and market developments
Exhibit 4 – Asia – Market Challengers and market developments
Exhibit 5 – Asia – Market Emergents and market developments
Exhibit 6 – Major shareholders in Telkom
Exhibit 7 – Palapa Ring Project – specification of rings

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Indonesia Telecoms Market Report

Telecoms, Mobile and Broadband - Statistics and Analyses

Purchase this Report

Indonesia’s telcos restructure to adapt to telecom landscape

Key Developments

Key companies mentioned in this report:

Key statistics

Regional Asia market comparison

Country overview

Telecommunications market

Regulatory environment

Mobile market

Fixed-line broadband market

Fixed network market

Telecommunications infrastructure

Glossary of abbreviations

Related reports

Purchase this Report

Share this Report

TMT Intelligence

A platform to scale your intelligence tasks

Research Methodology

Hot Topics

News & Views