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Indonesia - Fixed Broadband, Digital Economy and Digital Media - Statistics and Analyses

  • May 2017
  • 13 pages
  • Paul Budde Communication Pty Ltd
Report ID: 3599172

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The fixed broadband internet market in Indonesia is still in the relatively early stages of its development. With Digital Subscriber Line (DSL) as the dominant fixed broadband technology in the country, the penetration of fixed broadband subscriptions was sitting at under 4%. The take up of high speed services based on fixed access platforms has only been modest.

Fixed broadband penetrations stood at only 1.7% in 2016 and is predicted to increase to between only 2.7% and 3.3% by 2021.

This level of internet penetration remains low by world standards, but has been relatively consistent with its economic status and the availability of infrastructure, especially fixed-line services.

Low subscription patterns have been a challenge for the government in its building of the online nation that it is keen to realise. Of particular importance in addressing the challenge has been the rapid growth in mobile broadband access. 4G mobile services offering mobile broadband is relatively advanced and act as direct substitute to fixed line broadband and acts as an inhibitor for further fixed broadband rollouts. Mobile broadband subscribers have grown significantly over the past few years in Indonesia and penetration rates now stands at 50% of the overall population.

This report presents an overview of Indonesia's fixed broadband market as well as the Digital Media and Digital Economy market segments.

Key developments:

In March 2016, Telkomsel launched the country's first seamless Wi-Fi mobile solution.
Investment in data centres has started to take off;
There are early signs of adoption of cloud computing by local industry;
Surge in demand for data traffic sees operators increasing system capacity;
Both Telkom and Indosat have been expanding the number of WiFi hotspots around the country;
Google has been actively involved in an Indonesian startup incubation program.

Companies mentioned in this report include:
PT Telkom, TelkomNet, Telkomsel, PT Indosat, Bakrie Telecom, PT Indosat, PT Internux; PT First Media;

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