Mobile dominates Indonesian Telecoms industry while Fixed Broadband penetration remains low

Mobile dominates Indonesian Telecoms industry
while Fixed Broadband penetration remains low 
 
There has been significant growth in the Indonesian telecoms industry over the last decade. The number of subscribers as well as revenues have increased and there are signs that the changes in the regulatory regime and operator restructuring have had a positive effect. BuddeComm released a report on the state of the Indonesian telecoms market to analyse the different infrastructures, operators and regulations currently in place.
 
Key elements of the report highlight that:
  • The mobile market has seen strong growth, in particular broadband users have grown due to a surge in mobile broadband subscriptions and smartphone sales.
  • However fixed internet connections remain relatively low, despite acceleration in the broadband market: fixed broadband penetration was under 2% by 2017 while broadband household penetration was at 5%.
  • Strengthened by the highly successful mobile segment on the back of increased competition in the marketplace, the country’s telecom industry found a new dynamic but continued development will need further government action.
  • However, there have been signs that the government is hesitating to invest in the restructuring of the industry.
Phil Harpur, Senior Analyst at BuddeComm said “Of particular importance in addressing the challenge, has been the rapid growth in mobile broadband access. 4G mobile services offering mobile broadband act as a direct substitute to fixed line broadband and acts as an inhibitor for further fixed broadband rollouts.”
Please feel free to contact me for more information about the report.

About BuddeComm:

Paul Budde Communication is an independent research and consultancy company, focusing on the telecommunications market and its role within the digital economy. We specialise in high-level strategic and statistical research and provide consultancy services to international agencies, governments and businesses. The research offered by BuddeComm’s worldwide network of researchers and analysts encompasses 190 countries, 500 companies and 200 discrete technologies and applications. For more information, please visit http://www.budde.com.au.
 

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