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 2012, it was estimated that Indonesia had around 24 million internet users, up from 13 million in 2007. This meant that internet users comprised only 10% of the population. On a positive note broadband internet services, although still very much in their infancy, had already become a very significant proportion (68%) of the internet subscriber base by end-2011. The ongoing efforts to expand internet access will, however, likely be impeded by inferior telecommunications infrastructure. Nevertheless, the country has enormous potential as an online market.
Broadband services were growing at around 25% annually. PT Telkom Indonesia and Telkomsel combined to offer a new broadband package (SpeedyFlash). Social networking continues to be very popular in Indonesia (in company with a number of other Asia nations.) MCIT issued a policy document on wireless broadband usage for public comment. Development of 4GG/LTE postponed for two years.