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Old 08-05-2008, 11:50 AM
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Indonesia: pay-TV low but growing

Indonesia: pay-TV low but growing



Rose Major,

Indonesia has almost shockingly-low pay-TV penetration, at just two per cent of the country’s 40 million-plus TV homes, according to new research.

But while still low, the report says that subscriptions have doubled over the last year, with growth “brisk” and up to 785,000.

Major pay-TV operators include front-runner Indovision, a DTH operator, and rivals Kabelvision and Telkomvision.

Released to coincide with its round-table on Indonesia’s pay-TV industry, the Cable and Satellite Broadcasting Association of Asia (CASBAA) has updated its Indonesia in View report.

Casbaa said: “A newly competitive environment has seen operators differentiate consumer offerings through premium content, while some have secured new channels and launched additional local-language programming such as a new Muslim channel and music channels. The launch of low cost pre-paid services has also driven pay-TV take up,” adds the report.

Nevertheless, the report continues, “unauthorized redistribution remains a significant issue, although regulator KPI is attempting to curb the problem through announcements in two provinces that unauthorized distributors must become resellers for licensed pay-TV operators or face legal sanctions.”

Competition over the next year should pick up further, with five preliminary licenses for satellite-delivered pay-TV issued in September 2007. There are a further 28 companies waiting to hear whether their applications have been successful.
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