Netflix Blocked by Indonesia’s Top Telecom Provider

[Indos]

Netflix Blocked by Indonesia’s Top Telecom Provider
Telkom objects to some of streaming-video service’s offerings, lack of a permit to provide content

Netflix Chief Executive Reed Hastings earlier this month. PHOTO: ROBYN BECK/AGENCE FRANCE-PRESSE/GETTY IMAGES

By
RESTY WORO YUNIAR
Updated Jan. 27, 2016 7:11 a.m. ET


JAKARTA, Indonesia—Indonesia’s biggest telecommunications provider blocked access to Netflix Inc.’s video-streaming service on Wednesday, posing an obstacle to the U.S. company’s newly launched operations in the world’s fourth most-populous country.

State-owned PT Telekomunikasi Indonesia Tbk., or Telkom, said it cut off access to the service after concluding that Netflix didn’t have a permit to operate as a content provider in Indonesia. It also said it objected to some of the material available on Netflix, including what it said was violent and adult content, echoing complaints made this month by the Indonesian Film Censorship Board and traditional cable-television operators.

“Netflix’s content should adjust to regulations in Indonesia,” Arif Prabowo, Telkom’s vice president for corporate communications, said in a statement. “We take this step to protect the Indonesian people.” Telkom cited a 2009 film law that states all films should be approved by Indonesia’s censor board.

In response to Telkom’s ban, Netflix said it intends to comply with local laws and regulations where applicable, but indicated that it didn’t have to apply for permits in the same way as conventional cable networks.

“Netflix is an Internet television network, not a traditional broadcaster,” a Netflix spokeswoman said. “We are an on-demand service that allows people to choose to subscribe and decide what, where, and when to watch.”

The service is still available on non-Telkom networks in Indonesia.

Telkom, the operator of the country’s largest cellular network, accounts for more than half of the total Indonesian market. It also owns Internet-service providers IndiHome and Wi-Fi.id, and a local video-on-demand service called UseeTV.

Analysts say that Netflix’s expansion into Indonesia, one of an additional 130 countrieswhere the service was introduced this year, is poised to threaten local cable-TV operators and the growth of the local film industry.

“Netflix has the potential to disrupt the local television and cinema industry as they have a similar target market: those who live in urban areas and like international movies,” said Heru Sutadi, executive director at the Information and Communication Technology Institute, a Jakarta-based consultancy. “They could stop paying for premium cable TV and switch to Netflix, which offers a cheaper subscription price.”

Indonesian regulators appeared to have been caught off guard by the Netflix rollout. Previously, regulators had blocked the country’s 85 million Internet users from accessing video-streaming service Vimeo LLC, user-generated social network Reddit Inc. and Imgur LLC’s photo-sharing service for the companies’ failure to censor their content. Vimeo and Reddit are still blocked.

Ride-sharing service Uber Technologies Inc., which has operated in Indonesia since August 2014, is permitted to do business in the country under the condition that it establish itself as a foreign investment firm. Uber is working on completing that process.

Indonesian government officials have urged Netflix to talk with regulators to ensure the company complies with local laws. Minister of Information and Communication Technology Rudiantara said Tuesday that the video-streaming service should establish a legal entity in Indonesia, as most foreign providers offering Internet-based media services are required to do. He also said the company should apply for a permit to provide content electronically.

“We don’t have a regulation yet for ‘over-the-top’ content providers such as Netflix. These business models are often ahead of the regulation,” said Mr. Rudiantara, who like many Indonesians goes by one name. “Over-the -top” refers to content delivered via Internet.

In lieu of regulation, “Netflix should also self-censor its contents like what local television channels have been doing,” he said.

Netflix said it already had a guidance system in place, including a feature that can prevent children from viewing certain content.

“The service includes ratings guides and episode synopses to help people make informed choices about what is right for them and their families. For those who want additional control or parental controls, we provide a PIN code system to ensure children can’t view certain content,” a company spokeswoman said.

Mr. Rudiantara said the government would decide next month whether to restrict access to Netflix. He said that if officials deem its content as beneficial to consumers, it would consider creating a regulation to allow Netflix and other video-streaming services to operate freely in the country. At this time, “we won’t block Netflix,” he said.


http://www.wsj.com/articles/netflix-blocked-by-indonesias-top-telecom-provider-1453896220

 

[Indos]

http://www.forbes.com/sites/shelbyc...netflix-is-blocked-in-indonesia/#2360ebd63a9c

JAN 27, 2016 @ 12:05 PM 2,997 VIEWS
In Blow To Global Rollout, Netflix Is Blocked In Indonesia

Information technology experts of TELKOM, Indonesia’s leading telecommunication company, work at the central monitoring section of their headquarters in Jakarta. (Bay Ismoyo/AFP/Getty Images)

Netflix wants to go global, but the globe may not want it. The streaming service is now being blocked in Indonesia, which represents a major chunk of Netflix’s potential global market. Indonesia is the fourth most populous country in the world behind China, India, and the United States.

The block was initiated by Telkom, Indonesia’s state-run telecommunications provider, according to early reports in the Wall Street Journal. Telkom reportedly objected to some of the content available on Netflix (such as adult and violent content) and said that Netflix didn’t have a permit to operate as a content provider in the country.

“As it goes into Asia, Netflix is going to have to think not just about creative content for Asian countries but also restricting content that needs to be censored,” says Paul Verna, a senior analyst at eMarketer. “In China, Indonesia, and the Middle East there are going to be all sorts of issues.” Netflix had recently announced a major global roll-out of its services, which became available in 130 new countries on January 6.

The Indonesian government will decide next month whether or not to block Netflix going forward, according to the Journal. At press time Netflix had yet to respond to requests for comment.

Getting blocked in Indonesia points toward the many challenges–both cultural and bureaucratic–that Netflix faces going forward. “This big international expansion that’s powering most of Netflix’s growth right now is not going to come easily,” Verna says. “It’s not just pushing a button.”

 

[pr1v4t33r]

Saingan sama IndiHome...

 

[Indos]

Saingan sama IndiHome...

Not exactly bro, since Telkom has three in one service, their internet, Indihome, and fixed telephone is in one package. Once the customer use Telkom internet (Speady), they will have Indihome as well. We will also get free fixed line telephone service once we use their internet service.

It is formidable for small business office who do a lot of telemarketing daily while in the same time needs internet service as well.....

Indihome will be the entertainment aspect of it

 

[pr1v4t33r]

Not exactly bro, since Telkom has three in one service, their internet, Indihome, and fixed telephone is in one package. Once the customer use Telkom internet (Speady), they will have Indihome as well. We will also get free fixed line telephone service once we use their internet service.

It is formidable for small business office who do a lot of telemarketing daily while in the same time needs internet service as well..... Indihome will be the entertainment aspect of it

I know, very much avordable. Unlimited 10Mb/s only Rp 300rb/bln or around $22/month , already include triple play service. But not every speedy customer automaticaly get indihome service. Indihome service rely on fiber optic network expansion. The old network using copper cable, and not all speedy network supported by the new fiber optic.


Udah pada langganan belum nih...

 

[Indos]

Telkom Tops SE Asian Telcos, Even as Brand Value Slips | Jakarta Globe

Telkom Tops SE Asian Telcos, Even as Brand Value Slips


Jakarta. State-controlled Telekomunikasi Indonesia, better known as Telkom, lost some of its brand value last year but managed to again be named the most valuable of all Southeast Asian companies in the sector, for the third consecutive year.

According to Brand Finance Asia Pacific, Telkom had a value of $2.6 billion in 2015, a drop of 6.7 percent from $2.8 billion in the previous year. However, Telkom managed to improve its brand rating to AAA- from AA+, meaning the company succeeded in defending its market share against other brands and foreign entrants.

Telkom stays at the top of Southeast Asian telco brands this year, beating Singapore's Singtel, PLDT from the Philippines and Malaysia's TM.

Telkom ranks 48th in the global Telecom 500 index.

"The brand value is an extremely critical measure for a brand's success as it demonstrates a brand's ability to contribute to the business and the shareholders," said Samir Dixit, Brand Finance Asia Pacific managing director.

Brand strength, business performance and external aspects drive a company's brand value, according to Brand Finance Asia Pacific.

Telkom scores 80 on the Brand Strength Index, higher than Malaysia's DIGI with 79.1 and Maxis with 76.4.

Other Indonesian telcos performed not as well as Telkom, according to the report. Indosat Ooredoo ranked 14th with brand value $558 million, XL ranked 16th with $535 million. XL was even labeled the worst performing brand as its value dropped 16 percent compared to a year earlier.

The report underlined current trends in Southeast Asia, noting that the telecom sector in the region is slowly "approaching saturation."

"Although mobile phone subscription and Internet penetration are on the rise, the large number of telecom companies operating in most countries has led to a shrinking of margins and revenues," the report said.

Over-the-top (OTT) services, including Skype and WhatsApp, are proving to be a drag on the companies' infrastructure and hurt revenues.

However, as data transmission systems are improving, data consumption — which has been the key source of revenue in Asia's more established economies like Japan and South Korea — is also increasing

"Similar trends will be seen across the Asean region as well, as telecom operators are now beginning to offer OTT media services as a source of differentiation," the report said, referring to the ten-member Association of Southeast Asian Nations.

 

[Indos]

Telkom Indonesia 2015 profit climbed 7% to USD1.17bn
4 Mar 2016

Indonesia

Dominant fixed and mobile operator PT Telekomunikasi Indonesia (Telkom Indonesia) has published its financial results for 2015, highlighting a 7% year-on-year increase in net profit to IDR15.489 trillion (USD1.17 billion), from IDR14.471 trillion in full year 2014. Revenue in FY 2015 increased by 14.2% on an annualised basis to IDR102.470 trillion, while operating profit stood at IDR32.418 trillion (+11%) and EBITDA reached IDR51.415 trillion, up 12.6% compared to IDR45.673 trillion in 2014; EBITDA margin was 50.2%, down from 50.9% in 2014.

The company said revenue derived from mobile operations amounted to IDR76.100 trillion last year, while turnover from its data, internet and IT services contributed a further IDR32.680 trillion. Full-year CAPEX was IDR26.4 trillion, largely apportioned to efforts to build out its mobile broadband infrastructure (e.g. LTE), property, data centre, and submarine cable investments on SEA-ME-WE5 and SEA-US. The firm noted that mobile arm Telkomsel continued to strengthen its network quality with almost 18,000 new base transceiver stations (BTS) installed during the year. Around 90% of new BTS were 3G/4G-enabled to enhance the ‘mobile broadband experience,’ it said.

Telkom, which is 52.6%-owned by the government of Indonesia, closed out 31 December 2015 with a total of 152.641 million mobile users for Telkomsel (up 8.6% y-o-y), of which 149.131 million were pre-paid (8.3%). In its report, the parent noted that for the fourth consecutive year Telkomsel achieved triple double-digit growth in revenue, EBITDA and net income, which rose by 14.8%, 14.4% and 15.4% y-o-y respectively. Revenues grew to IDR76.055 trillion, with the growth engine being its Digital Business, which increased sales by 43.5% y-o-y, driven by data which surged by 43.9% y-o-y and digital services which grew by 39.2%. During FY 2015, Telkomsel built out 17,869 new base transceiver station (BTS), a 14.9% increase y-o-y, noting too that within this, its 4G LTE deployment is being carried out on an ‘on-demand’ basis, to take into account ‘4G handset penetration and the level of demand in … cities’. The cellco has deployed a total of 1,761 4G BTS to date, while overall, Telkomsel’s networks totalled 103,289 BTS on air by end-December 2015, up 20.9% on the year before, of which 54,895 BTS were 3G/4G enabled (40.7%).

As of 31 December 2015, 2.2 million customers had swapped to a USIM to utilise Telkomsel’s 4G services. In addition, Telkom reported 10.277 million fixed line (POTS) accesses, up from 9.698 million at end-2014, 3.983 million fixed broadband connections (17.2%) and 43.786 million Telkomsel Flash users (40.3%). In 2015, Telkom increased its focus on the development of its bundled service ‘IndiHome Triple Play’, aggressively developing its fibre-to-the-home (FTTH) infrastructure, with a ‘focus on monetisation of our fibre homes-passed,’ it said. As a result, by the start of 2016 a total of around ten million homes were passed by FTTH, while the number of IndiHome subscribers reached 1.1 million with ARPUof IDR310,000 per month.


Telkom Indonesia 2015 profit climbed 7% to USD1.17bn

 

[Dzul]

The problem of netfilx is because they just sit on operator infrastructure without contributing any locals economy

I have to agree with this