Jakarta – Pay-TV penetration in Indonesia currently stands at just 2% of some 40million TV households, a low figure compared to various Asian markets. However, pay-TV growth has picked up in the last 12 months with legitimate pay-TV subscriptions including individual, residential and SMATV (multi-dwelling housing units) doubling in Q1, 2008 to 785,000. Competition in pay-TV is expected to increase in 2008/2009 with five preliminary licenses for satellite pay-TV services issued in September 2007, and a further 28 companies having applied for subscription TV licenses. Already, competition in the Indonesian market is seeing operators differentiating offerings through premium content, with new channels secured and local-language programming added including launches of a new Muslim channel and music channel. Pay-TV take-up has also been helped on by the debut of low cost pre-paid services. That’s according to CASBAA’s updated ‘Indonesia in View’ report for members to provide an overview of Indonesia’s pay-TV market conditions including opportunities and challenges in regulatory and political factors; data, regulatory and stakeholder analysis of the industry; key contacts and a draft of Indonesia’s Broadcasting Bill 2008. The report also noted that unauthorized redistribution remains a problem although the Indonesian Broadcasting Commission (KPI) is attempting to resolve the problem with appeals for unauthorized distributors to convert to resellers for licensed pay-TV operators to avoid legal action. The report was released during CASBAA’s Asian Pay TV CEO Roundtable: ‘Indonesia’s Pay TV Industry Embracing the Future’ held May 7, 2008 in Jakarta. Addresses were made by Mohammad Nuh H.E., minister for communication and information technology; Sasa Djuarsa Sendjaja, chairman of the Indonesian Broadcasting Commission; and Simon Twiston Davies, CEO, CASBAA. Closing remarks were given by Dr. Freddy Tulung, director general of communications and information dissemination. Presentations were delivered by Anindya Novyan Bakrie, chairman, permanent committee on telecommunications for the Indonesia Chambers of Commerce and Industry, and Bettina Cavenagh, technical advisor, Clarity Research Indonesia. Attendees included Rudy Tanoesoedibjo, CEO, Indovision; Jonathan Spink, CEO, HBO Asia; Yen Hsu, CEO, First Media; Ranjana Singh, technical advisor, GroupM; Todd Miller, EVP, Sony Pictures Television International; Rahadi Arsyad, CEO, Telkomvision; Riza Primadi, editor in chief, Astro Awani, PT Direct Vision; Andri Aslan, corporate secretary, IM2; and Robert Gilby, SVP and MD, Disney-ABC International Television, Asia Pacific.
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