Internet Development

in Indonesia
Indonesia status
 Lacking of investment to develop telecom
infrastructure
 Low density (3 % or 3 phone lines per 100
people)
 Most lines are concentrated in cities,
 Major population does not have opportunity to
telephone and information access.
 There is a need to invite foreign investor to
participate in telecommunication development
 Toward open market, Government has made
some steps to reform telecommunications
sector.
Recent status
 Telecom:
7million lines ( 3 % density)
Cellular: 4.7 millions

 Internet Access:
Users: estimated 4 millions
Potential users: estimated 61 millions

High growth in Internet users

Internet Users
4500000

4000000

3500000
The num ber of users

3000000

2500000

2000000

1500000

1000000

500000

0
1996 1997 1998 1999 2000 2001
Year
Potential Internet Users
Huge potential internet users in Indonesia :
• 150.000 telephone/internet cafe • ~30 millions
• 1600 Universities+ • ~3 millions
• 4000 Specialized High • ~4 millions
School (SMK)
• 10.000 High School (SMU) • ~7 millions
• 10.000 Pesantren(religius boarding school) • ~7 millions
• Business / offices • ~10 millions
Total potential internet users ~ 61 millions
Information technology
 Internet Subscribers
 Dial-up
Internet subscribers: 511.000
 Leased-line internet subscribers: 7.200

 Access :
 public Internet kiosks (43%),
 offices (41%),
 residential (12%),
 campuses (3%),
 and schools (1%).
Internet bandwidth

 International bandwidth : 670 Mbps

Outgoing : 170
Incoming : 500

 Localbandwidth (Indonesia Internet

Exchanges or IIX) : 231 Mbps peak
 Physical Connection in IIX : 2.5 Gigabit
(2450 Mbps)
ISP

 Licensed: 173
 Operasional : 70
Domain .id progress

(source: APJII. – 2001)

Information and
Communication Technology
ICT in Indonesia
 Through Presidential Decree No. 50/2000,
Government has established Coordinating Team
of ICT (Telematika).
 The team is to coordinate the development and
the utilization of ICT in all sectors from
government departments and private sectors in
Indonesia
 Through Presidential Decree No. 6/2001,
Government endorses Development and
utilization of ICT in Indonesia.
 Implemented through Five Year Action Plans
International Bandwidth

 Dealing with International bandwidth,

Government endorse that bandwidth
(Internet) should be cheaper than before .
 Through network access point (NAP)
license, Government encourages private
investments to compete in International
bandwidth provisioning in Indonesia.
IT development strategy
 Establishing regulations on ICT
 Developing Infrastructures and access
facilities and CTC
 Developing IT corridors.
 Encouraging IT services, emphasized on:
• Tele Education
• Tele Medicine.
• E-Government.
Program in ICT regulation
 Currently, no limitation on the number of ISP.
 Preparing Information Technology Law to provide
jurisdictions and umbrella provisioning for IT
implementations in Indonesia. The law will covers
all aspects on IT implementations such as:
 Privacy protection
 Electronic Commerce

 Competition, Consumer protection, Taxation.

 IPR (Intellectual Property Right)

Program in information access:
 Endorse Information Access through villages.
 One million Telephone access for 971 sub district
(kecamatan) and about 42,014 village (desa).
 Infrastructures for community telecenter in rural areas.
 Broadband Internet Kiosk/Café : remote access area 10
nodes.
 Business Information Center: 320 nodes.
 Education:
 School 2000 program, accelerating internet access from
schools.
 Establishing campus network in Indonesia
Program in IT corridors

 Develop multimedia cities:

Kemayoran cities, Jakarta
Parahyangan multimedia corridor, West Java

Bandung High-Tech valley, West Java

 Develop High-speed IP-based backbone:

Indonesia rings.
Programs in application developments
 Tele Education :
 establishingcampus network in Indonesia
 developing course contents
 promoting on-line education and research in IT

 Tele Medicine :
 To provide access for 7000 hospitals and health
centers
 E-Government :
 Applications of E-Government for 86 locations.
 Applications of E-Government in villages such as
information-rich villages (Desa Maju), 95 units.
 For more information, please visit our website
http://www.postel.go.id

DIRECTORATE GENERAL OF POST DAN TELECOMMUNICATIONS,

THE REPUBLIC OF INDONESIA

Gedung SAPTA PESONA, Jl. Medan Merdeka Barat 17

Jakarta 10110 – Indonesia