Indonesia Telecoms Industry Report 2024-2031: Key Developments, Growth Prospects, and Investment Opportunities – ResearchAndMarkets.com

DUBLIN–(BUSINESS WIRE)–The “Indonesia Telecoms Industry Report 2024-2031” report has been added to ResearchAndMarkets.com’s offering.

Welcome to the Indonesia Telecoms Industry Report, a comprehensive overview of one of the world’s fastest-growing telecommunications markets. As data infrastructure becomes increasingly critical in our connected world, the telecom sector plays a vital role in national economies, attracting large infrastructure funds and driving economic growth. Despite political uncertainties and the inflationary pressure’s economic impact, the Indonesian telecommunications industry is expected to remain steady due to its defensive nature.

Key Developments Covered in the Indonesia Telecoms Industry Report:

• Merger of Indosat and Tri Indonesia
• Acquisition of Link Net by XL Axiata
• Consolidation of towecos
• Launch of 5G services
• FTTH investments drive strong growth in consumer fixed broadband services

5G mobile subscribers are projected to represent 78% of all subscriptions in Indonesia by 2031. By 2031, the Indonesian market is projected to have nearly 300 million 5G subscribers.

The Indonesian telecommunications market thrives as a mobile-centric industry, featuring four large network operators and a dominant fixed-line provider with a near-monopoly. Strong economic fundamentals underpin the overall market, positioning Indonesia as one of the fastest-growing telecom markets globally. The growth is driven by both mobile and fixed broadband subscriptions, with the publisher forecasting continued strong growth in mobile subscriptions from 2024 to 2031, following a temporary slowdown in 2018. Fixed broadband subscribers will also experience sustained growth, accompanied by an increase in household penetration.

The main drivers of growth in the telecoms sector are expanded coverage, greater affordability, service improvements, increased data usage, and higher smartphone penetration. Indonesia continues to expand its fiber-optic network and 4G coverage through significant capital expenditure investments. The telecoms sector has witnessed rapid investment growth, and this momentum is expected to be maintained throughout the 2023-2030 period.

The publisher predicts strong overall growth in the telecoms market until 2031 with more capital investments required outside of Java, phasing out of 3G nationwide to make room for 4G to all Indonesians.

Capex Investments

The Capex to GDP ratio has remained relatively stable between 2017 and 2023. Telecommunications operators are investing heavily in expanding their 4G coverage and capacity to meet the growing data demand and smartphone adoption. The publisher projects an average Capex spending growth of 3.9% between 2024 and 2031.

Mobile Subscribers and Revenue

The mobile subscriber penetration rate experienced a temporary decline in 2018 and 2023 due to new SIM registration requirements and the phasing out of 3G. However. The publisher forecasts a resumption and acceleration of growth of 1.5% during the 2024-2031 forecast period.

Mobile network operators face competitive pressure as the market shifts towards unlimited voice, text, and data offerings. Indonesia’s mobile data pricing is expected to catch up with neighboring countries as 4G coverage accelerates and smartphone penetration increases, especially in regional areas.

Broadband Subscribers – FTTH Push

The publisher expects sustained broadband subscriber growth driven by household expansion and improved connectivity for previously underserved premises through FTTH services.

The Indonesian fixed broadband market is experiencing strong year-on-year growth and is expected to continue growing from 2024 to 2031, with lower pricing targeting new layers of lower socio-economic with prepaid packaging. The expanding middle-income class in Indonesia, with a growing appetite for high-speed data, is driving fixed broadband adoption and household penetration.

Thematics – Telecoms Infrastructure, 5G, M&A, e-Commerce

The completion of the Palapa Ring national broadband network has laid the foundation for enhanced connectivity. The arrival of 4G transformed the internet from desktops to handheld devices, while 5G has the potential to revolutionize virtual and augmented reality experiences and autonomous vehicles. The outcomes and benefits of 5G, including business models, investments, and timelines, are yet to be fully understood.

Investment funds are valuing telecommunications infrastructure assets, such as mobile towers, data centers, submarine cables, and fiber infrastructure, with high valuation multiples. The report highlights real market examples and benchmarks to provide insights into investor views and valuations.

Telecommunications operators are heavily investing in both fixed and mobile segments, upgrading their 4G network infrastructure. The publisher expects a wave of consolidation in Indonesia, potentially starting from 2022-2023, driven by squeezed margins and the upcoming 5G Capex cycle.

Increased smartphone penetration, fueled by the availability of affordable devices, has led to significant growth in e-commerce. Leading players like GoJek, Tokopedia, Grab, and Bukalapak dominate e-commerce, ride-sharing, and mobile payments, capitalizing on Indonesia’s emerging middle class with higher disposable income.

Explore the Indonesia Telecoms Industry Report to gain in-depth insights into the market trends, investment opportunities, and the transformative impact of technology on the telecommunications sector in Indonesia.

Why You Should Buy This Indonesia Telecoms Industry Report:

• Benefit from the latest market opportunities
• Understand the threats to your operations and investments and protect your company against future risks
• Gain insight on emerging trends that could support, strengthen or disrupt your activities in the market
• Get a full view of the competitive landscape to assess your market position.
• Forecasts as a key input for successful budgeting and strategic business planning in the telecoms market
• Target business opportunities and risks in the telecoms sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments
• Assess the activities, strategy and market position of your competitors, partners and clients via our Operators Profiles

Key Topics Covered:

1 Key Statistics

1.1 Indonesia’s Population

1.2 Indonesia’s Economy

1.3 Indonesia’s GDP

2 Overall Telecommunications Market, 2017-2031

2.1 Market Overview

2.2 Historical Telecommunications Market Revenue, 2017-2031

2.3 Overall Telecommunications Market Forecast, 2023-2031

2.4 Telecommunications Market Capital Expenditure, 2017-2031

2.4.1 Historical Telecommunications Capex Spend, 2017-2023

2.4.2 Capex to Revenue Benchmark

2.4.3 Capex to GDP Benchmark

2.4.4 Telecommunications Capex Spend Forecast, 2023-2031

3 Telecommunications Operators Profile

3.1 Telkom Indonesia Profile

3.2 Indosat Ooredoo Hutchison Profile

3.3 XL Axiata

3.4 Smartfren Profile

3.5 Other Players Profile

3.5.1 MNC Vision

3.5.2 BizNet

4 Mobile Market

4.1 Mobile Subscribers Historical and Forecast, 2017-2031

4.1.1 Mobile Subscribers Historical, 2017-2023

4.1.2 Mobile Subscribers Market Share, 2017-2023

4.1.3 Indonesia Smartphone Share, 2024

4.1.4 Mobile Subscribers Forecast, 2023-2031

4.1.5 Indonesia Mobile Subscribers by Generation (2G, 3G, 4G & 5G) Forecast, 2023-2031

4.2 Mobile Revenue Historical and Forecast, 2017-2031

4.2.1 Historical Mobile Revenue, 2017-2023

4.2.2 Mobile Revenue Market Share, 2017-2023

4.2.3 Mobile Revenue Forecast, 2023-2031

4.2.4 Mobile Subscribers ARPU, 2017-2023

4.3 Spectrum Holdings

4.3.1 5G Development and Launches

4.3.2 Mobile Frequencies Portfolios Analysis

4.3.3 Spectrum Depth Benchmark by Country

4.4 Mobile Download Data and Pricing Trends

4.5 Mobile Speed Tests

4.5.1 Ookla Mobile Speed Tests

4.5.2 OpenSignal

4.6 Internet of Things (IoT)

5 Broadband Market

5.1 Fixed Broadband Subscribers Historical, 2017-2023

5.2 Fixed Broadband Subscribers Forecast, 2023-2031

6 Satellite Internet Connectivity

6.1 Comparing LEO, MEO, and GEO Satellite Orbits

6.1.1 LEO and GEO Satellite Comparison

6.2 Satellite Broadband Providers Operators, 2023

6.3 5G NTN: The Next Generation of Satellite Connectivity

6.3.1 5G NTN Overview

6.3.2 The Rationale Behind 5G NTN

6.3.3 Technical Aspects of 5G NTN

6.3.4 Potential Applications for 5G NTN

6.3.5 Challenges in Implementation

6.3.6 5G NTN Satellite Providers

6.4 Satellite Internet Market Analysis, 2023-2031

6.4.1 Market Landscape of Satellite Broadband Subscribers, 2023

6.5 Indonesia Satellite Broadband Subscribers Forecast, 2023-2031

7 Fixed Telecommunications Infrastructure Investments

7.1 Fixed Digital Infrastructure

7.1.1 Palapa Ring Completed

7.1.2 FTTH – 20m premises to go

7.1.3 Submarine Cables

8 Indonesia Telecom Towers Infrastructure Landscape

8.1 Indonesia Telecom Towers Market Analysis, 2023

8.1.1 Indonesia Telecom Towers Market Overview

8.1.2 Indonesia Telecom Towers Background

8.2 Indonesia Tower Market Competitive Landscape Comparison

8.3 Indonesia Telecom Towers & Rooftops Market Forecast

8.3.1 Indonesia Telecom Towers and Rooftops, Revenue, Penetration Forecast, 2023-2031

8.4 Mitratel Profile

8.5 Tower bersama Profile

8.6 Protelindo Profile

8.7 Centratama Menara Profile

8.8 IBS Towers Profile

8.9 Bali Tower Telecom Profile

8.10 Tower Density Benchmark

9 Thematics / Opportunities

9.1 Consolidation Opportunities

9.2 Diversification Opportunities

9.3 New Telecoms Operating Model

9.3.1 The Attraction of Infrastructure Multiples

9.4 6G Developments

10 Telco Transaction Database

11 Methodology

For more information about this report visit https://www.researchandmarkets.com/r/l8g8qu

About ResearchAndMarkets.com

ResearchAndMarkets.com is the world’s leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Contacts

ResearchAndMarkets.com

Laura Wood, Senior Press Manager

press@researchandmarkets.com

For E.S.T Office Hours Call 1-917-300-0470

For U.S./ CAN Toll Free Call 1-800-526-8630

For GMT Office Hours Call +353-1-416-8900