Comments on: Is Indonesia the next big thing in broadband? http://lirneasia.net/2008/08/is-indonesia-the-next-big-thing-in-broadband/ LIRNEasia Wed, 07 Jan 2009 20:05:49 +0000 http://wordpress.org/?v=2.7 hourly 1 By: Chanuka Wattegama http://lirneasia.net/2008/08/is-indonesia-the-next-big-thing-in-broadband/comment-page-1/#comment-13524 Chanuka Wattegama Wed, 13 Aug 2008 06:41:10 +0000 http://lirneasia.net/?p=1917#comment-13524 Abu, Sorry to replace the image with this photo taken by Divakar about 2 years back in Bali. Hope this is more relevant to the subject. The four ATMS use four VSATs. Absolutely no sharing. This is not an indication of a developed market. Can this be the 'next big thing' in broadband? I will be grateful if my friends from Indonesia comment. Abu, Sorry to replace the image with this photo taken by Divakar about 2 years back in Bali. Hope this is more relevant to the subject. The four ATMS use four VSATs. Absolutely no sharing. This is not an indication of a developed market.

Can this be the ‘next big thing’ in broadband?

I will be grateful if my friends from Indonesia comment.

]]> By: Chanuka Wattegama http://lirneasia.net/2008/08/is-indonesia-the-next-big-thing-in-broadband/comment-page-1/#comment-13519 Chanuka Wattegama Wed, 13 Aug 2008 02:56:44 +0000 http://lirneasia.net/?p=1917#comment-13519 One million broadband users is not as large as one would think for the fourth largest population in the world (nearly 250 million). Perhaps the more significant fact is that 600,000 out of that are mobile broadband. Indonesia was not successful with traditional broadband. This had led to a situation of excessive leased line prices (48 times compared to India) and unauthorised sharing of wireless connections. If the reason for this high price is lack of International bandwidth (as in many other countries) the same would have happened with mobile broadband too. The initial success of mobile broadband indicates the reason is elsewhere. However, I am not sure one would jump to term Indonesia as the "next big thing in broadband". Yes, the growth rate is obviously high but that is largely because the huge gap between the small existing market and demand. At the initial stages of opening any market will show high growth rates which will subdue with time. One million broadband users is not as large as one would think for the fourth largest population in the world (nearly 250 million). Perhaps the more significant fact is that 600,000 out of that are mobile broadband. Indonesia was not successful with traditional broadband. This had led to a situation of excessive leased line prices (48 times compared to India) and unauthorised sharing of wireless connections.

If the reason for this high price is lack of International bandwidth (as in many other countries) the same would have happened with mobile broadband too. The initial success of mobile broadband indicates the reason is elsewhere.

However, I am not sure one would jump to term Indonesia as the “next big thing in broadband”. Yes, the growth rate is obviously high but that is largely because the huge gap between the small existing market and demand. At the initial stages of opening any market will show high growth rates which will subdue with time.

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