Indonesia Press Releases 2005

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Indonesia wireless market to reach US$5.37 billion in revenue by 2009,says IDC

 

Jakarta, July 4, 2005 – The Indonesia wireless market remains to be one of the most exciting markets in the telecommunications industry in the country. A recent study published by IDC reports that in 2004, the total wireless market achieved a double-digit growth of 67.32% in terms of subscribers, recording a total of 31.1 million subscribers.

Entitled Indonesia Wireless Services 2005-2009 Forecast and Analysis, the study provides the key trends and analyses of the Indonesian wireless services market in 2004, specifically for the prepaid/contract market, as well as voice/non-voice market sub-segment. It also presents insights into future developments of the market through a 4-year forecast review, outlining where the future lies ahead in wireless market in the country.

"The current growth in Indonesia's wireless market can only be sustained by more collaboration between all stakeholders, i.e. the government, market players, content providers and other parties. We are optimistic that the current developments in terms of a better economic condition and potential political stability will spell well for more investments in the market, thus enhancing market developments even further", says Said Irfan, Market Analyst, IDC Indonesia.

According to the study, the fastest growing segment in the wireless services industry is non-voice. Revenues for this segment grew by 58.33% from 2003 and contributed approximately 25.9% to the overall wireless revenue for year 2004. Person-to-person SMS comprised the majority of these revenues, contributing 96% to total data revenues.

Indonesia Wireless Services Revenues: Voice Versus Non-Voice, 2004

Moreover, IDC estimates that the wireless market in Indonesia will continue to increase at a healthy rate of 10.1% CAGR to become a US$ 5.37 billion (Rp. 49,027,224.9 million) market by 2009. IDC continues to forecast that prepaid subscribers will grow faster than contract subscribers.

Over the past 10 years since wireless services was first introduced to Indonesia, the market has grown rapidly to become the most lucrative telecommunications market segment in the country. Wireless subscribers surpassed fixed line subscribers in 2002, and have continued to grow substantially partly due to the large capital expenditures invested by the wireless operators to expand the network, the competitive nature of the market, thus presenting products that appeal to market demand, and the natural appeal of mobility that the wireless service offers.

For more information on this report entitled Indonesia Wireless Services 2005-2009 Forecast and Analysis, please contact Hazmi Yusof, Senior Account Manager, at (603) 2169-7526 or hyusof@idc.com; Pao-Shen Lim, Account Manager, at (603) 2169-7536 or pslim@idc.com.

 

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Leah Macaraig
Marketing Executive
Tel: +632 - 889 - 7062
Fax: +632 - 884 - 2399
Email:lmacaraig@idc.com