The Indonesian telecoms sector has been expanding fast for over a decade; growth in subscriber numbers, data services and revenues have been strong, and recent changes in regulation are helping the industry to evolve. According to GSMA Intelligence, Indonesia has 341.8mn subscribers, making it the fourth largest mobile market in the world. It’s population of 259.1mn has a SIM penetration of 132%, and the GNI per capita is US$4,000. As a result of this high penetration rate, MNOs are increasingly shifting their focus to arresting the decline in ARPU.
The fact that prepaid is the dominant payment model with 98% of the market adds to price competition.