
The new report from the GSMA, published at its Indonesia Digital Nations Summit in Jakarta, evaluates Indonesia's progress to becoming a digital nation and recommends action points to accelerate progress
6 December 2023, Jakarta: The Indonesian government has made strong steps towards becoming a leading digital nation, according to a report published today at the GSMA's Indonesia Digital Nations Summit in Jakarta. However, the country needs to adopt a whole-government approach and be more joined-up around critical policy requirements, if Indonesia is to achieve its goals of digitally transforming society and becoming a top 10 global economy by 2030.
By doing so, Indonesia stands to unlock circa $18 billion in investment from the mobile industry between 2024 and 2030, mostly on 5G networks. This, in turn, is expected to contribute $41 billion to GDP over the next six years.
As part of its key recommendations, the GSMA report, entitled Forging a resilient digital nation: Proposals for Indonesia's future , analyses Indonesia's journey to becoming a digital nation and recommends action points the government and industry must expedite to achieve this transition. Above all, the report outlines opportunities to improve and accelerate progress in each of the five pillars - Infrastructure, Innovation, Data Governance, Security and People that will help it meet its ambition to becoming one of the world's top digital nations.
Digital nations incorporate digital technologies and services into all sectors of the economy, with the aim to drive productivity and improve the livelihoods of citizens. 5G is a key component of the infrastructure required to power future digital nations, given its ability to deliver reliable network-based services and enable the emerging technology that will help to reshape the local economy and modernise industries.
Julian Gorman, Head of APAC at the GSMA, said: While Indonesia has achieved notable success in its journey to become a digital nation, transforming the country's digital ecosystem won't be possible without the necessary investment from the private sector. To unlock this, a whole-government approach is needed to ensure the right measures are in place which encourage this, including incentivising infrastructure investment, simplifying sector-specific fees, and cutting red tape.
Despite the country consisting of over 18,000 islands, Indonesia has achieved an expansive network of digital infrastructure with 96% of the population now covered by 4G networks. However, 5G mobile connectivity will be crucial to achieving new economic targets and investment will require policy imperatives to accelerate the rollout of 5G infrastructure, where it is needed the most. These recommendations include:
Ensuring sustainable investments in digital networks
The rollout of 5G is set to drive an increase in smartphone demand and data traffic. In Indonesia, shipments of 5G models grew 54% in Q3 2023 and accounted for 19% of the total. However, operators' ability to expand network capacity and coverage is often hindered by regulatory constraints, market structures and excessive tax burdens. This has created an investment gap where market conditions for private investment in telecoms networks are not favourable enough to meet ambitious national and regional digital policy targets.
Therefore, the GSMA report calls on all parts of government to work together with industry stakeholders to:
Encourage voluntary infrastructure sharing (passive and active) to reduce the cost of network rollout, particularly in difficult terrains.
Reduce red tape for obtaining the necessary permits and right-of-way (RoW) for cell-site location and fibre deployment to ease network rollout, particularly 5G densification. For example, the amendment of RoW rules in India in 2022 has been credited for the rapid rollout of 5G and fibre infrastructure in the ensuing months.
Reduce and simplify sector-specific taxes and fees (including tower taxes and tower building permission fees, and various fees imposed by municipal authorities) to ease the cost burden of network rollout and operations and ensure the financial sustainability of the mobile industry.
Provide policy incentives to encourage investment in infrastructure. In South Korea, government incentives in the form of tax credits and tax reductions for operators announced in 2020 helped unlock investment of around KRW25.7 trillion ($22 billion) in 5G networks.
Allow further consolidation in the telecoms sector to drive synergies and the scale required for expansive infrastructure rollout.
Achieving sustainable spectrum pricing
As recently warned by the GSMA, Indonesia also risks a $14 billion (IDR 216 trillion) productivity loss to its economy, unless it focused on ensuring future mobile spectrum prices are sustainable. It therefore recommends that:
Reserve prices are set conservatively below estimates of market value to enable price discovery and reduce the risk of unsold spectrum.
Government reviews the formula for calculating annual spectrum fees (BHP IPFR) and consider adjustments to the parameters to provide the right long-term incentives and avoid disproportionate increases in costs that are not aligned with evolving market conditions.
A clear spectrum roadmap is laid-out that considers not only current bands being planned but also the longer term needs for Indonesia, especially for mid-bands in the 2025-2030 timeframe. Greater certainty around the availability of spectrum and associated conditions is crucial for operators to prepare investment plans, secure financing and develop strategies for network deployment and service delivery.
The Indonesia Digital Nations Summit
The report findings were published as the GSMA hosted its Indonesia Digital Nations Summit at The Westin Jakart
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
07/10/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...
06/09/2026
June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
14/07/2026
South end zone videoboard, cloud-based control system will be ready for 2026 football season...
14/07/2026
Redesigned website, enhanced mobile app unify content, ticketing, and personalized fan engagement...
14/07/2026
Agreement spans sponsorship sales, digital monetization, radio production, and new practice facility naming rights...
14/07/2026
Independent league adds 14 regional sports network affiliates, growing distribut...
14/07/2026
New strategy aims to unify competitions, content, fan engagement, and commercial...
14/07/2026
ESPN and Disney+ become exclusive home of PFL events in key international MMA market...
14/07/2026
Gill will oversee engineering, technology, and sports operations across the company's 64 local television stations...
14/07/2026
Submitted by North American Broadcasters Association (NABA)
As broadcasters con...
14/07/2026
Modernized mobile unit combines HOME Apps, mc 56 console, and IP infrastructure ...
14/07/2026
Every match of the 32-team tournament will air across ION and Scripps Sports platforms in English and Spanish...
14/07/2026
FloHockey to stream every game of the annual international tournament under four...
14/07/2026
Victory+ telecasts to be simulcast on TEGNA-owned station, expanding free local distribution...
14/07/2026
Plug-ins for heavy music
Avalanche Tones is the brainchild of Ava Toton, a 17-year-old musician and developer who says her goal is to make the lives of gui...
14/07/2026
Launched alongside new Singer Showcase purchase model
IK Multimedia's innovative vocal-synthesis software has just gained its latest voice add-on, the R...
14/07/2026
Registration open until 1 September 2026
The MIDI Association have revealed that the registration deadline for this year's MIDI Innovation Awards has no...
14/07/2026
88-note model completes MK4 range
Novation have just introduced the final model in their flagship MIDI controller keyboard range, the Launchkey MK4 88. Roun...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
IBC2026 has unveiled a powerful Conference programme bringing together global media leaders, technology innovators, creators, sports organisations, broadcasters...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
Broadcast Solutions, a leading systems integrator and provider of innovative solutions for the broadcast media industry, has delivered two highly capable outsid...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/07/2026
Techtel Successfully Relocates AICD Broadcast Studio to New Sydney Headquarters
BroadcastBroadcast EquipmentLive StreamingBroadcast Studio2026
14 July Writ...
14/07/2026
Tuesday 14 July 2026
First look revealed for Friday the 13th prequel, Crystal ...
14/07/2026
When immersive audio dominates industry headlines, it's easy to assume that every broadcaster is preparing for an Atmos future. The reality is quite differ...
14/07/2026
Emma and Sophie from ICG's marketing team joined thousands of fellow marketers, brands and agencies at MAD//Fest London 2026, one of the UK's biggest ma...
14/07/2026
Why Trusted and Secure Media Operations Matter In this series, we explore the technologies, architectures and operational realities shaping modern media operati...
14/07/2026
Pilot Project Shows How Retailers Are Prepared for the Next Step in the Evolution of Digital Commerce
Arvato Systems Drives Agentic Commerce Forward
G terslo...
14/07/2026
As part of this commitment, weve joined the SME Climate Hub, publicly pledging to:
measure our greenhouse gas emissions
reduce them in line with a net zero p...
14/07/2026
Power is AI infrastructure's inescapable constraint. How many tokens an AI factory can generate within a fixed power budget determines its revenue and profi...
13/07/2026
The Braves opted to keep production in-house rather than hand it off to MLB...
13/07/2026
Behind The Mic provides a roundup of recent news regarding on-air talent, including new deals, departures, and assignments compiled from press releases and repo...
13/07/2026
Eurovision Sport is making live athletics more accessible to fans than ever befo...
13/07/2026
The Milwaukee Bucks will return to full-season over-the-air television for the 2...
13/07/2026
SMPTE has announced an expanded education pathway for media technology professio...
13/07/2026
Vizrt has announced that its graphics technology was used by broadcast design agency Girraphic for Netflix's debut MVP MMA event, broadcast live from the In...
13/07/2026
ARRI has announced an agreement to sell its global rental activities in Europe, the United Kingdom, and North America to H2 Equity Partners through a management...
13/07/2026
DAZN has announced a partnership with Premier Boxing Champions (PBC) to bring PBC fight nights to DAZN subscribers globally. The partnership begins Saturday, Ju...
13/07/2026
TikTok and WSC Sports have announced a strategic partnership that gives sports r...
13/07/2026
Two new Ross products -Brushback: Full Count and CapGo - are debuting at Citizens Bank Park All-Star festivities...
13/07/2026
MSG Networks' was given exclusive access during the Knicks' unforgettabl...
13/07/2026
LOS ANGELES, July 13, 2026 - Sundance Institute today announced the 10 producers selected to participate in its annual Producers Labs taking place July 13-18 fo...