Indonesia★ Paid TV Services Launching One After Another, Business Opportunities for Japanese Content!

 

Indonesia's pay-TV market is booming and is projected to expand to 8.7 million households by 2020, a 3.6-fold increase from 2012. This is a market of interest for Japan, which possesses a wealth of popular content such as anime. The Jakarta Post reported.

According to Hong Kong-based research firm Media Partners Asia, 50 million households in Indonesia own televisions. While pay TV subscriptions were low at 2.4 million households in 2012, they are projected to reach 8.7 million households by 2020, accounting for about 20% of all households.

While more companies are entering the market, all are struggling to differentiate their content. This is because the current major channels are predominantly Western news, sports, and movie channels, which are common to all providers.

Japanese companies like SKY Perfect TV! are steadily expanding their operations, recognizing this opportunity. Japanese content, particularly anime, enjoys enduring popularity on local commercial TV. In 2013, a hero series co-produced by Japanese and Indonesian companies began airing. In pay TV as well, Japanese companies are likely to accelerate their moves to meet viewer demand for a broader range of content.

Indonesia Media Televisi (IMTV), which launched its "Big TV" service last September, has a 5% stake held by Mitsui & Co. As part of its strategy to expand market share, it will broadcast the J.League this year through a partnership with SKY Perfect JSAT.

Even the largest player, MNC Sky Vision, began broadcasting "WAKUWAKU JAPAN," a channel distributing Japanese content via SKY Perfect, this past February. It aims to build a solid foundation by offering a wide range of content, including the J.League.

Recently, two new players entered the market: "K Vision" from private broadcaster Kompas TV, part of the media giant Kompas Gramedia Group, and "Fifa Sky" operated by Fisi Media Asia, the media business holding company of the Bakrie Group. Both have secured broadcasting rights for the FIFA World Cup Brazil tournament and aim to use this as a weapon to capture regional viewers.

Amid intensifying competition, attention is focused on how well Japanese content will capture viewers' hearts.

A promotional corner for "Big TV" set up in a commercial facility (Photo by NNA)