T

he rivalry in the pay-tv sector in Indonesia is getting fiercer with the entrance of new players applying multi-platform technologies and offering competitive services and prices.

Die-hard soccer fans in Indonesia will of course tune into broadcasters, either free-to-air or pay-television channels, in order to watch World Cup matches.

The 2014 FIFA World Cup - and also other soccer tournaments - will be a great moment for pay-television (subscription-based television services) providers in Indonesia to grab more subscribers, as it is a defining moment to sign up Indonesian viewers.

The pay-television sector in Indonesia is known as the weakest in Asia. A recent report by research firm Media Partner Asia (MPA) shows that there are only about 3 million pay-tv subscribers in Indonesia, despite a total of some 50 million households with televisions across the nation.

With a pay-tv penetration rate of around 7 percent, which is far lower than the free-to-air-television penetration rate of over 50 percent, the Association of Indonesian Multimedia Providers is aiming for growth of 30 percent in pay-tv subscribers this year to 4 million.

The MPA forecasts Indonesian pay-television subscribers will climb to 8.7 million by 2020. The research firm emphasizes that this growth will depend on investment in content, distribution and new technology that benefits consumers. It adds that such a situation, however, will come at a high price for pay-tv providers.

In terms of technology, Indonesia does not completely lag behind other countries. The country has deployed a broadband network allowing pay-television providers to offer good services.

It can be described in several ways, but broadband is generally known as a facility that enables a reliable, high-speed transfer of data, voice, images and video over the Internet. The connectivity provided by broadband is a key factor in a larger attempt to make information and communications technology resources available, affordable and reliable for individuals and businesses around the globe.

Broadband platform trends include cable, copper, fiber to the home (FTTH), fiber to the node/cabinet (FTTx). When deployed, broadband includes some high-speed transmission technologies such as digital subscriber line (DSL), cable modems, fiber, wireless, satellite and broadband over power-lines (BPL).

In Indonesia, about a dozen pay-television providers use broadband based on satellite and cable technology. Among those providing their services by satellite include the leading players PT MNC Skyvision (Indovision, TopTv, OkeVision) and PT Indonusa Telemedia (Telkomvision, YesTv), as well as new-comers PT Cipta Skynindo (Skynindo), PT Karya Megah Adijaya (Aoratv), PT Mega Media Indonesia (OrangeTV) and PT Indonesia Media Televisi (BigTV).

Indonesia'€™s pay-television market will also see additional players soon, PT Visi Media Asia (VivaSky) and PT Digital Vision Nusantara (K-Vision), which will try their luck taking advantage of the upcoming soccer fever during the June-July World Cup soccer competition in Brazil.

The companies above are satellite-based television providers. The C band and Ku band transponders of satellites operated by the state-owned companies PT Telkom and PT Indosat are mostly used by these operators. MNC Skyvision and Big TV, however, have their own satellites.

The C band is a range of satellite-transmission frequencies (3.7-4.2 GHz) usually used by broadcasters, including television channels, to transmit to larger receiver dishes. This system offers more viewing options - over 750 channels transmit on a regular basis and another 250 transmit on an occasional basis - than any other television-delivery system, including pay-television and the smaller receiver dishes. Other advantages include fewer disturbances due to weather and less expensive bandwidth. It requires, however more expensive hardware and is easily disrupted by microwave links.

Meanwhile, the Ku band has frequencies of 11.6-12.2 GHz and is most commonly used for satellite television. It has much more bandwidth therefore it is less expensive than the C band. It requires smaller receiver dishes (diameters from 0.9m) and is more easily installed. There'€™s no interference from microwave links or other technologies. The disadvantage of Ku-Band is its sensitivity to stormy weather and its expense.

Other subscription-based television providers in Indonesia are cable TV operators including PT Link Net (HomeCable), PT Indosat Mega Media (IM2), PT Indonusa Telemedia (GrooviaTv, YesTv), PT Indonesia Broadband Communications (Megavision) and PT Supra Primatama Nusantara (Max3). All of the operators claim to offer high-speed deliveries.

PT Supra Primatama Nusantara, for instance, boasts an ultra-fast internet and digital revolution in home entertainment. Under its Max3 brand, the company provides an Internet network with speeds up to 25 Mbps, supported by a fiber-optic network. This service also includes premium high-definition television channels

 In addition, there are also other platforms used for subscription-based television services, such as Internet protocol by GrooviaTv, UseeTv of PT Multimedia Nusantara, and terrestrial digital video broadcasting (DVB-T) by PT Mediatama Anugrah Citra (Nexmedia) and PT Mentari Multimedia Vision (M2V).

With the further development of 4G networks in Indonesia, premium-channel providers need to find innovative ways to take advantage of new and available platforms to provide subscribers with more enjoyable viewing experiences.(I. Christianto)