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IT expert: TikTok-Tokopedia’s back-end migration still aligns with the regulation

Josa Lukman (The Jakarta Post)
Jakarta
Mon, March 18, 2024

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IT expert: TikTok-Tokopedia’s back-end migration still aligns with the regulation (Courtesy of Tokopedia)

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s TikTok and Tokopedia progress ever closer to completing their system migration, different interpretations still appear to remain in implementing Trade Minister Regulation No. 31/2023 on e-commerce.

The migration is mandated following the Chinese-owned video sharing app’s acquisition of the homegrown e-commerce platform through an US$1.5 billion investment deal last December.

According to Trade Minister Zulkifli Hasan, the migration was proceeding according to deadline.

“It is ongoing, just be patient," Zulkifli told reporters on Thursday at Tanah Abang Market in Central Jakarta.

Meanwhile, Domestic Trade Director General Isy Karim said the migration was generally going well for both the front-end and back-end processes, including payments frameworks and user data, which would be managed by Tokopedia.

However, some issues remained that needed prompt resolution, “such as the need to include a link or URL for consumers to get an invoice, as is found in the Tokopedia application", Isy said.

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Although the Trade Ministry approved the back-end migration from TikTok to Tokopedia based on regulation No. 31, different interpretations remained on implementing the regulation, for example if purchases could be made on the TikTok app while the related transactions were processed by Tokopedia.

Tony Seno Hartono, an information and communication technology expert and an adjunct researcher at Gadjah Mada University’s Center for Digital Society, said that a single application could handle simultaneous process on multiple systems, including third-party systems.

"A real-world example of this practice is an app like Traveloka, where consumers can find various digital systems for various purposes, such as flight ticket bookings that are connected to flight management systems from various airlines and hotel reservations connected to the management systems of different hotels or hotel networks," he said in Jakarta.

"Another example is train ticket purchases connected to the national train service [KAI], payment systems linked to banks and e-wallets and many others," added Tony, who is also a senior consultant at several global organizations.

He noted that the case of TikTok and Tokopedia involved different functionalities on two separate systems: product promotion via TikTok as a social media platform and payment transactions on Tokopedia as an e-commerce platform.

"This does not necessarily mean that users have to switch from one application to another, because it can reduce users’ convenience and potentially compromise the cybersecurity of the systems," Tony added.

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