TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

More govt ads no panacea but deemed necessary for local media

Media experts say government support through regulations and budget spending is crucial to ensure a level playing field amid increasingly dominant tech platforms, but the industry must adapt as well.

Aditya Hadi (The Jakarta Post)
Premium
Jakarta
Mon, April 1, 2024

Share This Article

Change Size

More govt ads no panacea but deemed necessary for local media Two becak (pedicab) drivers read newspapers in August 2020 while waiting for customers in Wirobrajan, Yogyakarta. (JP/R. Berto Wedhatama)
Versi Bahasa Indonesia

T

he Finance Ministry has expressed doubt that public-sector advertising deals will do much to ensure the sustainability of Indonesian media companies.

The ministry was responding to a presidential order to focus the government’s advertising budget on local press rather than on digital platforms.

Media experts, meanwhile, have said that government support through regulations and budget arrangements is a must to ensure a level playing field in an advertising market currently dominated by global tech platforms, and failure to do so may result in the failure of local media companies and a lack of high-quality journalism in the country.

In February, President Joko “Jokowi” Widodo signed the publisher rights regulation, which coincided with the celebration of National Press Day, after months of delay caused by stalled negotiations between publishers and digital platforms. The regulation requires tech platforms to enter deals with media firms in the form of paid licensing, revenue sharing or data sharing.

The President acknowledged at the time that major platforms may choose not to support the policy and instead limit their services in the country, as has been seen in their responses to legislative changes in Australia and Canada.

"I have ordered the communications and information minister to prioritize media firms [rather than digital platforms] in government advertising spending. This could be a short-term buffer,” Jokowi stated.

Prospects

Every Monday

With exclusive interviews and in-depth coverage of the region's most pressing business issues, "Prospects" is the go-to source for staying ahead of the curve in Indonesia's rapidly evolving business landscape.

By registering, you agree with The Jakarta Post's

Thank You

for signing up our newsletter!

Please check your email for your newsletter subscription.

View More Newsletter

The Chief Editors Forum, which represents local media companies, argued that state support in the form of advertising deals for media companies was similar in spirit to the local content requirements (TKDN) for manufacturing industries.

to Read Full Story

  • Unlimited access to our web and app content
  • e-Post daily digital newspaper
  • No advertisements, no interruptions
  • Privileged access to our events and programs
  • Subscription to our newsletters
or

Purchase access to this article for

We accept

TJP - Visa
TJP - Mastercard
TJP - GoPay

Redirecting you to payment page

Pay per article

More govt ads no panacea but deemed necessary for local media

Rp 29,000 / article

1
Create your free account
By proceeding, you consent to the revised Terms of Use, and Privacy Policy.
Already have an account?

2
  • Palmerat Barat No. 142-143
  • Central Jakarta
  • DKI Jakarta
  • Indonesia
  • 10270
  • +6283816779933
2
Total Rp 29,000

Your Opinion Matters

Share your experiences, suggestions, and any issues you've encountered on The Jakarta Post. We're here to listen.

Enter at least 30 characters
0 / 30

Thank You

Thank you for sharing your thoughts. We appreciate your feedback.