The government of Indonesian government has blocked access to online services like Steam, Epic Games, PayPal, and Yahoo after the companies failed to comply with the new rules and failed to register with the government’s database to operate in the country.
But companies such as Apple, Microsoft, Google, Amazon, TikTok, Twitter, Netflix, and Spotify registered for a license last week, and all remain available. As of Monday, more than 5,900 domestic companies and 108 foreign companies had registered before sanctions were applied
The Ministry of Communication and Information Technology of the Republic of Indonesia (Kominfo) pushed the regulation in late July. According to games industry analyst company Niko Partners Kominfo has four main goals with the regulation.
- Establishing a system of all PSEs operating in Indonesia
- Maintaining Indonesia’s digital space
- Protecting public access on digital platforms
- Creating a fair system between domestic and foreign PSEs, including in terms of tax collection
Kominfo general director Semuel Abrijani Pangerapan said the government may give users access to PayPal for a small window of time during the ban and the ban will be lifted once the companies register with the country’s database
The government of Indonesia had required tech companies to register under new licensing rules on July 18 such as Google, Meta, Twitter, and Tik Tok.
According to Reuters, the requirement to register is part of a set of rules, first released in November 2020, which allows authorities to take down platforms with unlawful content that “disturbs public order« within four hours if considered urgent, and 24 hours if not.
The government of Indonesia says the new rules are to ensure internet service providers protect consumer data; online content is used in a “positive and productive« way; the companies may need to reveal communications and personal data of some users if requested by law enforcement or government agencies.
- Indonesia is a top-10 market globally by number of users (population of 270 million) for a host of social media companies, including TikTok, Twitter and Facebook.
- The third in the Asia Pacific region with 191 million social media users as of February 2022, according to Statista (after China and India).