Government don`t mind Netflix Extend its Promotions

Ilustrasi (dok)

JAKARTA (IndoTelko) - Video streaming services Netflix step to extend its promotion period in Indonesia until March 2015 considered as an effort to buying time while waiting for the Indonesian over the Top (OTT) regulation issued.

"Currently a new policy on OTT is being prepared. Such as setting up a permanent establishment (BUT) in Indonesia, the content must be positive according to regulations, and others, "said Director General Application and Information of the Ministry of the Informatics and Telecommunication Bambang Heru Tjahyono to IndoTelko, yesterday.

Related to Netflix effort in extending their promotion period and have not yet communicating with the government after the first phase of the promotion period will be over, Bambang said there should be a meeting point that is not detrimental to all parties.

"The problem is not about being recognized or not. But we need to find a common ground that is not detrimental to the parties, especially to the public," he said.

Separately, Commissioner Member of the Indonesian Telecommunications Regulatory Body (BRTI) I Ketut Krishna Prihadi said that as long as regulations that governs the OTT such as Netflix does not exist, the regulator cannot interfere with the business strategy taken by Netflix.

"Especially at this time which is still free, so customers are not harmed. Now depending on the policy from individual operators, whether to block the service or not like what Telkom do. However, if the regulation has exist then Netflix is compulsory to subject," Prihadi said.

Netflix entered Indonesia on January 7, 2016 as part of the expansion effort to 130 countries in 2016. At the time, Netflix service is still free to use until February 7. Before the first promotion period ends Netflix then extend its promotion in Indonesia until March 2015.

On January 27, 2016 at 00.00 am, Telkom as one of Indonesian operators decided to block this service to its customers because they do not meet the existing regulations in the country.

The American OTT has never been communicating to the regulator or operator in Indonesia until the end of the first phase of the promotion period.

The Ministry of Communications and Information Technology (Kemenkominfo) is targeting technical regulation related to services like Netflix, which due by March.

On another occasion, the ministry also promised to stop the service if the promotional period ends in the first week of February.

Meanwhile, MASTEL Institute Chairman Nonot Harsono consider Netflix's measures to extend its promotion period is a test the firmness of the Indonesian government.

"If this matter left unchecked, we would continuously mocked by overseas OTT. There is a clear regulation, why is this considered not enough," he said.

In the Wall Street Journal, Thursday (01/28/2016), Netflix spokesperson expressed will follow and abide by the laws and regulations in the local country, Indonesia.

According to Netflix, the company did not need to apply for permission to broadcast, because the company engaged in cable-based TV services unlike TV network broadcast in general.

"Netflix is an Internet-based television network, instead of traditional broadcasters. We are on-demand services that allow people to choose to subscribe or not, what, where, and when to watch," he said. (es)