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Starlink’s Existence in Indonesia Triggers Controversy, Considered a Threat

by Redaksi Asiatoday
May 27, 2024
in Business
Reading Time: 3 mins read
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Starlink's Existence in Indonesia Triggers Controversy, Considered a Threat 1

Space Exploration Technologies Corp (Starlink). Doc

ASIATODAY.ID, JAKARTA – The existence of Starlink in Indonesia has now sparked controversy.

The Indonesian Internet Service Providers Association (APJII) criticized the granting of operational feasibility test (ULO) certification to Starlink without a clear and transparent process. The Indonesian government is suspected of giving special privileges to Elon Musk’s satellite.

According to APJII General Chair Muhammad Arif, Starlink received a ULO certificate without a clear process. The government’s decision to grant permission to Starlink without involving or consulting local stakeholders raises big question marks.

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“The fast certification process for Starlink has increasingly sparked allegations of special behavior that may not be given to local Internet Service Providers (ISPs),” said Arif in the APJII virtual press conference entitled ‘Special Treatment for Starlink for Whom and for Which Regions? on Monday, May 27, 2024.

Arif stated that the lack of transparency and fairness in the Starlink licensing process is detrimental to local ISPs who have struggled to meet regulatory standards.

“This raises APJII’s concerns that the government has made discrimination and ignored the role and contribution of local ISPs which have so far met strict regulatory standards,” he said.

Apart from that, APJII also highlighted the discovery of Starlink devices which were suspected of entering the market through illegal channels.

Arif suspects that the devices entered through black market channels and did not go through the standardization process of the Directorate General of Resources and Post and Information Equipment, Ministry of Communication and Information Technology, Ministry of Industry, and violated Ministry of Trade regulations regarding illegally imported goods.

“The presence of these devices without going through a proper standardization process from the relevant authorities raises questions regarding their security and legality, as well as the potential negative impact on the internet service ecosystem in Indonesia,” he said.

APJII also highlighted that with a permit to serve retail customers, the presence of Starlink could trigger the return of illegal RT/RW Net in Indonesia.

“Apart from that, illegal ISPs that do not have regulations can worsen the current situation,” he added.

Arif also warned of potential threats to local cellular service providers and the risk of foreign domination in rural areas with the presence of Starlink in Indonesia.

“The presence of foreign internet service providers such as Starlink can reduce service diversity and increase dependence on foreign providers, which has the potential to disrupt the sustainability and independence of the local ISP industry in Indonesia,” he said.

Arif said that another threat is that Starlink can trigger negative access, such as the rise of online gambling, pornography, human trafficking, illegal livestreaming, and fraud. Apart from that, Starlink, which dominates in Indonesia, will also trigger an increase in the operational costs of local ISPs, Indonesian data center providers, cellular telecommunications providers, and Network Access Providers (NAP) to cover interconnection costs.

Apart from that, Arif added that Indonesia also has the potential to lose some control over the regulation and management of the national internet network.

“This is because foreign providers may not strictly adhere to local policies,” he concluded.

Same Treatment

Meanwhile, the Ministry of Communication and Information emphasized that it would give Starlink the same treatment as that given to telecommunications companies. The government denies positioning Starlink as the ‘golden child’.

Deputy Minister of Communications and Information Technology of Indonesia, Nezar Patria stated that the Starlink low earth orbit satellite operating in Indonesia is not a golden child.

“There are no golden children, we will ensure that Starlink is not a golden child,” said Nezar when met in Jakarta, Monday, May 27 2024.

Apart from that, continued Nezar, the government is also regulating Starlink so that it can be taxed.

It is known, as of May 2024 Starlink has served 3 million customers in 99 countries. The presence of Starlink in Indonesia has the potential to make the Starlink market even bigger.

“Most importantly, we are thinking about the potential taxes that might be obtained from the operation of Starlink and the same as the others,” he explained.

Nezar said that currently, Starlink’s presence in Indonesia is specifically for rural areas or Disadvantaged, Frontier and Outermost (3T) areas.

Apart from that, the Ministry of Health is also trying to optimize the use of Starlink for health services in remote areas. However, Nezar said that there is an opportunity for Starlink services to be used in urban areas. (ATN)

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Tags: StarlinkThe Indonesian Internet Service Providers Association
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