The Indonesian government has forged a partnership with Elon Musk's Starlink, a prominent player in the internet industry. The advent of Starlink has sent ripples of concern through the ranks of cellular operators in the archipelago, with XL Axiata being a prime example.
Dian Siswarini, the President Director and CEO of XL Axiata, emphasized the government's pivotal role in catalyzing and ensuring the sustained growth of the telecommunications sector.
"Maintaining a level playing field is proving to be a challenge. Safeguarding sustainability has become an intricate endeavor," remarked Dian during a vibrant discussion at the detikcom Leaders Forum: Charting the Course of Indonesia's Telecommunications Industry, convened in Jakarta on Thursday, August 24th.
Dian critically assessed that international players like Elon Musk might usher in new entrants that could disrupt the equilibrium for cellular operators, leaving them without a fair playing field.
"The landscape could be reshaped entirely," noted the CEO of XL Axiata.
Starlink's Entrance: A Disruptive Prelude?
Luhut Binsar Pandjaitan, the Coordinating Minister for Maritime Affairs and Investment, is steering the course to bring internet access to the eastern reaches of Indonesia through Starlink. Luhut's emphasis lies in directing this service toward remote and underserved villages.
"Numerous hinterland communities remain untouched by the tendrils of the internet. Hence, we stand in agreement with Elon to welcome Starlink into eastern Indonesia," Luhut conveyed through his official social media account on Tuesday, August 15th.
Luhut elucidated that the government's decision was partially swayed by the relatively lower cost of Starlink's services.
The rationale behind the affordable nature of Starlink's services, as stated by Luhut, is attributed to the technology employed—low Earth orbit satellites. Luhut highlighted that Elon Musk's Starlink boasts approximately 60,000 small satellites orbiting in the low Earth orbit.
As per Satellite Internet, the subscription cost for Starlink's internet services commences at $90 per month for areas with low-capacity networks or limited simultaneous usage. On the other hand, regions with high-capacity Starlink coverage, frequented by a multitude, would bear a fee of $120, equivalent to about Rp 1.8 million.
Elon Musk's SpaceX is poised to invest in the emerging capital, the prospective seat of the nation (Ibu Kota Negara, IKN). The internet velocity provided by its subsidiary, Starlink, can attain a remarkable 160 megabits per second (Mbps).
Elon Musk's venture also extends to Global Roaming services, spanning across all nations. An email snippet to customers from Elon Musk's enterprise stated, "A monthly charge of $200 (Rp 3 million) applies, in addition to the $599 (Rp 9.3 million) fee for utilizing the Starlink Kit parabola," as reported by GSM Arena on Monday, February 20th.
Drawing from CNET, Starlink has significantly bolstered its service development since 2021, although the groundwork was laid as far back as 2015. The inaugural prototype satellites were dispatched into orbit in 2018.
From that juncture, SpaceX has propelled thousands of Starlink satellites into low Earth orbit. The cumulative count stands at over 2,000 satellites orbiting above.
Leveraging these low Earth orbit satellites, Starlink extends internet services primarily to regions across the globe lacking high-speed broadband internet access.
As per Ookla, a platform tracking internet speeds, Starlink's download speeds reached 100 Mbps across 15 diverse countries during the fourth quarter of 2021.
In the United States, Starlink delivers an average download speed of about 105 Mbps and an average upload speed of approximately 12 Mbps. This performance outpaces competitors like Viasat and HughesNet by a factor of five to six.
"Users can anticipate data speeds ranging from 50 to 150 Mbps and latencies from 20 to 40 milliseconds across the majority of locations for the coming months," Starlink stated, as quoted by CNET in the preceding year (May 14th, 2022).
According to Ookla's internet speed tracking, Starlink reigns as the fastest internet service provider in several countries, including Lithuania, Mexico, Chile, and Australia.
Based on Ookla's Speedtest Intelligence report for the first quarter, the average download speeds for Starlink across various countries are as follows:
- Mexico: 105.91 Mbps
- Lithuania: 160.08 Mbps
- Chile: 110.49 Mbps
- Canada: 97.40 Mbps
- USA: 90.55 Mbps
- Belgium: 147.85 Mbps
- Slovakia: 146.25 Mbps
- Croatia: 136.00 Mbps
- Austria: 132.61 Mbps
- Australia: 124.31 Mbps
"Far outpacing fixed broadband internet services in Australia, which average at 50.87 Mbps," Ookla reported in June 2022 (June 28th, 2022).
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