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Indonesia Plans Fixed Broadband Expansion to Cut Internet Costs and Improve Access

14 Oct, 2026
Indonesia Plans Fixed Broadband Expansion to Cut Internet Costs and Improve Access

Indonesia’s Ministry of Communication and Digital Affairs (Kemkomdigi) is studying plans to expand fixed broadband networks to reduce internet service costs and improve access to affordable connectivity across the country (12/10).

The government aims to increase fixed broadband penetration from approximately 22% to around 50% of total connectivity while making internet services more affordable for the public.

Deputy Minister of Communication and Digital Affairs Nezar Patria outlined the plan after the Digital Infrastructure Summit 2026 at Thamrin Nine Ballroom in Central Jakarta on Monday, October 12, 2026.

Indonesia Targets 50% Fixed Broadband Penetration

Nezar said fixed broadband penetration currently stands at approximately 22% of total connectivity. The government wants to raise this figure to around 50% to give people more options for affordable internet services.

“We want to reduce costs by strengthening fixed broadband, not just mobile broadband. Currently, fixed broadband penetration is approximately 22% of total connectivity,” Nezar said.

The ministry is focusing on expanding fixed broadband, particularly in densely populated areas where internet connectivity remains relatively expensive. The initiative is intended to improve affordability and provide wider access to quality internet services.

Government Targets Rp100,000 for 100 Mbps Internet

The government aims to make internet services with speeds of 100 megabits per second (Mbps) available for approximately Rp100,000. Nezar said internet subscription costs in Indonesia remain high, citing data from the International Telecommunication Union (ITU).

“Our target is for 100 Mbps internet to cost just Rp100,000, because internet subscription costs in Indonesia remain high according to ITU data,” he said.

Nezar explained that Indonesia’s per capita income is approaching US$5,000, while household internet subscriptions ideally should cost around Rp200,000 per month. Current subscription costs of approximately Rp300,000 indicate the need for further network expansion to reduce prices.

“The costs are still too high, so we need to expand networks, especially fixed broadband, to bring prices down,” Nezar said.

Spectrum Policy to Expand 4G and 5G Coverage

Kemkomdigi is also prioritizing internet access in areas that remain underserved. Although 4G networks cover approximately 97% of inhabited areas, some locations with small populations still lack adequate telecommunications infrastructure.

To address these gaps, the government has included network development obligations for underserved areas in its frequency spectrum auction policies. Operators that win spectrum allocations are required to consider expanding 4G and 5G connectivity in these locations.

“We require all spectrum auction winners to consider these areas when building 4G and 5G connections,” Nezar said.

Indonesia Seeks to Increase 5G Penetration

Kemkomdigi is encouraging the development of 5G networks to improve service quality and support growing demand for digital connectivity. Nezar said 5G penetration currently stands at approximately 8.5%, highlighting the need to accelerate network development.

“We want this figure to increase and to strengthen connectivity in densely populated areas where costs remain high,” he said.

Nezar emphasized that fixed and mobile broadband development must progress together. The government aims to improve network access, service quality and affordability so that more people can use internet services at lower costs.

“We hope this can increase to around 50%, allowing fixed broadband to provide broader access and support inclusivity, so that all segments of society can enjoy and access these networks at affordable prices,” Nezar said.



PHOTO: MINISTRY OF COMMUNICATION AND DIGITAL AFFAIRS

This article was created with AI assistance.

We make every effort to ensure the accuracy of our content, some information may be incorrect or outdated. Please let us know of any corrections at [email protected].

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