The Information Technology landscape in Indonesia


Hardware Manufacturing

AboutIndonesia 
Overall, Indonesia and other prospering economies such as the Philippines
are attracting large companies to do business on their soil.  For instance,
both Indonesia and the Philippines present significant, increasing
opportunities for internationally focused companies seeking skilled labor
and an abundance of land for manufacturing operations.

The minister of of industry and trade for the Republic of Indonesia has
developed an economic plan for the next ten years through which he hope to
promote foreign investment and business growth.  In addition, he also
initiated a four year program to provide assistance and training in IT to the business community.

There are about 200 companies that produce local personal computers and peripherals in Indonesia.  Local producers include those producing brand names such as Mugen, AAC, Aldo, ACS, ICM, Ascom, DMC, Access, NET, Procom, CBM, Columbia, Hitech, and Centrin.  Among these brands, the five companies that dominate the local market share are Mugen, AAC, ACM, Aldo and Access. Together, they comprise almost 60% of the market.  They supply their products mostly to small companies, government offices, and home users.

Plenty of American, Japanese, and Korean companies such as Mitsubishi,
Sharp, and Sony are already manufacturing in Indonesia.  Next, the minister
would like to see component manufacturers in order to improve the efficiency of the country's computer hardware production.

The following table is a list of components that are manufactured domestically in 1994 and 1995 :
 
Items 1994 (US$ Thousand) 1995 (US$ Thousand)
Computers 30,539.87 19,680.03
Micro floppy disks 18,041.86 37,607.48
Software 296.84 285.38
Monitors 229,295.84 276,982.77
Floppy disk drives 102,717.88 14,115.03
Printers 9,918.24 11,565.18
Mouse 1,606.36 1,142.54
Case CPU 1,387.48 1,097.5
CPU 339.76 228.08
Keyboards 296.30 526.72

Source : Industrial Statistics, Central Bureau of Statistics, 1994&1995
 

The followng table is a listing of the value of Indonesian exports from 1993-1995 :
 
Items 1993 1994 1995
Main Frame Computers 111,423 188,367 128,523
Personal and Micro Computer 3,386,788 3,254,483 7,056,070
CPU & Digital Process. Units 274,213 13,662,257 10,176,183
Input / Output Units 31,008,484 25,981,724 124,343,745
Hard Disk drives & Peripharals 50,524,641 35,713,870 197,945

Indonesia's most important computer-related export is monitors. Around 90% of the monitors produced are targeted for export.
TVM,Fortune, MAG, and GTC brand monitors are exported to several
countries.  Monitor production capacity is around 160,000 monitors per month, about 144,000 of which are exported.  Since capacity is expected to increase to 200,000 units per month, the export value of monitors will increase in the future.

Source : Central Bureau of Statistics, 1993-1995

The electronics industry accounted for $3.6 billion of exports in 1996, up more than 30% from 1995, it still has to import about 65% of its components, some $2 billion in 1996.

Source: http://www.redherring.com/mag/issue51/dispatches.html
 

Hardware players in Indonesia: 

Canon, Acer, APC, Compaq, Dell, Digital, Epson, Hewlett Packard, IBM, Interlink 2000, Micron, NEC, Notebook, Notebook/Infotalk, Toshiba, and Zyrex 
Source: http://www.asiagateway.com/indonesia/computer/index.html 
 

 

Telecommunication
Infrastructure
Privatization and Deregulation
Hardware manufacturing
E-Commerce 
Software development
IT Usage
(bymilitary, households and Labor)
IT Geographics
IT Financing
IT Labor Market
Government Policies
Legal Environment
Analysis : IT Strengths/ and Weaknesses
Analysis :Impacts on the Business
Sources and Links
About the authors

 

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Last update: December 16,1999