Indonesia and Malaysia are among the leaders when it comes to programmatic ad spending growth in the Asia Pacific region, and a new study says APAC’s six largest markets are expected to see a surge in spending over the next several years.
Hong Kong telecom PCCW is continuing the expansion of Viu in the Asia Pacific region, launching the ad-supported OTT service this week in Indonesia.
The company is partnering with IndiHome Fiber for delivery on its FTTH network, and with mobile operator Telkomsel for delivery to mobile customers across its 4G LTE network. Viu also is offering Samsung Galaxy owners access to Viu content for 12 months through a Viu partner offer.
APAC’s OTT market is at a tipping point, with the next two years being critical to the markets growth and penetration, said new research that also forecasts rapid growth by 2019, indicating Australia’s market could grow to $230 million, Indonesia’s to $40 million and Thailand’s $54 million.
But there are challenges, said the report, Prospects for Premium OTT in Asia Pacific, from researcher MTM and sponsored by Ooyala and Vindicia, including:
Indonesia says it will crack down on global Internet firms that do business in the country but aren’t paying , saying it will block services that don’t have “permanent establishment” status there.
The country wants firms like Google, Facebook, Twitter and Netflix to establish a local presence in Indonesia, as do other companies in industries like oil.
That local presence, at minimum a representative office, would then allow firms to be taxed.