HONG KONG -- PT Telekomunikasi Indonesia (Telkom) and Hong Kong's PCCW have pacted to co-invest in Indonesian satellite TV group PT Indonusa Telemedia (Telkomvision) to deliver satellite TV, IPTV and other services to the country.

PCCW says it has also been granted preferred-partner status by Telkom and Telkomvision in the areas of business, technology and implementation.

PCCW is one of the world's leading IPTV equipment suppliers through its Media Core unit and has become the dominant paybox in Hong Kong through its Now Television division.

Pay TV penetration in Indonesia stands at a lowly 2% of the country's 40 million TV households, and Telkomvision, which has been broadcasting since 1999, has only 140,000 subscribers.

Last September five primary satellite TV licenses were issued, and the Cable & Satellite Broadcasting Assn. of Asia recently reported that legitimate pay TV subscriptions had doubled to 785,000 in the 12 months to the end of March.

Neither Telkom nor PCCW would comment about the timetable for deployment, the value of investment or the content of the new IPTV services.

© Reed Business Information, a division of Reed Elsevier Inc. All rights reserved.

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