Spending on information and communication technology (ICT) in Indonesia decreased by around 7.1% in 2020 due to the COVID-19 pandemic, with hardware spending projected to fall 7.7% and software demand projected to decline as companies delayed implementations. Meanwhile, the ICT sector still contributed tens of trillions of rupiah to GDP in the third quarter of 2020 and is projected to grow between 9.1-10.3% in 2021-2022 due to increased internet usage and subscribers during the pandemic. Spending on ICT in Indonesia is estimated to grow over 8% annually to reach $30.1 billion in 2021 and $33.9 billion in 2024, while corporate spending on Internet of Things is
Spending on information and communication technology (ICT) in Indonesia decreased by around 7.1% in 2020 due to the COVID-19 pandemic, with hardware spending projected to fall 7.7% and software demand projected to decline as companies delayed implementations. Meanwhile, the ICT sector still contributed tens of trillions of rupiah to GDP in the third quarter of 2020 and is projected to grow between 9.1-10.3% in 2021-2022 due to increased internet usage and subscribers during the pandemic. Spending on ICT in Indonesia is estimated to grow over 8% annually to reach $30.1 billion in 2021 and $33.9 billion in 2024, while corporate spending on Internet of Things is
Spending on information and communication technology (ICT) in Indonesia decreased by around 7.1% in 2020 due to the COVID-19 pandemic, with hardware spending projected to fall 7.7% and software demand projected to decline as companies delayed implementations. Meanwhile, the ICT sector still contributed tens of trillions of rupiah to GDP in the third quarter of 2020 and is projected to grow between 9.1-10.3% in 2021-2022 due to increased internet usage and subscribers during the pandemic. Spending on ICT in Indonesia is estimated to grow over 8% annually to reach $30.1 billion in 2021 and $33.9 billion in 2024, while corporate spending on Internet of Things is
Spending on information and communication technology (ICT) in Indonesia decreased by around 7.1% in 2020 due to the COVID-19 pandemic, with hardware spending projected to fall 7.7% and software demand projected to decline as companies delayed implementations. Meanwhile, the ICT sector still contributed tens of trillions of rupiah to GDP in the third quarter of 2020 and is projected to grow between 9.1-10.3% in 2021-2022 due to increased internet usage and subscribers during the pandemic. Spending on ICT in Indonesia is estimated to grow over 8% annually to reach $30.1 billion in 2021 and $33.9 billion in 2024, while corporate spending on Internet of Things is
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Spending on information and communication technology (ICT) in Indonesia
has decreased by around 7.1% due to the COVID-19 pandemic. Spending
on hardware is predicted to fall by 7.7% from the previously projected growth of 8.3%. Demand for software is projected to fall in 2020 as companies also delay application implementation. GlobalData also expects the market for ICT services to decline as organizations also suspend project-oriented services until business visibility improves. Expenditures for managed and support services were also among those that experienced a decrease due to the companies delaying the use of these services amid financial uncertainty.
Industrial technology is predicted to become a trend that affects domestic
economic growth in 2022. The information and communication technology sector are one of 17 industrial sectors that contribute to Indonesia's GDP.
Even during the COVID-19 pandemic, the information and communication
technology sector has shown significant growth. In the third quarter of 2020, it contributed about tens of trillions of rupiah to GDP. Meanwhile, according to the projections of the Fiscal Policy Agency (BKF), in 2021 this sector will grow between 9.1 and 10.1% this year and 9.8 to 10.3% in 2022. This is due to an increase in internet usage traffic and service subscribers. internet during a pandemic.
Based on a report from the International Data Corporation (IDC) estimates
that spending or spending on information and communication technology in Indonesia will grow by more than 8% information and communication technology to reach 30.1 billion US dollars in 2021, and reach 33.9 billion US dollars in 2024. .
One of the predictions is that corporate spending in Indonesia for Internet
of Things (IoT) spending will grow significantly in the coming years. IoT is one of the innovation accelerator technologies that will have a significant role in Indonesia, especially with the industry 4.0 trend with the Making Indonesia 4.0 program planned by the government since 2018 and contactless operations which are increasingly being increased by companies in Indonesia in response to the COVID19 pandemic. IDC sees the momentum of digital transformation and the industrial revolution in Indonesia will accelerate the pace of IoT spending in Indonesia with a Compound Annual Growth Rate (CAGR) in 2020-2024 of 9.4%.
State spending as planned in 2022 is projected to reach IDR 2,708.7 trillion
or 15.1% of gross domestic product, which is directed at strengthening economic recovery and structural reforms, strengthening spending better, and improving the quality of regional spending.
The budget for optimizing information and communication technology in
2022 is planned at IDR 27.4 trillion, with policy directions including: (1) building and developing information and communication technology infrastructure for equitable access and broadband connectivity throughout Indonesia; (2) encouraging digital transformation in the economic and government sectors, as well as preparing digital ecosystems and digital talent human resources; (3) building a national data center and implementing an Electronic-Based Government System (SPBE); and (4) enhancing human resource development in the information and communication technology industry.
Sources: infocomputer.grid.id, commercial.acerid.com, and