Astro hopes to start Indonesia service

Astro hopes to start Indonesia service

KUALA LUMPUR: Malaysia's Astro cable television service said on Wednesday it expected to start operations in Indonesia with a local partner by the end of this year.

"The company is hopeful that it will be able to commence service this year" for its pay television joint venture in Indonesia, chief executive Ralph Marshall said.

"Over the next five years, we hope to have a three to four million households on our subscriber base" in Indonesia, Marshall said.

Astro All Asia Networks PLC, Malaysia's monopoly pay television cable TV service, has a 51 percent stake in PT Direct Vision, which holds a multimedia pay TV license in Indonesia.

Marshall said Direct Vision had received approval from the Indonesian government for Astro's stake in the Indonesian cable television provider, including approval from the foreign investment coordination board.

Direct Vision also has approval from Indonesia's Foreign Investment Coordination Board for Astro's stake, Marshall said.

The approvals apparently negate a statement last month by Indonesia's communications and information ministry that Astro had violated the country's media operations law by holding more than 20 percent of Direct Vision.

Marshall said Astro planned to invest 300 million ringgit (US$78.94 million) overall during the next three years to develop channels for its various operations, on its own and in joint ventures.

The company is also planning to roll out early next year a new set-top box with enhanced services such as 120 hours of storage capacity that will allow viewers to watch programs on demand, chief operating office David Butorac said.

Astro has about 1.6 million subscribers in Malaysia and plans to add 300,000 subscribers each year, Marshall said. -- AP