Intel expects to double SMEs computer ownership

The Jakarta Post, Jakarta

Computer processor producer Intel Indonesia Corporation expects to see an increase in personal computer ownership among small and medium enterprises (SMEs) from the current third, to around half of the 42.5 million SMEs, in the next five years.

"Considering last year's computer sales growth of 15 percent, that target is not impossible," Intel Indonesia Corp. country solutions manager Arya Sanjaya told The Jakarta Post.

To achieve that, no less than eight million units of personal computers must be sold in the next five years to SMEs, Arya said, adding that at the moment, personal computer sales reached more than one million units per year.

Still, computer ownership among SMEs is low in the country as compared to neighboring countries, such as Thailand, Malaysia and the Philippines, where the average ownership is more than 50 percent.

"But, if the government provide financial assistance for the SMEs to buy computers, the growth could be much higher," he said.

The government could cooperate with the private sector to establish a financing scheme, such as providing one-year loans for SMEs to buy computers, similar to loans provided for vehicles.

Separately, State Minister of Cooperatives and Small and Medium Enterprises Suryadharma Ali agreed with the plan, saying negotiations with the private sector were underway to improve SMEs' financing access, including for buying computers.

Although SMEs account for more than 90 percent of businesses in the country, and have proven to be resilient, even during the crisis, when most large companies struggled -- if not collapsed -- they only contribute around 20 percent to the country's total exports.

To boost SMEs' performance and their contribution to exports, the sector would need to target overseas markets via the Internet.