Ministry of Communications Blocks eBay, KLM and Bath & Body Works for Failing to Register as Electronic System Operators
Jakarta, FORTUNE - The Ministry of Communications and Digital (Komdigi) has officially cut access to, or blocked, three private-scope electronic system operators (PSE): PT Dunia Luxindo (bathandbodyworks.co.id), eBay Inc (ebay.com), and KLM Royal Dutch Airlines (klm.com).
The decisive action was taken because the three companies failed to fulfil their PSE registration obligations in accordance with prevailing regulations in Indonesia.
Director General of Digital Space Oversight at the Ministry of Komdigi, Alexander Sabar, stated that the access termination constitutes an administrative sanction against non-compliant PSEs.
"This access blocking is a form of administrative sanction imposed by the Minister of Communications and Digital on private-scope PSEs that have not made efforts to register," he said in an official statement quoted on Monday (30/6).
The sanction is enforced pursuant to Article 7 of Minister of Communications and Information Technology Regulation (PM Kominfo) Number 5 of 2020 concerning Private-Scope Electronic System Operators.
Prior to imposing the sanction, Komdigi had undertaken several persuasive measures. The ministry sent notification letters, warning letters, and press releases regarding registration obligations to seven PSEs. However, by the deadline following the final warning letter, the three PSEs showed no intention of registering.
Four other PSEs that had previously been warned — Nike, Xbox, Philips, and Lenovo — are not included in the current blocking list.
Alexander stated that this law enforcement aims to create a more orderly and responsible national digital space. The measure is also intended to establish equal obligations between domestic and foreign electronic system operators.
"This is also an effort to protect the public as users of digital services from potential risks arising from services that are not officially registered," Alex said.
On Friday (20/6), Komdigi had publicly issued stern warning letters to seven private-scope PSEs. The full list of PSEs that received warning letters is as follows: nike.com and the Nike application (Nike, Inc.); xbox.com and the Xbox application (Microsoft Corporation); ebay.com and the eBay application (eBay, Inc.); philips.com (PT Philips Indonesia Commercial); lenovo.com and the Lenovo application (PT Lenovo Indonesia); klm.com and the KLM application (KLM Royal Dutch Airlines); and bathandbodyworks.co.id (PT Dunia Luxindo).
At that time, Alex stated that Komdigi remained open to dialogue and clarification for PSEs facing difficulties in the registration process.
The Ministry of Komdigi continues to encourage all PSEs operating in Indonesia to promptly register their electronic systems through the Online Single Submission (OSS) system and to actively update their data should any changes occur.
"All PSEs are obliged to comply with prevailing regulations in order to achieve orderly and responsible electronic system governance in Indonesia," he said.
The decisive action was taken because the three companies failed to fulfil their PSE registration obligations in accordance with prevailing regulations in Indonesia.
Director General of Digital Space Oversight at the Ministry of Komdigi, Alexander Sabar, stated that the access termination constitutes an administrative sanction against non-compliant PSEs.
"This access blocking is a form of administrative sanction imposed by the Minister of Communications and Digital on private-scope PSEs that have not made efforts to register," he said in an official statement quoted on Monday (30/6).
The sanction is enforced pursuant to Article 7 of Minister of Communications and Information Technology Regulation (PM Kominfo) Number 5 of 2020 concerning Private-Scope Electronic System Operators.
Prior to imposing the sanction, Komdigi had undertaken several persuasive measures. The ministry sent notification letters, warning letters, and press releases regarding registration obligations to seven PSEs. However, by the deadline following the final warning letter, the three PSEs showed no intention of registering.
Four other PSEs that had previously been warned — Nike, Xbox, Philips, and Lenovo — are not included in the current blocking list.
Alexander stated that this law enforcement aims to create a more orderly and responsible national digital space. The measure is also intended to establish equal obligations between domestic and foreign electronic system operators.
"This is also an effort to protect the public as users of digital services from potential risks arising from services that are not officially registered," Alex said.
On Friday (20/6), Komdigi had publicly issued stern warning letters to seven private-scope PSEs. The full list of PSEs that received warning letters is as follows: nike.com and the Nike application (Nike, Inc.); xbox.com and the Xbox application (Microsoft Corporation); ebay.com and the eBay application (eBay, Inc.); philips.com (PT Philips Indonesia Commercial); lenovo.com and the Lenovo application (PT Lenovo Indonesia); klm.com and the KLM application (KLM Royal Dutch Airlines); and bathandbodyworks.co.id (PT Dunia Luxindo).
At that time, Alex stated that Komdigi remained open to dialogue and clarification for PSEs facing difficulties in the registration process.
The Ministry of Komdigi continues to encourage all PSEs operating in Indonesia to promptly register their electronic systems through the Online Single Submission (OSS) system and to actively update their data should any changes occur.
"All PSEs are obliged to comply with prevailing regulations in order to achieve orderly and responsible electronic system governance in Indonesia," he said.