This article was updated at 4:21 p.m.
JAKARTA — Malaysian satcaster Astro went live Monday with Astro Nusantara, a multi-channel satellite pay TV service in Indonesia.
New service is a joint-venture between Astro All Asia Networks and the Lippo Group of Indonesia, parent company of Kabelvision, one of the country’s four leading payboxes.
Company says it aims to reach 3.5 million subscribers within five years and that it expects to achieve profitability in the fourth year of operation. Peak investment is forecast by the company at $200 million.
“Current pay TV penetration is only 0.8% of the estimated 30 million television households in Indonesia, against the 25%-35% penetration in neighboring countries. The target addressable pay TV market has the potential to grow up to some 10 million homes, representing about 25% of the total TV homes, within the next five years,” said Azran Osman-Rani, Astro’s director of business development. “We expect to achieve a 30-40% share of this target segment.”