New Indonesian Internet Regulations Block Steam and PayPal

Many PayPal users in Indonesia were locked out of funds and their accounts due to the block. A spokesperson said that the government may temporarily deblock payment platforms to allow withdrawals.

New internet regulations

The Indonesian IT ministry presented a new regulatory framework last year. It was described as a content control system that is meant to protect national security, and prevent fake news.

This regulation requires all internet service providers to register on a new licensing platform in order to be legally allowed to operate in the country. Failure to register is a sign of illegality and they will be banned from the Indonesian Internet.

All registered entities are required to designate a local representative or office to respond to state censorship requests as well as unlimited information disclosure requests.

All information published on the registered service provider’s platforms is subjected to scrutiny by the state, along with any information about user accounts, communication through these sites, or other forms of data transfer.

The service provider must respond to the request if the government requires the immediate removal of material that is deemed to be harmful to national security. Providers have up to 24 hours to comply with non-urgent requests for censorship.

Around 200 foreign and 8,000 domestic online services providers had registered by the deadline. This included Google and Meta.

The new law was passed in spite of numerous concerns raised by journalistic coalitions and freedom-of-expression advocates in Indonesia. They were concerned that it could be used to restrict freedom and government censorship in the country.