The Day After Tomorrow, The HOOQ Service Will No Longer Operate In Indonesia

HOOQ Indonesia Website (Aditya / VOI)

JAKARTA - It seems that fans of the HOOQ movie streaming service have to be sad. This is because the company has just announced that it will stop operating in Indonesia starting April 30.

Summarizing from the pages of The Straits Times, Country Head HOOQ Indonesia Guntur S. Siboro said the decision to close HOOQ services was due to liquidation problems at the Singapore court. Another reason is because HOOQ is unable to compete against Netflix and illegal movie streaming sites in Indonesia.

"Services will stop on April 30th. Shareholders have also filed a liquidation file voluntarily in Singapore on March 27," said Guntur in his official statement.

Guntur explained that since HOOQ was formed five years ago, competition in the over-the-top (OTT) video market in Indonesia has been quite significant. Where HOOQ management has tried to add OTT film and television content provided through high-speed internet connections rather than via cable or satellite services.

Especially with the COVID-19 pandemic situation, which makes this service more expensive to operate in line with the increase in the US dollar exchange rate against the rupiah. This also makes HOOQ unable to compete with its competitors.

"Content costs remain high, and emerging market consumers' willingness to pay has been gradually increasing amid an ever increasing array of options. As a result of this change, the viable business model for an independent OTT distribution platform is becoming increasingly challenged," said management.

Some of HOOQ's competitors include Netflix, Hulu, Viu and Disney Plus which are based on internet network usage. Moreover, the rise of illegal movie streaming sites also relies on the internet to make it easy for users to access.

Established in 2015, HOOQ Digital is a joint venture company or joint venture between Singapore Telecommunication Ltd (Singtel), Sony Pictures Television, and Warner Bros Entertainment. This on-demand video platform has been operating in Singapore, Philippines, Thailand, India and Indonesia in April 2016.

HOOQ has also worked with local Indonesian production houses to provide original content on its platforms, such as MD Pictures and Starvision. In addition, HOOQ has also collaborated with telecommunications operators Smartfren and Telkom, as well as online motorcycle taxis with Grab in packages bundled with Indihome.