Home Blog Promising Scene for Game Developers in Indonesia Business Setup | Company Registration Promising Scene for Game Developers in Indonesia InCorp Editorial Team 4 June 2025 5 minutes reading time Table of Contents Indonesian Game Developers visited Gamescom Big Market for Game Developers in Indonesia The Challenge for Game Developers in Indonesia Gamescom is an annual trade show for video games held at the Kölnmesse in Cologne, North Rhine-Westphalia, Germany. The German video game industry association, Verband der Deutschen Games-Branche, has organized it since 2018, and before that, Bundesverband Interaktive Unterhaltungssoftware (BIU). Gamescom replaces the Leipzig, Saxony, Germany, Games Convention. The convention took place from 24 – 28 August 2022. The event attracted 265,000 people, game developers from over 100 nations, and 1,100 exhibitors from 53 countries, making it the first live event in two years. Many video game developers showcased their upcoming titles and gaming-related hardware at Gamescom. Indonesian Game Developers visited Gamescom Indonesia sent 13 delegations to the annual Gamescom conference in Germany, according to Tourism and Creative Economy Minister Sandiaga Uno, to advance Indonesia’s up-and-coming gaming sector. Additionally, the convention is a fantastic venue for bringing together investors and developers to conduct business. Collaboration to finance a game’s production, exchange service with more prominent developers, and licensing finished products are examples of transactions in such an event. Big Market for Game Developers in Indonesia Indonesia is the biggest gaming market in Southeast Asia and ranks 16th worldwide, with sales reaching USD 1.92 billion at the end of 2021. Home to 43% of all players in the region, Indonesia is mainly responsible for the growth of the eSports industry in Southeast Asia. The majority of gamers don’t own computers or gaming consoles. They primarily use smartphones, especially Android devices. Indonesia comes in fourth place, after only China, Vietnam, and India, in the average number of hours spent on gaming. The analysis by Limelight Networks found that Indonesians spend 8.54 hours a week gaming, which is higher than the average of 8.45 hours per week. Competition with Global Developers Due to the growing number of smartphones and internet users in Indonesia, mobile games will undoubtedly continue to rule the gaming industry there. By 2025, 89.2% of Indonesians are expected to own smartphones. In rural areas, smartphone usage has also increased, rising from 47.3% in 2015 to almost 55% in 2019. There were 202.6 million internet users in Indonesia as of January 2021 – 27 million more than in 2020 (+16%). The Indonesian government attests that eSports will positively impact the country’s economy and athletic performance. In addition to offering training, the government has started creating laws concerning licensing and other regulations to promote the growth of eSports. Additionally, the government supports eSports competitions and events to keep raising the general public’s awareness of eSports, which share ideals and principles with more traditional forms of sports. According to the Indonesian government, the video gaming business is one of the most potential fields for luring foreign investment. The Challenge for Game Developers in Indonesia Indonesia is now ranked second for yearly growth in the number of mobile game downloads. According to data from the first quarter of 2021 (App Store and Google Play), 790 million downloads were made – an increase of 26%. Nearly half of these users play daily, and 15% play four to six times per week, investing an average of 30 to 60 minutes per session. Across the country, 79% of people identify as gamers. However, Indonesia suffers a shortage of game developers in a highly consumptive market. This contrasts the game markets in North America, Japan, China, and a few European regions, where local game consumption and contribution are roughly balanced. Indonesia’s Position in The Gaming Industry The video game industry in Indonesia is comparable to the Middle East, where the occupation of game developers is still seen as unappealing and heavily stigmatized, resulting in the underdevelopment of the industry. Data indicates that the local game industry only controls less than 1% of the Indonesian market, with foreign games holding most of the remaining market share. With room to grow, expanding your company in Indonesia to capitalize on the gaming market seems like a good opportunity. This is because local gaming studios find it challenging to compete with international developers who are saturating the market with free-to-play games. Due to their more involved creation and more significant production costs, these games are typically created by giant corporations. Free-to-play games usually require more thorough market research to succeed. The game also has additional expenses like server upkeep and security to prevent hacking. The sustainability of local development studios is also not guaranteed. The high costs of development and low industry standards result in short life spans of approximately five years. Studios must produce games for other, more difficult platforms in addition to mobile ones if they are to maintain their current level of success in Indonesia. This needs both the necessary financial resources and expertise in digital technology. Given that outlook, it makes sense why developers frequently view the industry through the prism of failure. Game developers seeking to exploit this niche sector in Indonesia can seek help from InCorp Indonesia (An Ascentium Company) to secure business licenses and support regarding company registration. Read Full Bio Verified by Daris Salam COO Indonesia at InCorp Indonesia With more than 10 years of expertise in accounting and finance, Daris Salam dedicates his knowledge to consistently improving the performance of InCorp Indonesia and maintaining clients and partnerships. Frequently Asked Questions Can a PMA company keep non-Rupiah bookkeeping and use a language other than Indonesian? For tax purposes in Indonesia, companies must maintain their books in Rupiah, using the Indonesian language, and store them within the country. Exceptions for using USD and English in bookkeeping require prior notification to the authorities and any use of languages other than Indonesian needs approval from the Ministry of Finance. How is the process of liquidating a PMA company in Indonesia, and how long does it take? The procedures for (voluntarily) liquidation typically involve the following steps: Conduct a general shareholder meeting to approve the liquidation and the liquidator’s nomination Notify the Ministry of Law and Human Rights as well as the creditors of the liquidation and the distribution plan for the assets by newspaper notice All business licenses and tax numbers should be canceled or revoked; the tax office will conduct a tax audit to revoke the tax number Make sure creditors are paid and that any liquidation funds are distributed to shareholders (if any) Conduct a general meeting of shareholders to approve the liquidator’s discharge and acquittal Notify the Ministry of Law and Human Rights of the liquidation’s outcome. After receiving the notification, the Ministry of Law and Human Rights will deregister the company’s status as a legal entity and remove its name from the Company Registry Release the liquidation’s outcome in a newspaper Completing the liquidation process can take around two years. Can Investors 100% own a PT PMA Company? According to Presidential Regulation No. 10/2021 and the amended version, all businesses are open for domestic and foreign investment with these limitations and classifications: Eight businesses are closed to foreign investment and may be operated by the central government. Designated business sectors or joint ventures with cooperatives (koperasi) and micro, small, and medium enterprises Open businesses are subject to specific conditions, such as those that are exclusively available to 100% local investors, those with restricted foreign shareholding, and investments requiring special licenses Certain sectors are closed to foreign investment, including narcotics cultivation, gambling, and environmental conservation activities. What is the minimum shareholder requirement to incorporate a PT? The minimum number of shareholders to incorporate a PT is two Get in touch with us. 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Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind. We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials. We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website. More on Business Setup How to Establish an Indonesian Association in the Form of a Legal Entity Read more Business in Indonesia for Indians: Options for Visas and Legal Entities Read more Top 17 Foreign-Owned Businesses in Indonesia Read more