The competition in providing internet connection in Indonesia just claimed three popular victims: First Media, Internux and Jasnita Telekomindo.
The companies had their permits in using the 2.3GHz radio frequency taken as they failed to pay their rights fee debts.
The news has been confirmed by Indonesia's Ministry of Communication and Information Technology (Menkominfo).
They have been suspending their payments for 24 months since 17 November 2016, before the Ministry finally took their permits.
According to the law, specifically in Article 34 of Law No. 36/1999 on the use of radio frequency spectrums and satellite orbits on telecommunication. It states that providers using the radio frequency spectrum for telecommunication must pay for the right to use a certain radio frequency spectrum.
Following the news, Internux and First Media are ordered to shut down their services that use the 2.3GHz frequency, and are also required to shut down their core radio Network Operation Center (NOC) so they can no longer serve consumers using that frequency.
First Media had the rights to use the said frequency on Zone 1, which include areas in the North Sumatera, and Zone 4 in areas occupying Jakarta, Bogor, Depok, Tangerang, Bekasi and Banten. Whereas Internux operated only on Zone 4.
"For the operators, they won't be able to use the service starting today, on 28 December 2018," said the Ministry's spokesperson.
While their permits have been taken, the companies are still required to pay for their debts.
The total amount of fee First Media, Internux, and Jasnita have to pay, is Rp364.84 billion, Rp343.587 billion, and Rp2.19 billion, respectively. That is more than Rp700 billion (about $48 million).
Previously, both First Media and Internux promised to pay what should have been paid in 2016 and 2017, but still failed to do so until the 2018 deadline, which was on November 17th.
As for Jasnita, the company managed to pay its debts.
What is affected, is the product called 'BOLT!'.
The product is a 4G LTE operator in Indonesia that was originally launched by Internux on November 14th, 2013. BOLT! was owned solely by Internux until 2015, and later also by First Media starting 2014. On July 2015, BOLT! was officially recognized as a product of First Media, alongside other of its products such as BiG TV, FastNet and HomeCable.
Because BOLT! can no longer serve its consumers, users of the product are getting refund for what they've paid, and/or quota that hasn't been used, as well as their initial payments to the company.
And as for BOLT! Home users that are connected to the networks of Fixed Broadband Cable Internet First Media by the Link Net company, they are getting a 30 percent discount and a free Double Speed Upgrade for the next 12 months.
According to Menkominfo, the decree won't affect any other products the companies are offering, aside from BOLT!. Other products that include TV and internet offered by First Media and Internux aren't affected.
"It should be noted that only BOLT! is affected. It's a product by the two companies," said a Menkominfo spokesperson.
"Consumers shouldn't worry as the names are also First Media," the spokesperson continued. He also assured that BOLT! users shouldn't worry as the product is going to be operated by another company, which the transition is under the supervision of Menkominfo.
On its website (Bolt.id), BOLT! thank its consumers for the trust and support they have given it.