Asian Journal of Media and Communication Volume 1, Number 1, April 2017

Regulating Convergence: Challenges for Contemporary Media in

Hellena Yoranita Souisa The University of Melbourne - Asia Institute, Parkville – Victoria 3010, Australia, +61406742121, [email protected]

Abstract

This paper examines the implications of media liberalization and media convergence to regulatory issues and journalism practices in Indonesia. While technologies are being used to serve the economic interests of media companies, corporate concentration and technological convergence effectively disempower media workers. It will do so through an in-depth analysis of the current trends and case studies in the Indonesian media industry. The Indonesian case shows how media liberalization affects Indonesian media landscape at a first place, and how the media landscape is then shaped by conglomeration and convergence. Using the concept of diversity, media scholars are still debating the consequences of liberalization and convergence, to see whether those will undermine journalism and threaten the diversity of voices as the heart of media in democracy. This creates another challenge for regulatory bodies in Indonesia. On one hand, a free and competitive economic marketplace, a consideration of competitive markets is critical. On the other hand, there should be some tools to ensure media pluralism and diversity (ownership and content), hence provide necessary protections for the public. May there are interventions needed from the government body regarding this double-edge sword situation, a clear distinction needs to be drawn between regulation in the public interest and regulation to protect against market failure.

Keywords: Indonesia; media ownership, media concentration, convergence, content diversity, political economy, policy

1. Introduction control than the old law. This has resulted in a growing number of media outlets. The new Independent media is essential to Press Law is in line with Mugan and Gunther’s democracy for many reasons. In order to make (2000: 5) observation that media under a elections work, for example, it is the duty of the democratic system are supposed to be free from media to provide citizens with accurate direct political control and should be protected information, as democracy requires an informed by legal frameworks that “promote and sustain a citizenry. Independent media in democracy is diversity of media forms and outlets”. Diversity an arena where the exchange of a diverse range of media outlets and content is an essential of information and views facilitates the aspect of Indonesia’s new democracy, but formation of public opinion. It took the fall of previous research has shown that this diversity the almost 32 year-long authoritarian New has been challenged by various developments Order regime (1967-1998) before Indonesians within the Indonesian media landscape. finally experienced democracy again in 19981. The spirit of democracy was reflected in the This research examines the implementation of the new Press Law in 1999, ‘convergence era’ (Jenkins, 2006; Mulligan, which is more liberal and free from government 2012), which is amongst significant factor that

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Volume 1, Number 1, April 2017; (35-50) challenges the diversity of media outlets and of communication which used to be the contents. Grant and Wilkinson (2009: 15) executioner of any government policy toward describe convergence as ‘a revolution that is the media was dismissed. Moreover, the more sweeping the media industries’. While there is no liberal Press Law was implemented, giving the unanimously accepted definition of convergence media the freedom to serve public interests (Gordon, 2003), it is regarded as a phenomenon without the fear of being banned. The situation which influences the media system, shaping the after reformasi, was in accordance to the different dimensions of communication: perspective of market liberal theorists from the technological, professional, structural and standpoint of political theory where regulation operational (Erdal, 2007). The main case-study of the media is kept to a minimum so that the will be one of the media group in Indonesia, ‘marketplace of ideas’ can operate in as full and or known as MNC Group. free manner as possible (Dryzek and Dunleavy, Under this introduction section, I will present 2009: 101-127). Inline with market liberal brief background of contemporary Indonesian theories is the fourth estate theories from the media landscape, followed by the logic and types standpoint of media and journalism theories. of media convergence in general, before finally Bray (1965, pp.13-15) argues that as the fourth jump into the case study of Media Nusantara estate, the media is responsible to act as Citra model of convergence in Indonesia and the ‘guardian’ of the people’s fundamental right to challenges in regulating this phenomenon in free expression of opinion, ‘watchdog’ of civil result and discussion section. Later on in this liberties, and ‘protector’ against the bureaucrats article, we will see whether this phenomenon is or assuming authority against the common man the one that “pushing the media industry in new (in Schultz, 1998: 43). At the heart of this role is directions of integration, synchronisation, and “structurally independence from the state, and conglomeration” (Tapsell, 2011: 183) in minimal regulation of the media” (Flew & Swift, Indonesia or whether those situations are 2013: 6). The new law in Indonesia no longer intertwined. The examination is important in requires licenses for opening media business, order to decide to what extent such regulations especially the print media, which has resulted in on convergence are needed. the rising number of media outlets as shown in Table 1. As for broadcast media, the situation is The Indonesian media landscape: from darkness to more problematic, considering that before 1998 conglomerates Indonesia has not had a broadcasting regulation. As a result of reformasi2, Indonesian Since the main players of commercial media industries have been expanding for the were ’s family, licenses were given last two decades. After 32 years of tight media without clear mechanism and process. control under the , the department

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Hellena Yoranita Souisa, Regulating Convergence: Challenges for Contemporary Media in Indonesia

Table 1. Indonesian Media Landscape: Number of Outlets (Under and Post-Suharto)

Media Outlet 1998 2013

Print Media 298 1,076 Radio 700 2,800 Television3 6 11

Source: Author, compiling data from Lim, 2011; Haryanto, in Sen and Hill, 2011; Sudibyo and Patria, 2013

Additionally, in 2015 the Ministry of of media ownership as presented in Table 2 Communication and Information Technology shows the existence of media conglomerations. reported that the number of Indonesian Internet Masduki (2014: 3) defines a conglomerate as “a users had reach 82 million or about 35% of the large company composed of smaller companies total population, showing a dramatic growth engaged in seemingly related or unrelated from only 618,000 users or 0.26% in 19984. business”. Gillian Doyle (2002: 13) further Each medium makes unique contributions to specifies media ownership concentration social and political learning. Whereas audiences according to the following patterns: would traditionally read their morning newspaper over breakfast or on the train to ‘Monomedia concentrations’ (horizontal) refers to concentrated work, and watch the 8 o’clock news on ownership within a single sector of television, new media such as the Internet have activity. ‘Cross-media given people the option to steal quick peeks at concentrations’ reflect either news headlines throughout the day (Gillmor, vertical or diagonal integration, or both. ‘Vertical integration’ refers 2006; Siapera, 2012). Interactivity has also to common ownership across increased. Because of these developments, the different phases in the supply chain mainstream media can no longer treat the news for a media product (television as a one-way lecture. The mainstream media is program making/production and television now aware that it is no longer an era of ‘we told broadcasting/distribution). you what the news is’ or ‘you buy it, or you ‘Diagonal integration’ means don’t’ (Gillmor, 2006: XXIV). common ownership between Although Table 1 shows the number of different media sectors (television and newspapers, or newspapers media outlets in Indonesia has increased and radio). significantly since 1998, currently only 13 large media groups control almost all of Indonesia’s These configurations of media media channels in print, broadcast, and online ownership also apply to the Indonesian media media (Lim, 2011; Haryanto, 2011; Nugroho, landscape, as I will demonstrate later in this 2012; Sudibyo and Patria, 2013). The overview chapter.

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Table 2. Major Indonesian Media Groups in 2016

Media Group – Owner Television Print Radio Online Other Media Nusantara Citra RCTI, GlobalTV, SindoTrijaya, Global Okezone.com IT, content production and (MNC) Group – MNCTV, iNewsTV Daily, Trust Radio, Radio Dangdut distribution, talent management, HaryTanoesoedibjo Magazine, Tabloid Indonesia, V Radio automobile, banking, insurance, Genie, Mom and infrastructure Kiddie, High End Magazine Para Group – TransTV, , CNN - - Detik.com Hotel, restaurants, cafés, banking, ChairulTanjung Indonesia retail mart, theme parks, venture capital, insurance Visi Media Asia (Viva) , TVONE - - Vivanews.com Telecommunications, property, Group – metal, oil & gas, agribusiness, coal, Bakrie Family infrastructure Group – JakTV Republika Daily, GenFM, DeltaFM, Republika online, Content provider, Advertising, Event Erik Tohir Indonesia Daily, Golf FemaleFM, Sportku.com, Jaktv.co.id Organizer, Marketing Company Digest PramborsFM, JakFM 98.7genfm.co.id 101jakfm.co.id KompasGramedia KompasTV Network Kompas Daily, SonoraFM, MotionFM Kompas.com Hotels, PR agencies, event organizer, Group – Jacob Oetama Post Daily, Warta Kompas.tv university, tissue Kota, 11 local papers, 43 Magazines, Daily Digest

JawaPos Group – JawaPosTV, JawaPos, Indo Pos, FajarFM Jawapos.com Power plant, printing plant, travel DahlanIskan JTV, BatamTV, RiauTV, Rakyat Merdeka bureau FajarTV, and 8 others Daily, Radar and other local papers (151 in total), Mentari, Liberty Magazines & 11 tabloids ElangMahkotaTeknologi SCTV, , - ElshintaFM Liputan6.com Property, home shopping, hospital (EMTEK) Group – Eddy O’Channel, Kmkonline Kusnadi ElshintaTV Karir.com

Media Bali Post Group BaliTV and other 8 local Bali Post, Bisnis Bali, Global KiniJani, Genta - - (KMB) – SatriaNarada stations Suluh Indonesia, FM, and 5 others HarianDenpost, Suara NTB, Tokoh, Lintang, Wiyata Mandala Lippo Group – Riady BeritaSatu TV SuaraPembaruan, - BeritaSatu.com Property, banking, education, Family Investor Daily insurance, shopping malls, retail mart Femina Group – - Femina, Gadis, Dewi, - Femina, Ayahbunda, Gadis, Production house, event PiaAlisyahbana Ayah Bunda, and 11 Parenting online management, boutique, education, MirtaKartohadi others printing Media Indonesia Group MetroTV Media Indonesia - Media Indonesia Hotel, property, catering, oil, coal – Surya Paloh Daily, Post, Metrotvnews Borneo News Tempo Group – Yayasan TempoTV Network Tempo Daily, Tempo - Tempo.co Publishing Tempo Magazine, Travelounge MugiRekaAditama - Cosmopolitan, CosmopolitanFM - Holder of several boutique brands (MRA) Group – Dian Cosmogirl, Fitness, Hard Rock FM MS and 13 others I-Radio TraxFM Source: Author, compiling data from Lim, M. 2011; Haryanto, I. in Sen and Hill, 2011; Nugroho, 2012; Sudibyo and Patria, 2013; and media corporates’ official website

Similar to the previous findings of Lim the potential for media owners to influence (2011), a report by the Centre for Innovation contents has been sharply diminished by the rise Policy and Governance in 2012 also came to the of modern corporations, including conclusion that Indonesian media ownership is conglomerations, with “actual control resting in concentrated in 12 large groups, which is slightly the hands of expert managers, with media different with Table 2 above that showing 13 workers relatively free to do as they please groups5. Louis Day (2006: 249) points out that within the limits of professional standards and media concentration “could result in a better good business practice.” Clearly, those product because of the pooling of economic perspectives still view no problem on the resources,” especially if “parent companies do concentration of media ownership as the threat not intrude into the editorial decisions of their to press freedom is seen as coming from news operations” (Ibid). Demers and Merskin governments, rather than from media owners. (quoted by Winscek, 2007: 43-44) also argue that In a contrary, Nugroho (2012) points out that

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Hellena Yoranita Souisa, Regulating Convergence: Challenges for Contemporary Media in Indonesia

the citizen’s right to information has been commercial networks, whereas in 2001 there threatened by the media oligopoly that is entirely were six commercial broadcast networks profit driven. His point of view is aligned to the controlled by five corporate owners. political economy theorists that view media Deregulation also happened in Europe. Only, differently than market liberal perspective. the relaxation and rationalisation of media While the market liberal theorists see ownership in Germany in 1996 and France in media as independent entities, critical political 1994 were driven by digitalisation technology economy does not view mass media as value- (Levy, 2007). This rapid development in free institutions that produce contents reflecting technology leads us to the contemporary media reality, in order to empower people so they world, which according to Ithiel de Sola Pool is become informed citizens in democratic society. “the result of evolutionary change with Rather, it sees mass media as part of the revolutionary consequences commonly products of industrial capitalism (Garnham & characterised as convergence” (Gordon, 2003). Inglis, 1990). Moreover, Meikle and Young There are diverse definitions of (2012: 50) argue that news has to be seen as a convergence. Some focus on “overlapping product. It means, “news is not a natural systems and others on efficiency, while some category of events that are simply found and place technology in the foreground and still presented by journalists, but is produced and others emphasize organizational mergers” marketed on an industrial scale by media (Drucker & Gumpert, 2010:1). For organizations” (Ibid). In other words, media Gundelsweiler and Filk (2012: 47) the term organisations do not only provide ‘news’ per se, media convergence “first referred primarily to but also part the political and ideological the technical convergence of print media to processes of economic markets. This electronic media and telecommunications”, perspective from the critical political economy is whilst from the perspective of convergence in relevant and important not only to examine the journalism, Gordon (2003) identifies five concentration of media ownership in Indonesia, characteristics of convergence: ownership, but also to observe media convergence. tactics, structure, information gathering, and presentation/storytelling. Henry Jenkins (2004: Theoretical Perspective 34), moreover, underlines an important argument of media convergence that more than Welcome to the family, the youngest kin: media simply a technological shift but “refers to a convergence process, and not an endpoint. It alters the relationship between existing technologies, The trend on the concentration of industries, markets, genres, and audiences.” On media ownership as the impact of liberalization top of various definitions of convergence, for happens not only in Indonesia, but across the the purpose of this paper I divide media globe. Ben Bagdikian in his book Media Monopoly convergence into two main categories: (2000)analyses the same trend of concentration technological convergence and structural of media ownership in the United States. While (industry/market) convergence. In the Indonesia was still under authoritarian regime following paragraph, I will elaborate the first and had yet independent media, the United category of technological convergence in general States has already moved by deregulating its and in Indonesia, before I discuss the second media ownership policy to be more relaxed in category of structural convergence by using the 1986. Compaine (2001) explained that in 1986 case study of Media Nusantara Citra on the next US households had access to only three section.

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Looking back to the push factor of 2010. The bill is considered crucial because the deregulation media in some European countries existing media regulations are platform-based. was the digital technology. From the standpoint After Indonesian President Suharto stepped of technology, the shift from analogue to digital down, Indonesian media entered a new chapter is basic to convergence. This shows what marked by the 1999 Press Law which ended Drucker and Grumpet (2010: 2) meant by saying government licensing as a way to ban “at the heart of technological convergence are publications, hence promoting and guaranteeing digitalisation and the conversion of messages freedom of the press. Another regulation is the into a binary code of 0s and 1s”. With electronic 2002 Indonesian Broadcasting Law. As the media, sound and light waves are coded into implications, there are 4 major institutions that electronic form for transmission and reception. regulate media in Indonesia. It is the Ministry of As Grant and Wilkinson (2009: 5) explain: Information and Communication who officially regulates the sector, but when it comes to ethical … the first electronic media were questions regarding journalism practices (for designed to capture, record, transmit, receive, and amplify these either print or broadcast or online media), cases waves. The different wavelengths will be handled by the Press Council (Dewan for sound and light, along with the Pers). However, because the specific identity of different bandwidth needed for broadcast media, the Indonesian Broadcasting light versus sound led to the creation of technologies that dealt Commission (KPI/ Komisi Penyiaran Indonesia) is with the two in different ways. the one who has authority to regulate TV and radio contents (both journalistic and non- Moreover, Levy (2007: 26) points out journalistic products), including mediating that “digital convergence promised to break past disputes, monitoring and evaluating media’s sectoral divisions between computing, telecoms, content, and issuing warnings and giving and broadcasting, opening the way for the TV sanctions when there’s any stations trespassing to be used as an access point to the Internet, for the Broadcasting Codes (P3SPS/ Pedoman TV to be viewed on a desktop PC, or even for Perilaku Penyiaran dan Standar Program Siaran). TV to be available via the Internet. ”It means Another regulator is from the standpointof we are “entering an era where media will be media as business entities: the Commission for everywhere and we will use all kinds of media in the Supervision of Business Competition relation to each other” (Jenkins, 2004: 34). In (KPPU/ Komisi Pengawasan Persaingan Usaha). It’s other words, now we use our mobile phone not been already 6 years since the government as telecommunication device only, but also finished the draft in 2010, and yet the situation (mainly) to download information from the remains. The draft has been standing there and Internet, receive and send emails or has not been passed as a bill. photographs, even to play games. The heart of most criticisms

about this draft lays in the working definition of 2.2. Mission is yet accomplished: regulating ‘convergence’ itself. As ‘convergence’ covers (technological) convergence in Indonesia telecoms, computing, and broadcasting sector, Responding to the technological the draft focuses mainly on telecoms and convergence that undoubtedly has been computing. Chapter 1 point 1 and 2 on the happening in Indonesia, the government tried to draft specifically mentions “telecommunication come up with the draft of Convergence Bill and telematics” but not “broadcasting” (Undang-undang Konvergensi dan Telematika) in (Positioning paper KPPU on the draft of the Convergence Bill). Yuliandre Darwis, a

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Commissioner at the Indonesian Broadcasting also consider Bernier (2008) who argues that the Commission (2016, personal communication) increase of news outlets and platforms does not regrets the exclusion of broadcasting sector in automatically translate to greater news pluralism the draft bill, as it would be impacted the most (in Goyette-Côté et al, 2012). Additionally, by the convergence. However, he also admits Robert McChesney (2001, 2002) contends that the complication of the draft if the parliament the problem is not the number of media outlets passed it as a bill: that are available, but how diverse the contents The Indonesian Broadcasting of those outlets are. The idea of market-driven Commission will be very happy if media, or simply put, giving the media to the the bill also embraces broadcasting market mechanism undermines the idea of the sector. For us in KPI, our interest is always about the content of the media as ‘public goods’. Although not using the media. Thus, we have to anticipate terms of “outlet” and “content”, Winscek (2008) some potential changes that might suggests we should distinguish ‘numerical occur in our media contentas the diversity’ (the number of channels available in impact of convergence. any given area) from ‘source diversity’ (the Deeper than Darwis, Indonesian media number of media owners in any given area). scholar who is also a member of National Coming out from this premise of ‘outlet’ vs Coalition for Broadcasting Reform (Koalisi ‘content’ diversity, looking at the contemporary Nasional Reformasi Penyiaran/ KNRP7), Ignatius Indonesian media landscape, and how Haryanto (2016, personal communication) technological convergence in Indonesia is still underlines the need to examine the implications problematic, the goal of this paper is to observe of convergence toward public interest. He the second category of structural convergence argues, “although because of the rapid by using Media Nusantara Citra (MNC Group) as development of technology both sectors the case study. I anticipate the case study may (broadcasting and telecommunication) now are contribute to the completion of what is lacking inseparable, some basic principles to protect in the Convergence Bill. public interest should be served so it will not create oligopoly or monopoly. That is why the bill should contain, therefore regulate, 3. Method broadcasting sector. ”Having said that, it is My research focuses on professional important at this stage to examine the impact practices in one leading media organisation and consequences between media convergence undergoing structural convergence in Indonesia. and media ownership. The case study method was chosen as a valid Convergence between telecoms, tool for analyzing a complex phenomenon in its broadcasting, and computing appeared to make own context. This type of qualitative method traditional restrictions on cross-media relies on sources such as semi-structured ownership obsolete, because the convergence personal communication interviews, written era opens new possibilities for media become records, content analysis, and other documents multiplatform. This means, by mastering the to validate its conclusions. Combining my digital technology, one organisation can have observation on MNC’s media outlet, a multiplatform outlets, which provide the prominent source from MNC Group has been information that best suits citizens’ preferred interviewed to give inside information regarding medium, at any time or place.From the “outlets” structural convergence policy in MNC point of view, convergence seems giving a fresh newsroom. In addition, I interviewed advocacy air to media pluralism. However, we have to

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Volume 1, Number 1, April 2017; (35-50) head division of the Alliance of Indonesian television stations and news organisations, Independent Journalists (Aliansi Jurnalis which actually began for almost a decade, Independen/AJI Indonesia) and National Coalition although it intensifies on the last two years. for Broadcasting Reform (Koalisi Nasional In the beginning there was Rajawali Reformasi Penyiaran) as the representatives of Citra Televisi Indonesia (RCTI). Launched on Indonesian civil society, also commissioner of August 24th 1989, RCTI is the first commercial 2016 Indonesian Broadcasting Commission to , owned by one of represent regulatory bodies. All personal Suharto’s son, Bambang Trihatmojo. A communications were conducted during July – combination of financial crisis and the end of September 2016, two through email Suharto’s regime caused the collapse of almost correspondence followed up by phone all Suharto’s family businesses. One of the conversation, one by phone, and a one-on-one companies was PT. Bimantara Citra Tbk which communication. All interviews are in Bahasa was the holding group of RCTI. Nearly Indonesia. bankrupt, PT. Bimantara Citra Tbk had to gradually sell its shares of stocks to PT. Bhakti 4. Result and discussion Investama owned by Hary Tanoesoedibjo. It’s The reason why I have to give some only by 2002 when Hary has owned the majority background about contemporary Indonesian of shares, he changed PT. Bimantara Citra Tbk to media landscape, which shows media PT. Global Mediacom Tbk (Rianto et al, 2014, p.9). concentration, is because concentration and PT Global Mediacom Tbk holds three main convergence are two distinct but interrelated businesses: Content and Advertising-based processes. Hence, according to Goyette-Côté et Media under PT Media Nusantara Citra Tbk; al (2012: 755) concentration becomes reasonable Subscription-based Media under PT MNC Sky for news conglomerates when it permits “the Vision Tbk; and online Media. On 2013, PT. increase of synergies or convergence of content Bhakti Investama changed its name to PT. MNC and labor in the same media group.”Goyette- Investama Tbk. After obtained 100% shares of Côté et al continue, “it can be horizontal RCTI in 2004, acquired PT. Global Informasi (various newspapers and magazines owned by Bermutu (GlobalTV) in 2005, and PT. Cipta the same company); vertical (by grouping the Televisi Pendidikan Indonesia (TPI, later on various elements of the production, editing and MNCTV) in 2006, PT Media Nusantara Citra Tbk distribution chains within the same company), now manages 4 national free-to-air TV stations: or take the form of cross-ownership (electronic RCTI, MNCTV, GlobalTV and iNewsTV. media groups and print media belonging to the Positioning itself as the first and largest national same company)” (Ibid).If we refer to Table 2 on television network in Indonesia, iNewsTV has Major Indonesian media group, we may see that been formerly known as SindoTV (first apart from television stations, MNC Group launched in 2008 under the name of SunTV owns newspaper, magazines, radio stations, also Network, which is named after its corporate insurance company, infrastructure, and property name: PT. Sun Televisi Network). While Ross business. Thus, it demonstrates both horizontal Tapsell (2011) mentions conglomeration as one and vertical convergence, also vertical and of convergence consequences in Indonesia, I horizontal concentration of ownership from the would argue that although the rapid point of view of Gillian Doyle (2002). convergence of computing and However, the focus of this research is on the telecommunications technologies may rewrite structural (horizontal) convergence on MNC’s the traditional assumptions of newsroom organisation and structure, any kinds of

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Hellena Yoranita Souisa, Regulating Convergence: Challenges for Contemporary Media in Indonesia

convergence is just the natural logic business of ”MNC Media Gathering has one general how conglomerations operate in order to manager and 5 managers working under the maximise their profit. GM. It is the responsibility and the task of this Informant A has been working in TV integrated newsroom to provide news items to industry since the early 2000s, and spending all 4 TV stations. The orders come from those almost 10 years in MNC Group as a journalist. stations which now only have producers and He also has been positioned in different editors left. However, when there are similar divisions (news gathering and news production) orders from 4 stations, it does not mean that in the newsroom. When he began his career in the orders are covered by 4 different teams one of FTA TV stations of MNC, his duty was that each is dedicated to respectively station. dedicated only to the station that he worked for. Instead, there will be only one team who will But things are changing gradually because of assign to fulfil requests from 4 different structural convergence within the MNC Group. outlets. Explanations from Informant A from insider Under this new structure and workflow, it perspective, altogether with my observation and is not only the deployment of reporters and analysis on the group’s content and interviews camerapersons has changed, the portion of with 3 people representing media convergence broadcast equipment has also simplified. stakeholders will be used to examine the MNC Media Gathering only uses 1 satellite structural convergence and its implications. The newsgathering (SNG) to broadcast live report findings are clustered into 4 main headings. whereas there are 4 different outlets have to be filled, mostly at the same time. Problems then  Integrated Newsroom occur when there is a big news event. Naturally, each station wants to be the leading Since early 2016, Indonesian audience station by being the first reporting live. As should have noticed explicit differences on Informant A recalled, there have been no their TV screen when watching any channel standard operating procedure in this belongs to MNC. If previously reporters were extraordinary circumstances. Imagine this: one using their station’s microphone cube and event, covered by one team, using one uniform, nowadays audience is no longer able technology, but serving the demands from 4 to see the microphone cube with station’s different outlets. Being a market leader for logo. Instead, reporters are using MNC over two decades, the priority is usually given Group microphone cube and uniform, no to RCTI to go live first and as the youngest matters which TV station they belong to. child in MNC family, plus its relatively longer According to Informant A (2016, personal airtime allocated on news program, most of communication), Indonesian audiences now the times iNews comes last. However, are witnessing the implications of MNC’s Informant A admitted that even during the integrated newsroom policy. The integration “normal” situation, it is hard for a producer to started as Arya Sinulingga was appointed as differentiate their piece to their colleague MNC’s news director on 2015. As Informant producers next door as the news materials A explains, “since then, all TV stations under comes from the same source. He says, “I MNC gave their reporters, camerapersons, and understand that this synergy creates efficiency assignment editors – basically news gathering for the company. But now we have almost division - under the integrated newsroom similar contents spread in 4 different outlets called MNC Media Gathering. We started to also because of that.” have a new structure and new workflows.

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The difficulties facing by producers in improvise as a producer if the original script MNC Media like Informant A, especially in and visual came from one single source? related to content diversity, was once Producers from 4 TV stations work on the explained by Singer (2004). He believes the same story, using the same interviewees’ newsroom integration may decrease the answers to the same questions, using the same diversity of approaches that different outlets context, background and angle. How different used to have towards a community. your stories could be? Of course we can Moreover, when it happens in multiplatform manage our final products not to look too media (for example: print, broadcast, online), it similar, but the message remains,” Informant will ignore intrinsic differences among media A explains. formats that contribute to a heterogeneous From economy standpoint, this practice journalistic discourse, and may lead to shows the logic of capitalist behind media. immediacy prevailing over analysis (Singer, Industrial synergies or integration becomes a 2004). In other words, media concentration, strategy in optimising and centralising the which resulted in integrated newsroom, has production by ensuring profitability for been narrowing the editorial control. This content produced by journalists. News leads us to the next finding on how organisations, thus, prefer to re-use content, convergence can affect media content. either articles or visual, in several of their titles. Economically, using one content for 4 outlets  Multiplicity vs Diversity means double the revenue. Similar to that idea is “repurposing” concept (Killebrew, 2005:13). Accoding to Horwitz (2005), convergence It stems from Parsimony Principle, in which can be observed in content as well as in the organisations use the outputs of production in merged of labour within the same group. Now as many ways as possible. What should that we know about the organisation of labour happen next, I would argue, is the multiplicity within the same group in MNC, which resulted of content rather than diversity of content. in new structure and new workflow, let us From the media monitoring analyses, there examine each platform’s content. Even were at least 5 topics found reported by the though RCTI, MNCTV, GlobalTV, and same team for no less than 3 outlets: Solo iNewsTV have their own producers and post- Bombing, Poso Terrorist Santoso, Kalijodo production squad, Informant A shares his Relocation, Bukit Duri Relocation, and The concern on how difficult to make such stories Trial of Jessica Kumala Wongso, the accused with different approaches and diverse point of cyanide coffee killer. Informant A adds, if the views. “Every station has its own market audience pay enough attention to MNC’s segmentation of audience. I believe RCTI regional news, they will find more multiplicity, producers have some specific treatment and as the regional bureaus have been integrated language on composing their stories as their by 2008, even long before the integration in audience is those from A-B class. Their Jakarta. approach must be different than their Apart from the economy standpoint, colleagues in MNCTV whose positioning itself plurality and diversity of media content and as C-D class TV station. Language used in media sources serve the public cause. Only by MNCTV should be simpler and easier to having diversity of media content and sources, understand comparing to so-called high-class one can find “the presence of a number of language in RCTI. But again, how far you can different and independent voices, and differing political opinions and representations of

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culture” (Doyle, 2002:12). This is why he has to sacrifice the quality of one of them. Ignatius Haryanto (2016, personal The reason is because online and print communication) underlines the importance of journalism have different characters. If you diversity of content and diversity of ownership want to have quality print journalism product, in Indonesian media convergence and points you may not fulfil criteria of quality online out the issue of media ownership as the journalism product, vice versa. Thus, I would trigger. “For us in KNRP, it was cross- say that in convergence era, the quality of ownership which threatens diversity of content journalism will be gradually decreased.” Also, and diversity of ownership at the first place, the implication of convergence is the so-called especially in convergence era. Therefore, it is ‘efficiency’ by cutting staff. This creates a new important for us to have clear and strict policy term of ‘multitasking’ journalists. that regulates cross-ownership. Either within  Multitasking Journalists the Broadcasting Bill or Government Regulation, I think we must have it anyway, Multi-skilling appears to be more and it should reflect the spirit of diversity of common in integrated newsrooms, where content and ownership.” There is nothing new journalists produce content for multiple in this proposal offered by Haryanto. In fact, platforms (Wallace 2013; Van den Bulck and the establishment of the Broadcasting Act of Tambuyzer 2013). As my case study is about 2002 and the Indonesian Broadcasting the horizontal structural convergence of 4 TV Commission both aim at securing diversity in stations under MNC Media Gathering, the media ownership (decentralisation) and nuance may not multi-skills as if in diversity in media content, which are also in multiplatform integrated newsroom. line with the criteria of media in democratic However, as we have already known now from society. Although in this case, Yuliandre Informant A, an integrated newsroom does Darwis (2016, personal communication), a not need so many journalists anymore. What Commissioner of Indonesian Broadcasting has already happened here might occur Commission gives more weight on diversity of elsewhere that the number of journalists content than diversity of ownership: “I think assessing events and addressing them is we concentrate more on monitoring the decreased. One team of a reporter and content. As for the ownership and broadcast cameraperson is reporting for 4 TV outlets. licensing, I think we would prefer not to They may have skills as broadcast journalists discuss about it further, at least not at the and have no obligation to produce for moment.” different platforms like online or print, yet On broader aspect of convergence that is their workload is 4 times increased. beyond horizontal convergence like MNC, When someone’s workload is 4 times Iman Nugroho (2016, personal increased, the logical question following it communication) from the Alliance of would be: is his salary also 4 times increased or Indonesian Independent Journalists warns the at least significantly higher than those who potential problem in journalistic products of have a normal workload? It is unfortunately convergence. “Each medium or platform not. Informant A discusses how the needs specific journalistic treatment. Once recruitment in MNC Group now works. Once media convergence takes place, surely the you get accepted, you will be offered a quality of journalistic output for each medium contract in which you will find a point that the will not be the same. For instance if a reporter employee understands that the company has has to report for both print and online media,

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rights to relocate any employees to other unit (MetroTV, Media Indonesia Daily). Aburizal or department under the same group when Bakrie, the owner of TVone and ANTV (Visi necessary. No wonder, even if for example Media Asia Group) is Chairman of GolkarParty. your status is an employee of MNCTV, might Now let’s talk about HaryTanoesoedibjo assign to GlobalTV. According to Iman as the owner of PT. Global Mediacom, Tbk that Nugroho (2016, personal communication) holds Media Nusantara Citra as the case study from AJI Indonesia who often handles media for this research. Using the term from workers issue, this practice has been a Informant A, the structural convergence has disadvantage for media workers. Hence he made the newsroom relatively easy to canalize asks new journalists to be more critical when the messages that are related to owner’s dealing with the company. “In this era of agenda. Since the integration of news media convergence, everything should be clear gathering division, MNC also established a from the start. Employees and Journalists dedicated division named Progsus (Program must be active to advocate their industrial Khusus or Special Program) desk. The main issues with the company.” In the same tones duty of this desk is to produce stories about as Nugroho, Ignatius Haryanto (2016, personal Perindo or Hary Tanoe’s political activities or communication) suggests “fair compensation stories that are inline with owner’s preferences. for media workers whom workload has been At least one story produced by this division is increased because of the convergence.” mandatory to be allocated in each news Further he adds that it is the company’s program of all TV every day. Informant A obligations to hold workshops or trainings for (2016, personal communication) explains: their media workers in order to make media “The examples of stories produced by people adaptive to work in the convergence this team are ceremonials about Perindo and Hary Tanoe; and stories era. that favour his interests. There were times that we were not allowed to  Owner’s Agenda broadcast any story about (the Governor of Jakarta) Ahok (the nickname of Basuki Tjahja Purnama), Last but not least, the implication of either Ahok as a public figure or Ahok structural convergence is a political one. Half as the Governor, including his of the media owners listed in table 2 also serve policies. The high-rank management as the leader of, or are closely related to, a staff once mentioned that any story about Ahok will make him more political party. HaryTanoesoedibjo, the owner popular and MNC should not do that. of Media Nusantara Citra (MNC) established a It seems like he (Hary Tanoe) does new party named Perindo (Partai Persatuan not really like Ahok and his Indonesia, Indonesia in Unity Party) after his achievements. Thus, although lately there have been some stories related resignation from Hanura Party following his to Ahok on the screen, they are mostly lost as vice-presidential candidate pairing with discredited Ahok, like reclamation retired General Wiranto in the 2014 general case or Sumber Waras corruption elections. Before joining HanuraParty on scandal. On the other hand, because Hary Tanoe has a special interest on 2013, Tanoesoedibjo was a member of land possession in , we were NasdemParty (Partai Nasional Demokrat, not allowed to broadcast stories about National Democratic Party) founded and the relocation of Dadap Village which chaired by Surya Paloh, another media mogul is located in Tangerang, so Hary Tanoe can maintain good relation with and owner of the Media Indonesia Group the Regent.”

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Hellena Yoranita Souisa, Regulating Convergence: Challenges for Contemporary Media in Indonesia

This case shows how strategic the media ownership has strong tendency to eliminate a are, so it can be easily used as instrument to layer of voice. The company like MNC or achieve owner’s interests. Therefore, others that own both the print and broadcast Haryanto emphasizes the importance of strong operations sets for both organisations. regulatory bodies in Indonesia. “In my In other words, regulators have to consider two opinion, media regulators take some great main aspects of communication in democracy: responsibilities to make such a transparent and (diversity of) voices and the marketplace of impartial policy. It is also important for the ideas. regulator to feel authoritative and confident Given the importance of broadcasting enough to guard the concept of diversity and sector, it should be included in the Convergence also distinguish the direction of the future Bill as the convergence is beyond the media policy in general, including technology technological one. The future policy or and other complexity that follows.” The real regulation regarding convergence, then, must be battle of independent media in which their able to foster a competitive market for all owners are closely related to political party, players and to ensure that general competition thus, will be tested during the most crucial laws would be sufficient in themselves to stem moment in democracy: the general election. any market dominance with regard to cross- Although this research does not go that far, media ownership. I know this sounds idealistic these findings can be used for further research. as media policy is, in Pearce’s words, ‘a site of struggle’ (2000: 353). However, I think the bottom line should be the principle of diversity 5. Conclusion of content and diversity of ownership. Thus, is the ongoing process of convergence creates and Since mass media have an impact on strengthens the conditions of diverse content the way democracy functions, how media are and ownership? If not, how can the regulators governed must be considered crucial. Based on make sure that this condition is achieved? Who my findings using the case study of the is responsible to make this happen? Is it only the structural convergence in MNC Group, we may regulators? Which one? And how should we do see the obvious dangers of concentrated supply if it is not happening? Those, however, are that potentially affects the democratic flow of questions for another day. information. It has therefore been seen to be necessary for regulatory controls to be developed within the converging Acknowledgements communications market. In particular, regulators should be able to compose a policy I would like to thank LPDP for that clearly ensures diversity of content, not sponsoring me to the CCCMS 2016 and to my multiplicity, within such services. With the supervisor, Dr Edwin Jurriëns, who sent the link intentions in securing diversity and national of the conference and for being very supportive identity, regulatory bodies have rights to all this time. Also for my colleagues in Asia intervene in media business. As this research Institute, the University of Melbourne who also shows clearly the strong relation between always being there when I spent most of my the issues of cross-ownership and convergence, times at the study room: Sonja Petrovic, KPI which also demand the inclusion of Guangyu Qiao, Yilu Yang, Pan Qiuping, and Dr broadcasting sector should not hesitate to Ken Setiawan. Special thanks to my Indonesian securing the diversity of ownership. Cross- friends in Melbourne for the laughs we shared in

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Volume 1, Number 1, April 2017; (35-50) the middle of those crazy days: Nelly, Prima, 3. Here I refer only to national terrestrial Randy, Mirza, Anggi, Wenny, Rangga, Deasy, television and exclude local television and . Ikhsan. Thank you Informant A, Ignatius 4. See Kemkominfo: Pengguna Internet Capai 82 Haryanto, Iman Nugroho, Yuliandre Darwis for Juta Orang. the interview sessions, and to Dandhy Dwi https://kominfo.go.id/index.php/content Laksono for always being a strong discussant of /detail/3980/Kemkominfo%3A+Penggun a+Internet+di+Indonesia+Capai+82+Juta my ideas and thoughts. This time I make sure /0/berita_satker. Accessed: June 11th 2016 your name is correctly spelled. Last but not 5. Lim (2011) found what she called ‘The least, I would like to thank my husband, League of Thirteen’ to describe the key Laurensius Regi Aryoko for his love and players of Indonesian media ownership. However, she included also state-owned supports, also my Mum and Dad for always broadcasters on her list. It means, apart have me in their prayers. from the state-owned broadcasters, there were only 12 private media owners on her Notes: report. Nugroho et al. (2012) concluded the similar number of media owners. What 1. Since its independence in 1945 until 1998, both Lim and Nugroho missed from their Indonesians have experienced 3 different list was Bali Post Group which I have political regimes. Sukarno applied included in Table 2. ‘Parliamentary Democracy’ between 1950 6. In 2001, News Corp bought 20th Century and 1957 before he implemented ‘Guided Fox and put together a fourth network Democracy’ from 1959 to 1965, followed where others had failed. For further data by the ‘New Order’ regime under Suharto about this, see Compaine (2001). from 1967 to 1998. 7. National Coalition for Broadcasting 2. Reformasior ‘reform’ is the post-New Order Reform (Koalisi Nasional Reformasi period, marked by the resignation of Penyiaran/ KNRP) is a loose coalition Suharto as a president after 32 years in consists of Indonesian communication 1998. scholars and some media activists who share the same concern on broadcasting issues in Indonesia.

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