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The
U.S. company has made an aggressive push globally, but faced
problems such as tough local competition and regulatory hurdles
in several major Asian markets. In Indonesia, a country of 250
million people, Netflix ran afoul of the film censorship board
last year for carrying content deemed inappropriately violent or
sexual.
The communications ministry of Indonesia, home to the world's
largest Muslim population, had also demanded that Netflix set up
a office in the country and pay local taxes.
While state-controlled Telkom had blocked Netflix, the service
was still available in Indonesia via WiFi connections and other
carriers.
Telkom is now negotiating a partnership agreement with Netflix
and hopes to complete the process next month, Arif Prabowo, vice
president for corporate communication at Telkom, said in a text
message.
Telkom was previously concerned that Netflix carried "content
that has a negative element", Prabowo said.
"If we work together, that means we would know and can be
responsible for the content broadcast by Netflix."
Teaming up with Netflix would expand Telkom's content offering,
Prabowo added. "The choices for our customers will be more
varied."
A Netflix spokeswoman declined to comment.
(Reporting by Cindy Silviana and Eveline Danubrata; Editing by
Himani Sarkar)
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