The Ministry of Communication and Digital Affairs (Komdigi) has cut off access to three private-sector Electronic System Operators (ESOs) for failing to fulfill the mandatory requirement to register their digital systems in Indonesia. Among those affected is a major e-commerce company based in the United States.

The three entities subjected to this sanction are PT Dunia Luxindo, the operator of the Bath and Body Works brand; the global e-commerce platform eBay Inc. (eBay); and KLM Royal Dutch Airlines (KLM). Alexander Sabar, Director General of Digital Space Supervision at Komdigi, stated that the access termination was an administrative sanction imposed due to the companies’ failure to show commitment in complying with the ESO registration obligation.

“Blocking access to these electronic systems, or access blocking, is an administrative sanction enforced by the Minister of Communication and Digital Affairs on private-sector ESOs that have not taken the necessary steps to register,” Alexander explained in his official statement on Saturday, June 28, 2025.

This measure refers to Article 7 of the Minister of Communication and Information Technology Regulation Number 5 of 2020 concerning Private Sector Electronic System Operators. The regulation outlines that access termination is among the sanctions that may be imposed on digital entities operating without official registration.

Prior to cutting off access to these platforms, Komdigi had gone through several administrative steps. Alexander noted that the ministry had sent official notification letters, issued warnings, and even released public press statements as reminders of the registration requirement.

“However, even after the grace period following the warning letters, these three ESOs did not make any effort to comply with the registration requirement,” Alexander added.

Komdigi emphasized that this access restriction is part of the government’s broader commitment to establishing a more orderly, secure, and accountable national digital ecosystem. In addition to enforcing legal compliance, the move also aims to create a level playing field for digital business actors in Indonesia.

“This effort also serves to protect the public, as users of digital services, from the risks associated with platforms that operate without official registration,” he continued.

On this occasion, Alexander urged all electronic system providers to promptly register their platforms through the Online Single Submission (OSS) system before operating within Indonesia. He also reminded providers to actively update their registration information in case of any changes.

“And to actively update registration data if there are any changes to the submitted information,” he concluded.