I am starting an APP that is similar to GoJek/Grab in Indonesia, I heard that I might need a PSE license? What is it actually and do I really need it?
PSE is an electronic system provider (Penyelenggara Sistem Elektronik) issued by the Mininstry of Information and Communication to certify that the company's electronic system is secure and complies with Indonesian data protection standards.
The PSE License is a prerequisite for companies who collect information online from Indonesian users in their ordinary course of business. Although a company may not identify itself as a “digital” or “online” business, Indo government defines any company that collects any user information online as an online business therefore requiring a PSE license to operate.
According to Indonesian law, the following companies require a PSE license in order to operate:
- Companies that offer goods or services to the public through websites or applications.
- Companies that facilitate online transactions.
- Companies that process information regarding fund deposits.
- Companies that store or process data related to trade and/or financial transactions.
- Companies whose electronic systems send paid digital goods to users’ devices.
Based on the above information, your company will need a PSE license to operate. Do contact us if you need any further information! :)