Mass Layoffs in Traditional Media: Digital Disruption Threatens 23,000 Jobs

Digital transformation and declining ad revenue push traditional media to the brink

Traditional Media on the Brink of Crisis

Indonesia’s traditional media industry is facing a major upheaval. As audiences increasingly shift to digital platforms, television networks and print media are losing their market share and primary revenue streams from advertising.

Changing Audience Consumption Habits

According to the latest survey by We Are Social, 72% of internet users in Indonesia prefer platforms like YouTube and TikTok for information and entertainment. With over 215 million active internet users, the majority of the public is abandoning conventional TV.

Shrinking Revenue, Rising Layoffs

The decline in ad revenue has severely impacted traditional media companies. PT Mahaka Media Tbk, for instance, saw its revenue drop from IDR 251 billion in 2019 to just IDR 159 billion in 2020. This financial strain has triggered massive cost-cutting measures, including layoffs.

Data from the Ministry of Communications and Informatics (Kominfo) and the Alliance of Independent Journalists (AJI) show that over 23,000 media workers are at risk of being laid off due to the inability of traditional media to compete in the digital era. Kompas TV is among the affected, having downsized hundreds of employees. iNews reportedly shut down all its bureau offices and laid off 400 employees, although no official confirmation has been released.

Government Steps In

The Ministry of Manpower recorded a total of 18,610 layoffs across all sectors between January and February 2025. APINDO (Indonesian Employers Association) estimates that this number could reach 40,000 across various sectors, with the media industry being one of the hardest hit.

Traditional Media Must Accelerate Digital Transformation

This crisis sends a clear message—digital transformation can no longer be delayed. Without innovation in content and distribution platforms, traditional media will continue to lose relevance. While workers need stronger legal protection, the industry must adapt quickly to avoid the next wave of mass layoffs.