JAKARTA: In April 2020, a Chinese rocket malfunctioned shortly after launch, destroying Indonesia’s $220 million Nusantara-2 satellite, dealing a blow to the archipelago’s ambitions to strengthen its communication networks. But it created an opportunity for one individual.
Elon Musk, the owner of SpaceX, the world’s most successful rocket launcher, took advantage of Jakarta’s failure to outbid state-owned China Great Wall Industry Corp (CGWIC) for satellite launch services.
The Chinese contractor has courted Indonesia, Southeast Asia’s largest economy and a crucial space growth market, with low-cost finance, assurances of widespread backing for its space goals, and Beijing’s geopolitical heft.
A senior government official and two industry officials in Jakarta, acquainted with the subject, told Reuters that malfunction marked a turning point for Indonesia to move away from Chinese space contractors in favour of companies owned by Musk.
Nusantara-2 was the second satellite launch given by Indonesia to CGWIC, mirroring SpaceX’s previous two. Since its mishap, SpaceX has launched two Indonesian satellites, with a third scheduled for Tuesday, while China has handled none.
