Indonesia's Business Competition Supervisory Commission (KPPU) has conditionally approved the acquisition of shares in PT Tokopedia by TikTok Nusantara Pte Ltd. Earlier speculation suggested the acquisition might trigger monopolistic behavior, and KPPU investigators had reported that the transaction could lead to monopoly or unfair business competition. Conditions imposed by KPPU include ensuring payment methods and logistics choices remain open and not tied to various promotions or discounts; prohibiting abuse of market dominance, including predatory pricing, self-preferencing in platform display, discrimination against products outside the group, and restricting sellers from conducting transactions outside the Tokopedia and TikTok Shop platforms; guaranteeing TikTok users the right to promote products on other e-commerce platforms; prohibiting market exploitation through unreasonable price increases; and providing equal development opportunities for micro, small, and medium enterprises. Both companies must submit reports every three months for two years, including total e-commerce activity revenue, revenue sources, and commission amounts charged to sellers in five categories; regularly submit agreement documents with logistics service providers, payment service providers, and partner merchants; the supervision period runs from the approval date to June 17, 2027. If conditions are not met, a further review phase will be initiated. Both transaction parties ultimately agreed to the conditions proposed by the investigators.
Indonesia's Business Competition Supervisory Commission (KPPU) has conditionally approved the acquisition of shares in PT Tokopedia by TikTok Nusantara Pte Ltd. Earlier speculation suggested the acquisition might trigger monopolistic behavior, and KPPU investigators had reported that the transaction could lead to monopoly or unfair business competition. Conditions imposed by KPPU include ensuring payment methods and logistics choices remain open and not tied to various promotions or discounts; prohibiting abuse of market dominance, including predatory pricing, self-preferencing in platform display, discrimination against products outside the group, and restricting sellers from conducting transactions outside the Tokopedia and TikTok Shop platforms; guaranteeing TikTok users the right to promote products on other e-commerce platforms; prohibiting market exploitation through unreasonable price increases; and providing equal development opportunities for micro, small, and medium enterprises. Both companies must submit reports every three months for two years, including total e-commerce activity revenue, revenue sources, and commission amounts charged to sellers in five categories; regularly submit agreement documents with logistics service providers, payment service providers, and partner merchants; the supervision period runs from the approval date to June 17, 2027. If conditions are not met, a further review phase will be initiated. Both transaction parties ultimately agreed to the conditions proposed by the investigators.