Rethinking Mobility: An Open Network Path for Indonesia

By Sachin V. Gopalan, CEO, Indonesia Economic Forum

Indonesia’s mobility sector is entering a decisive phase. The recent presidential directive calling for ride-hailing transaction costs to be reduced below 8 percent has set a clear direction: affordability and fairness must now be built into the system.

For years, ride-hailing platforms such as Grab and Gojek have driven rapid adoption of digital mobility. They have created jobs, expanded access, and transformed how Indonesians move. But the current model—where commissions typically range between 25 to 35 percent—is now under pressure.

Reducing these costs is not a simple adjustment. It challenges the core economics of existing platforms. The industry’s response has been cautious, reflecting the difficulty of balancing lower fees with sustainable business models. At the same time, public sentiment has been broadly supportive of reform, particularly among drivers and consumers who feel the direct impact of pricing and commissions.

The issue is not whether costs should come down. It is how to achieve this without weakening the ecosystem.

This is where Indonesia has an opportunity to rethink the structure of mobility itself.

The Indonesia Open Network (ION) offers a different approach. Rather than operating as another platform, ION is designed as a neutral digital infrastructure—an open network that enables interoperability across mobility providers, driver applications, logistics services, and payment systems.

In practical terms, this allows participants to connect once and operate across a shared ecosystem, rather than being locked into individual platforms.

The impact is structural.

By reducing layers of intermediation, mobility services on ION can operate at transaction costs of around 3 to 4 percent—well below the government’s target. This is not theoretical. In India, similar models such as Namma Yatri have demonstrated that open networks can deliver scalable, low-cost mobility. These developments have even led to the launch of national initiatives like Bharat Taxi, built on open principles.

Indonesia can adapt these learnings to its own context.

Lower costs also unlock new markets. Today’s ride-hailing platforms are concentrated in major urban areas, where demand density supports their economics. Smaller cities often remain underserved. With a lower-cost, open network model, mobility services become viable in Tier 2 and Tier 3 regions, enabling broader participation.

This has direct implications for inclusion.

Mobility is closely linked to economic opportunity. It connects people to jobs, supports local commerce, and strengthens supply chains. Expanding access to affordable mobility can therefore have a multiplier effect—particularly for MSMEs and informal workers who rely on these services.

ION is designed to support this broader vision. Built on the Beckn 2.0 protocol with an AI-first agentic-native architecture, it serves as a shared “digital rail” that connects commerce, logistics, payments, and financial services. Its integration with initiatives such as SAPA UMKM, which has over 30 million registered MSMEs, positions mobility as part of a larger, interconnected digital economy.

Importantly, ION does not replace existing platforms. It complements them.

Companies like Grab and Gojek can continue to operate, innovate, and compete. But they do so within a more open system—one that lowers barriers to entry, increases competition, and distributes value more evenly across participants.

The presidential directive has created momentum for change. The next step is to align that momentum with a model that can deliver both efficiency and sustainability. Indonesia has the opportunity to move beyond incremental adjustments and build a mobility ecosystem that is structurally aligned with its economic goals—lower costs, wider access, and greater inclusion.

An open network approach offers a credible path forward.

If implemented effectively, it could not only address current challenges but also position Indonesia as a leader in next-generation digital infrastructure—where mobility, like the broader economy, is designed to work for all.

Sachin V. Gopalan is the CEO of Indonesia Economic Forum and a strategic advisor on digital public infrastructure and inclusive digital commerce, currently helping incubate initiatives such as the Indonesia Open Network (ION) to drive interoperability, MSME participation, and scalable economic growth across Indonesia.