This is actually pretty funny. There are less than 300 services registered, and a nontrivial number of them are individual mobile games, or duplicates of other registrations. (For example, the phone manufacturer Vivo has something like 18 registrations for individual subdomains.) If the mandate is that every foreign web site or service register... well, that definitely isn't happening.

I think they simply want to close doors to websites that don’t follow their laws regarding the media, or sell services without paying applicable taxes.

If Indonesia is anything like my country, the majority of US and EU businesses already refuse to accept transactions anyways and many information portals block our IPs anyways. Add in a language barrier, and it’s no real loss to restrict the foreign market to only known and registered parties.