UPDATE: I just added a related posting on iPhone vs Blackberry in Indonesia.
Jeremy Wagstaff says Friendster faces a mass defection over to Facebook in Indonesia.
Why? According to Jeremy, it is a simple formula:
Cheap BlackBerries smuggled in without import duties that cost a few hundred dollars and just US$17 per month for unlimited data + large number of people stuck in bad traffic + broadband at home costing upwards of U$100 per month = Growth of mobile Internet
For Facebook, this formula turned into an accidental boon, thanks to their popular mobile applications. Friendster, however, has been suffering due to their lack of a competitive mobile offer.
Within this phenomenon it is interesting to note that social networks are important, even when Internet penetration rates are fairly low on a national level.
More details from Jeremy in the video: