Telstra enters into Memorandum of Understanding with Telkom Indonesia
Telstra and Telkom Indonesia today signed a non binding Memorandum of Understanding (MoU) to form a new joint venture to provide network services in South East Asia.
Telstra’s Group Executive, Global Enterprise and Services, Brendon Riley said the proposal would accelerate Telstra’s growth in Indonesia, South East Asia’s largest economy, and more broadly across the region.
Under the terms of the MoU, the proposed joint venture will be the exclusive provider of Network Applications and Services (NAS) in Indonesia for Telstra and Telkom Indonesia giving both companies the opportunity to build market share in the fast growing NAS market in the region.
Mr Riley said the proposed joint venture will leverage the strengths of both companies creating a new business to serve the Indonesian enterprise services market and build new capabilities for the market that do not exist today.
“Our plan is to provide enhanced consistency of services for companies connecting with Indonesia and operating in the region,” Mr Riley said.
“We are looking forward to partnering with Telkom Indonesia, a well respected market leader which has a large enterprise and government customer base and the broadest reach of domestic connectivity in Indonesia.
“Indonesia is a fast growing NAS market and we believe the best way to make in-roads is by partnering with a well recognised and respected local player. It also aligns to our strategy of supporting our enterprise customers around the globe.
“The proposed joint venture will form part of Telstra’s expansion plans for Asia, where we expect to have both Telstra entities and local market partnerships.”
Mr Riley said the proposed joint venture would deliver enterprise and business customers with managed network and security services as well as cloud and unified communications services.
“We are looking forward to giving our enterprise customers local support allowing them to focus on their business rather than managing information technology and telecommunications as a business cost,” Mr Riley said.
“We plan to focus on areas such as business continuity, business performance optimisation, protection of business information and data assets and improved employee productivity.”
Telkom Indonesia's Group Chief Strategy and Innovation Officer and Pak Indra Utoyo said: "We are bringing the proven ICT NAS solutions to Indonesia to assist businesses to be more productive and competitive to support them locally and into the region."
"The NAS solutions and IDN networks are a powerful combination to differentiate our solutions and services in the market to support businesses in Indonesia to be more agile, productive and secure.”
Mr Riley said Telstra continued to build momentum in its NAS portfolio.
“Earlier this week we completed an acquisition in O2 Networks, a leading Australian provider of network and security consulting and integration services for Australian enterprise customers. Late last year we acquired NSC, a provider of unified communications, contact centre, managed network services and associated integration and consulting services,” Mr Riley said.
“We have also commenced expansion of selected NAS portfolios - Managed Network Services and Cloud - into international markets, particularly in the Asia-Pacific Region so today’s announcement is a further indication of our intentions for the region and for our NAS business.
“On Tuesday we also increased our global Multi-Protocol Label Switching (MPLS) network reach in Western Europe and America with the launch of new Points-of-Presence (PoPs) which addresses increasing customer demand for connectivity into Asia Pacific.”
About PT Telekomunikasi Indonesia, Tbk
PT Telekomunikasi Indonesia, Tbk. (“Telkom”) is the largest telecommunication and network service provider in Indonesia. Serving millions of customers nationwide, Telkom provide a strong portfolio of information and communication services, including fixed wireline and fixed wireless telephone, mobile cellular, data and internet, and network and interconnection services, directly or through the subsidiaries. Telkom have broadened business portfolio to encompass TIMES – Telecommunication, Information, Media and Edutainment. Telkom’s shares are listed in the Indonesian Stock Exchange (IDX: TLKM) and its American Depositary Shares are listed in New York Stock Exchange (NYSE: TLK) and London Stock Exchange (LSE: TKIA).