Capture Growth Of FBB And FMC Markets, Axiata Group Strengthens Synergy XL Axiata And Link Net

Photo: Doc. XL Axiata

JAKARTA - The Fixed Broadband (FBB) and Fixed Mobile Convergence (FMC) service markets in Indonesia promise very large business opportunities today and in the future. In addition to growing demand for services, the penetration rate of FBB is also still very low, which is below 15 percent, lower than the penetration rate in some Southeast Asian countries.

Responding to the high market demand opportunities for the availability of FBB and FMC services, Link Net will accelerate the supply of around 8 million home passes for the next five years which XL Axiata will use to provide FBB and FMC services to all customers.

This is a manifestation of the commitment of the two entities to customers to be able to provide more diverse digital services and experiences, with better quality, and of course also as an effort to realize XL Axiata's vision as the leading convergence operator in Indonesia.

XL Axiata President Director & CEO Dian Siswarini said that the closer collaboration between XL Axiata and Link Net will be able to increase the penetration of convergence services in Indonesia, because over the next five years there will be an expansion of service coverage of up to 8 million home passes.

"In addition, of course XL Axiata is also determined to increase the customer base of convergence, as well as accelerate the achievement of XL Axiata's vision as the leading convergence operator in Indonesia. XL Axiata will take advantage of the opportunities for the FBB market whose penetration is still low and the trend of market demand continues to strengthen," said Dian, in an official statement, Wednesday, May 10.

"Since the last two years, XL Axiata has launched a vision as the 'Front Forward Convergence Operator in Indonesia' (Leading Converged Operator in Indonesia). For this reason, XL Axiata also continues to work hard to introduce XL 1 convergence services and various benefits for the wider community, as well as expand reach to people in various regions," continued Dian.

President Director & CEO of Link Net, Marlo Budiman, said that his party was transforming the housing broadband business into Fiber Co and focused on core activities in the development of the Fixed Line network.

"We will focus more on minimizing network deployment costs, encouraging rapid network growth and providing high-quality internet connections for our customers. Economic scales combined with the expertise of building fiber networks for more than 25 years will make us market leaders in terms of cost efficiency and network quality," he explained.

Furthermore, Marlo said, his party will provide our ISP partners & telecommunications distribution partners with high quality networks and operational support, which will allow them to be more focused on strengthening customer relations and growing their customer bases.

"XL Axiata is a company with deep expertise for the management of mass market distribution and marketing. Making partnerships with them as the main tenants on our network will encourage the fast use of home pass capacity. Implementation of Link Net Fiber Co will make it one of the largest fiber networks in the country and offer enormous potential to improve future financial performance," he explained.

"The network we are building will be the core part of Indonesia's Internet infrastructure which will be used by tens of millions of people next generation. So of course there is strong harmony to create added value for shareholders and meet the needs of internet infrastructure and future generations of networks," added Marlo.