Leave The Three Big Players, This Is The Response Of The President Director Of Telkom Regarding Merger XL And Smartfren

President Director of Telkom Indonesia Ririek Adriansyah (photo: Dinda Buana/VOI)

JAKARTA - President Director of Telkom Indonesia, Ririek Adriansyah responded to the merger between PT XL Axiata Tbk (XL Axiata), PT Smartfren Telecom Tbk (Smartfren), and PT Smart Telcom (SmartTel).

In its response, Ririek hopes that the merger, which eventually left three big players in the telecommunications industry XL Axiata, Indosat Ooredoo Hutchison, and Telkomsel, can have a positive impact on the industry.

"Merger (XL Axiata and Smartfren), hopefully good for industry," Ririek told the media, when asked about the potential for oligopoly, after the TelkomGroup Preparedness Conference in the context of Christmas 2024 & New Year 2025, on Monday, December 16 in Jakarta.

Even though currently only three big players have left, Ririek also said that there will still be competition. This is also competition three, there is competition too, even if it's three.

On December 11, PT XL Axiata Tbk (XL Axiata), PT Smartfren Telecom Tbk (Smartfren), and PT Smart Telcom (SmartTel) officially merged with a combined value of pre-synergy of more than 6.5 billion US dollars or around Rp. 104 trillion.

With this merger, Vivek Sood, Group Chief Executive Officer, Axiata Group said that the consolidation of this industry will pave the way for a more connected Indonesia and ASEAN.

"As well as helping to unravel the problem of digital inequality in creating an inclusive future for the entire community and business so that it can develop," said Viviek.

Through this merger, XL Axiata will become the main entity that survives the merger, while Smartfren and SmartTel will join a new entity called XLSmart.