Axiata to create wholesale fibre company in Indonesia - Mobile World Live

Axiata to create wholesale fibre company in Indonesia

10 MAY 2023
Axiata Group headquarters, a white-fronted building bearing the company brand with an anchor-type scupture in the foreground

Axiata Group laid out plans to position its two operating units in Indonesia as a converged service company and a specialist wholesale fibre company, with the goal of improving joint asset utilisation and operating efficiencies.

In a statement, Axiata explained the restructuring will enable mobile unit XL to take advantage of opportunities in fixed mobile convergence (FMC) and fixed broadband, with its Link Net business to provide wholesale fibre access.

As an infrastructure partner, Axiata stated Link Net will be positioned to “capture the wholesale opportunity of an underpenetrated fixed broadband market”.

It stated transferring its fibre infrastructure assets to Link Net and focusing on its FMC service offerings positions XL “to unlock the next phase of growth with an asset light business model”.

Hans Wijayasuriya, CEO of Axiata’s telecommunications business, stated the strategy aims to capture the growth opportunities in FMC and fixed broadband access sectors.

He noted its so-called delayering approach featuring a fibre company and converged service company “will lead to the optimum configuration for value capture”.

Axiata noted its acquisition of Link Net in June 2022 allowed XL to accelerate its FMC service offerings.

Link Net is tasked with passing 8 million homes with fibre within the next five years.

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Joseph Waring

Joseph Waring joins Mobile World Live as the Asia editor for its new Asia channel. Before joining the GSMA, Joseph was group editor for Telecom Asia for more than ten years. In addition to writing features, news and blogs, he...

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