TLKM - Plans to spend IDR6 tn to develop existing DCs

Telkom Indonesia (TLKM) through data center subsidiary, Telkom Data Ekosistem (TDE/NeutraDC) is planning to spend IDR6 tn in investment to further develop existing data center in Cikarang & Sentul, Serpong, Surabaya and HDC Batam with total capacity of 400 MW by 2030. To this date, total capacity of data center stands at 44 MW. (Source : Investor Daily) Comment : Through its five bold moves strategy, center expansion is among TLKM's agenda to further develop enterprise business as well as venue of revenue diversification amid flattish cellular revenue growth. Although data center business may take substantial proportion in its capex, we believe that it will generate more stable and certainty for the revenue stream. As data center business remains nascent in Indonesia, it will also bring enormous opportunity to grow in the future.