TLKM - DC consolidation be completed by 2024

Telekomunikasi Indonesia (TLKM) is eyeing to conclude its data center consolidation by 2024. The company's data center business that currently spread out through its subsidiaries Telekomunikasi Indonesia Internasional (Telin) and neuCentrIX, will be consolidated under Telkom Data Ekosistem (TDE/NeutraDC) as part of its 5-bold moves strategy. TDE has now owned 3 DCs located in Sentul, Serpong and Surabaya, formerly operated under Sigma, as well as an HDC in Cikarang. By end of the year, TLKM expects data center market share to stand at 40%, compared to 30% a year prior. (Source : Bisnis Indonesia) Comment: With consolidation of its DC asset, it marks a significant milestone for TLKM to expand the business. We expect data center business has an ample room of growth especially in Indonesia amid growing digital economy, social media and digitalization as well as issue on digital security. For TLKM's perspective, data center may provide a stable and certain revenue ing forward, although we see that certification to remain challenge and at once, become high barrier to entry for competitors. We are optimistic with its superior infrastructure, TLKM could be able to grab higher market share in data center.