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Jakarta Post
The Jakarta Post
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Telkom, Australia'€™s Telstra to form JV

  • The Jakarta Post

    The Jakarta Post

Jakarta | Tue, September 2, 2014 | 06:41 am

The country'€™s biggest telecommunication operator, PT Telekomunikasi Indonesia (Telkom), signed a deal in Sydney on Friday with Australian telecommunications firm Telstra to establish a joint venture which will target the enterprise sector in Indonesia. Under the deal, Telkom will own a 51 percent stake in the joint venture, while Telstra will own the remaining 49 percent.

The venture will offer cloud and unified communications services, particularly targeting Australian companies in the country.

'€œWe are optimistic that the partnership in network application services [NAS] will grow significantly as Telstra is a world player and Telkom is the main player in the country'€™s IT and data center business,'€ Telkom president director Arief Yahya said in a statement.

Neither firm has yet revealed the value of the deal, but Telstra'€™s group executive, global enterprise and services, Brandon Riley, said that both companies would invest tens of millions of dollars to get the business ready in 2015.

'€œThis is not a capital intensive business but we are talking tens of millions over the next year,'€ Riley said as quoted by The Australian.