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View all search resultsThe mobile market in Indonesia has been trimmed to just three major players as the XLSmart merger is completed, prompting consumers to question how fewer players in the market might affect prices and service quality.
The country’s two smallest mobile operator companies PT XL Axiata Tbk and PT Smartfren Telecom officially merged into PT XLSmart Telecom Sejahtera Tbk, consolidating the country’s mobile operator industry to three players. The Rp 104 trillion (US$6.5 billion) merger was seen as inevitable as the telecom industry is saturated. As the industry becomes more concentrated, the risk of oligopoly also emerges.
Publicly listed telecommunication companies PT XL Axiata and PT Smartfren Telecom are considering a merger to create a new industry entity called MergeCo, according to a disclosure notice released on Wednesday.
In the midst of uneven distribution of 5G networks in Indonesia, XL Axiata and Telkomsel have emerged as cellular operators with the toughest competition in providing the most reliable internet speed in the country, a new study from Opensignal shows.
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