Telkom Indonesia Advances Fiber Connectivity Strategy Through InfraNexia Spin-off

Strategic Rationale Behind the Spin-off

PT Telkom Indonesia (TLKM) has officially completed the first stage of spinning off its wholesale fiber connectivity business to PT Telkom Infrastruktur Indonesia (InfraNexia) on December 18, 2025 ¹

The spin-off is part of Telkom's broader strategy to enhance its market position in the fiber connectivity segment, where it currently holds a 16% market share. The company aims to increase this to above 25% through improved efficiency and competitiveness facilitated by the spin-off ¹

Business Impact and Future Plans

The creation of InfraNexia as a dedicated entity for wholesale fiber connectivity is expected to unlock significant value for Telkom. The total asset value for InfraNexia is projected to reach Rp 90 trillion upon completion of the spin-off process, with the first stage already accounting for Rp 35.3 trillion ²

Telkom's management has indicated that while there are currently no definitive plans for InfraNexia to go public through an IPO, the option remains open for future consideration once the spin-off process is fully completed ¹

Strategic Alignment with Digitalization Goals

This corporate action aligns with Telkom's 'Telekom 30' strategic plan, which focuses on transforming the company through business excellence, strategic asset optimization, and portfolio strengthening. The spin-off is expected to enhance operational efficiency, improve business transparency, and strengthen Telkom's position as a key enabler of Indonesia's digital ecosystem ³

Market Implications

The establishment of InfraNexia is anticipated to have positive implications for Indonesia's telecommunications industry by promoting more efficient infrastructure management and potentially attracting strategic partnerships. As the digital economy continues to grow, this move positions Telkom to better capitalize on emerging opportunities in the fiber connectivity market.