Jakarta, August 19, 2021 – PT Telkom Indonesia (Persero) Tbk (Telkom) and PT Microsoft Indonesia today (19/8) officially announced their collaboration to accelerate digital transformation and achieve digital sovereignty in Indonesia. The collaboration will be across a number of areas, such as establishing an intelligent infrastructure, developing digital talent, and accelerating the digital transformation of TelkomGroup.
The signing of the Memorandum of Understanding between Telkom President Director Ririek Adriansyah and Microsoft Indonesia President Director, Haris Izmee was organized online on Microsoft Teams, and witnessed by the Vice Minister of State-Owned Enterprise II Kartika Wirjoatmodjo, Telkom President Commissioner Bambang Brodjonegoro, Microsoft Asia President, Ahmed Mazhari and Microsoft Asia Pacific President, Andrea Della Mattea, along with Telkom Board of Commissioners, Telkom Board of Executives, and Microsoft Leadership team.
This partnership will empower Indonesia’s digital economy, and accelerate the transformation of TelkomGroup’s operations, which covers all of Indonesia. It becomes crucial as the digital economy of Indonesia is expected to grow up to eight times by 2030.
In his speech during the signing ceremony, the Vice Minister of State-Owned Enterprise II Kartika Wirjoatmodjo said digital transformation is important to optimize the role of technology in increasing the nation’s competitiveness, whereby the development of various fields is expected to be faster and it will create more positive impact for Indonesian society.
The acceleration of digital transformation has occurred due to the Covid-19 pandemic. Digitalization plays an important role, not only in people’s lives but also in industry. For this reason, the involvement of digital telecommunication companies such as Telkom as a digital hub for SOEs and corporations is needed to enable digitalization. Telkom will be the government’s enabler in expanding and strengthening the use of technology for Indonesians.
“The Ministry of SOE appreciate the collaboration between Telkom and Microsoft as one of the strategic partnerships that will realize the national digitalization program. This is in line with the Ministry of SOE’s priority on Business Model Innovation, namely Refocus and Reinvent core business models using new technology, partnership, and ecosystem building. This strategic partnership will empower Telkom to continue increasing its digital expertise, hence creating optimum value for the nation and society. This is also in line with the Ministry of SOE’s priority goal – for Telkom to maintain and strengthen its leadership in the digital industry through technology leadership and capable digital talents,” said Kartika Wirjoatmodjo.
Telkom President Director Ririek Adriansyah said Telkom is currently transforming into a leading digital telco company by strengthening the infrastructure in building digital platforms and services for society, hence accelerating the realization of Indonesia’s national digital sovereignty.
One of Telkom’s strategies to accelerate the company’s transformation is through collaborations with a number of global tech giant companies, so as to realize Indonesia’s digital sovereignty. Collaboration is necessary during a very dynamic industrial situation that is loaded with the latest technological development. Therefore, Telkom decided to work with Microsoft to strengthen the company’s competencies and capabilities to provide various digital services, digital platforms, and digital connectivity, thus providing the best digital experience that can fit the demands and changes in customer and society’s behavior.
“This partnership is the first step in a long-term collaboration between Telkom and Microsoft to make a significant contribution to the growth of the national digital economy in Indonesia. Telkom itself also continues to be open to establish partnerships with tech giants and global players who will provide the best synergy value for the company and make Indonesia better,” said Ririek.
Telkom’s partnership with Microsoft is expected to help providing solutions for digital infrastructure, platforms for processing data and information, and talent.
Haris Izmee, President Director of Microsoft Indonesia said, “Over the last 26 years, Microsoft has been diligently working to empower every organization and person in Indonesia with the skills, tools and processes to embrace digitalization. This partnership with Telkom Indonesia creates an intelligent cloud platform for the entrepreneurial spirit Indonesia is famous for – from start-ups to digital natives, from warungs to MSMEs, driving inclusive and sustainable growth for the country. We’re excited about helping the nation embrace the opportunities of a digital future together, as we innovate for tomorrow, build capabilities for inclusive economic growth and future proof industries across Indonesia.”
This partnership is also a continuation of the Berdayakan Ekonomi Digital Indonesia initiative that Microsoft announced at the end of February 2021, in which Microsoft affirmed its commitment to build the company’s first datacenter region in Indonesia and skill over 24 million Indonesians by end of 2021. According to IDC research*, Microsoft’s investment in Indonesia is expected to generate up to USD $6.3 billion in new revenues from the country’s ecosystem of local customers and partners. In addition, its cloud-consuming businesses are expected to contribute 60,000 jobs to the local economy over the next four years.
*IDC Info Snapshot, sponsored by Microsoft, The Microsoft Cloud Dividend Snapshot: Indonesia, Doc. # US47443521, February 2021