CNN Indonesia
Friday, 08 Sep 2023 21:46 IWST
Illustration. Two cellular operators, XL Axiata and Smartfren, are reportedly planning to merge their business units in Indonesia. (Photo: CNN Indonesia/Hesti Rika)
Jakarta, CNN Indonesia —
Two mobile operators, XL Axiata and Smartfren reportedly planning to merge its business units in Indonesia. Ministry of Communication and Informatics (Kominfo) admitted that there had been a meeting between the two companies and the Minister of Communication and Information, Budi Arie Setiadi.
This was stated by the Director General of Public Information and Communication (Dirjen IKP) of the Ministry of Communication and Information, Usman Kansong. However, he was sparing in talking about the meeting.
“Yes, there have been discussions (regarding the merger). I think each of them has spoken with the Minister of Communication and Information. What I know is that Smartfren has met with the Minister of Communication and Information. The other party (XL) has met,” said Usman when met in the Kebayoran area, South Jakarta , Friday (8/9).
CNNIndonesia.com have confirmed to XL Axiata and Smartfren regarding the report. However, until the news was written, there had been no response.
He further agreed that the government wants to reduce competition so that the domestic telecommunications industry is healthy and there are no tariff wars.
In fact, Usman said that the government was ready to become a matchmaker, aka an intermediary, so that the two operators would immediately join forces.
“Then if an agreement is reached, the institution will become the leader so that the industry is healthy,” he said.
Usman explained that currently there is a price slashing competition. The impact is that cellular operators complain because cellular rates are getting cheaper.
“But this (merger) is a means for us to reduce competition and increase collaboration,” he added.
According to him, if these two cellular operators merge, this will also be to avoid monopolistic efforts.
Previously, there was news that Axiata and Sinar Mas, the owners of PT XL Axiata and PT Smartfren, were negotiating to merge the two cellular operators into one company.
According to reports BloombergAccording to sources familiar with the information, the owners of PT XL Axiata and PT Smartfren Telecom are working with their advisors to consider potential transactions.
(can/dmi)
Watch the Video Below:
2023-09-08 14:46:21
#Discourse #Smartfren #Merger #Kominfo #Ready #Matchmaker
