Telkomsel Indonesia Invests $300 Million in Indonesia’s Digital Transformation
Earlier this month, we wrote about Telkomsel Indonesia’s plans to invest $300 million in Indonesia’s digital transformation. Today, we’re going to take a look at the impact of that investment. We’ll talk about how it’s helping the company grow its business and how it’s helping Indonesian businesses thrive in this new era of digital transformation.
Earlier this year, Gojek received the first of what will be many investments from Telkomsel Indonesia. The investment, which is part of Telkomsel’s strategy to optimize its digital ecosystem, will give the two companies the boost they need to scale their digital services. Among other things, the investment will also make the two companies more convenient for their driver partners.
Telkomsel is the largest telecommunications operator in Indonesia, with more than 170 million subscribers. The investment is a big part of the company’s efforts to make Indonesia the next great digital economy. The partnership will enable the two companies to better integrate their digital services, and deliver innovative solutions to consumers and businesses.
The collaboration is already bearing fruit, with Gojek adding a fleet of 200,000 motorbike drivers to its ranks in the last two months. In addition, the company is working on a merger with local e-commerce behemoth Tokopedia, which would create a new entity called GoTo. The merger is expected to be completed by the end of June, and the two companies have told their employees of the news.
The partnership is likely to boost Gojek’s technology prowess, and will provide new opportunities for society to access the best in advanced digital technologies and innovations. In the long run, the two companies will be able to offer their customers a wider array of services, with more added value.
Telkomsel investment in Indonesia’s digital transformation
PT Telkom Indonesia is the nation’s leading mobile telecoms company. It has 190 million subscribers. This is in addition to its growing digital business. Its corporate revamp is part of a regional pattern. Its goal is to cut costs and provide better customer experience.
The company aims to accelerate the development of smart digital infrastructure and to develop the digital talents of Indonesians. It has several programs to develop these capabilities. Its IT department has the greatest potential in driving digital transformation.
The company’s IT people also contribute to the country’s digital transformation. They have collaborated with other digital industries, including QuantumBlack, a venture builder. They have also implemented artificial intelligence (AI) to automate processes. The speed of decision-making has improved significantly with the use of automated quality checks.
The company’s investment in Gojek will boost its position as the country’s leading digital telco. This will lead to more benefits for society.
The two companies will also work together to grow Indonesia’s digital economy. This collaboration will help SMEs, merchants, and users benefit from the latest digital solutions. The investment will also strengthen Gojek’s financial position. This will allow it to further develop its technological human resources in Indonesia. This will also enable the company to develop new products and digital services for consumers and businesses.
Collaboration to accelerate digital transformation
During Indonesia’s G20 presidency, the country is committed to three priority areas – digital transformation, financial inclusion and global health infrastructure. These will be implemented under the existing G20 Digital Economy Working Group. The implementation of this agenda will be overseen by relevant technical ministries.
The success of the G20’s digital transformation initiatives may depend on its capacity to harmonise global digital governance and improve the quality of key digital enablers. In addition, the G20 can aspire to increase preparedness of individuals, and support the onboarding of micro, small and medium enterprises (MSMEs) to digital platforms.
The dark side of digital technologies includes exploitation of individual privacy, widening economic inequality, and political polarisation. However, the dark side also enables new innovation, and has the potential to contribute to inclusive economic growth. For example, China has successfully rolled out digital finance at scale across society.
The world of business is changing, and firms need to adapt quickly and efficiently. Similarly, the adoption of digital technology has become imperative to sustain and build competitive advantage. But, while it may be easier to implement DX in a single country, it is also important to leverage on collaborative innovation to yield the most benefits.
The G20 has already made significant progress in these areas, resulting in ground-breaking inclusive frameworks on base erosion and profit shifting, climate change financing, and global health financing. Its work in these areas could be applied to digital transformation, and a number of auxiliary measures could be adopted to improve knowledge building, and reduce barriers to growth.