How Does PT Link Net Company Work?

PT Link Net is undergoing a significant transformation, shifting to become a pure infrastructure company, referred to as FiberCo. This strategic move allows the Link Net company to concentrate on expanding and maintaining its expansive fiber optic network.

In its new capacity, PT Link Net leases its fiber optic network to other internet service providers, notably XL Axiata's ServeCo. This wholesale approach leverages its existing HFC and FTTH cable systems, enabling a two-way 870 MHz broadband service to a wider market.

The company's network infrastructure is a critical component of how Link Net works, spanning key Indonesian urban centers. This includes Greater Jakarta, Surabaya metropolitan area, Bali, Bandung, Medan, and Batam, ensuring broad accessibility for its services.

By concentrating on infrastructure development and leasing, PT Link Net enhances its effectiveness. This allows for dedicated focus on network expansion and quality, ultimately delivering reliable infrastructure benefits to partner ISPs and end-users seeking quality home internet solutions.

Founded in 1996 as PT Seruling Indah Permai, the company rebranded to PT Link Net in 2000. A significant milestone was achieved in 2014 when it became a publicly traded entity on the Indonesian Stock Exchange (IDX).

In June 2022, Axiata Group Berhad and PT XL Axiata Tbk acquired a combined 66.03% stake in Link Net for approximately RM2.63 billion (IDR 8.72 trillion). This acquisition was a catalyst for a substantial business model transformation.

In 2024, Link Net transferred its residential (B2C) business, serving around 750,000 customers, to XL Axiata. This move positions Link Net as a dedicated fiber infrastructure company (FibreCo).

Link Net's competitive advantage lies in its extensive hybrid fiber-coaxial and fiber-to-the-home network infrastructure across Indonesia. Its established brand recognition, particularly through First Media, provides a strong foundation as it adapts to market trends.

As of December 2023, PT Link Net served approximately 750,000 customers, representing about 5.03% of the Indonesian fixed broadband market share. This places it behind market leader Telkomsel's IndiHome, which held 54.21%. Following its B2C business transfer to XL Axiata, the latter aims to become the second-largest operator with 1 million customers. Despite this, Indonesia's fixed broadband penetration was only around 15% of households in 2023, indicating substantial room for growth. The broader communication services market in Indonesia is projected to grow at a CAGR of 2.63% between 2025 and 2033.

The company faces intense competition from other fiber providers like Biznet and Icon Plus. Additionally, technological advancements, such as Fixed Wireless Access (FWA), present a potential disruption. Regulatory shifts and the continuous need for significant investment in network expansion are also critical challenges for PT Link Net.

PT Link Net is actively pursuing network expansion, with plans to reach up to 6.5 million homes passed, including an additional 2 million new homes in progress. This initiative supports its transformation into an open-access fiber network provider. The company's future strategy centers on its role as a FibreCo, emphasizing infrastructure development and wholesale services to leverage Indonesia's increasing demand for high-speed internet.

The company's strategic focus is on building out its fiber optic network infrastructure. This approach aims to provide wholesale broadband services, thereby expanding its revenue streams. This aligns with the growing market need for reliable and fast internet connections across Indonesia.