Indosat spins off, relaunches fibre business as independent operator IFT
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Indonesian telco Indosat Ooredoo Hutchison announced on Thursday it has successfully spun off its fibre business, which has relaunched as Infra Fiber Teknologi (IFT), an independent fibre infrastructure platform backed by Indosat and Arsari Group.
IFT will operate more than 86,000 km of fibre infrastructure across Indonesia, including backbone, domestic subsea, and access networks, as an independently governed, open-access platform. Around 45% of its network footprint is located in Java, with the remaining 55% across non-Java regions.
The creation of IFT follows an investment agreement in December 2025 under which Indosat and its ICT arm Aplikanusa Lintasarta spun off their fibre business into a new entity called FiberCo, then sold their stakes in that to Nusantara Fiber Teknologi (NFT), the investment platform of Arsari Group. Upon completion, Indosat and Lintasarta collectively hold a 49.9% stake in NFT.
Indosat said this arrangement will enable it to monetize its fibre assets while retaining a long-term interest in the platform. IOH Group earned around IDR11.7 trillion (US$651.3 million) in gross proceeds from the deal, which it will use to invest in core connectivity, 5G rollout and AI-ready digital services.
Indosat said IFT is designed to strengthen Indonesia's digital backbone and advance open-access connectivity across the country by deepening wholesale partnerships with telecoms operators, enterprises, hyperscalers, and digital service providers.
It’s also tasked with narrowing the fibre deployment gap in Indonesia, where major urban centres have attracted significant infrastructure investment, while many areas across Sumatra, Kalimantan, Sulawesi and Eastern Indonesia continue to face connectivity gaps, said IFT’s president director Hendry Syam.
“We are building infrastructure that reaches the places others have not reached, serving communities that have long been underserved through a trusted and reliable system, and enabling businesses that drive Indonesia's economy across the archipelago,” he said in a statement.
“By placing world-class fibre infrastructure in the hands of an independent, open-access platform led by industry experts, we are ensuring that the benefits of AI, cloud, and next-generation digital services are not confined to a few,” added Indosat’s president director Vikram Sinha.
