Fibre Optic Cable Prices Surge, Telkom Reveals Impact on Indonesia's Internet
Jakarta, CNBC Indonesia - Global increases in telecommunications component prices are beginning to pressure the domestic network industry. This is due to a surge in the price of fibre optic raw materials.
SVP Group Sustainability & Corporate Communication at Telkom Indonesia, Ahmad Reza, confirmed that the price rises in fibre optic cables and telecommunications components do not affect customer service quality. However, the impact is felt on the investment side and the speed of network expansion.
“The impact is more on aspects of investment and the speed of network expansion, in line with global material price dynamics,” Reza told CNBC Indonesia on Tuesday (21/4/2026).
Telkom, he said, continues to maintain the sustainability of network development by prioritising high-potential areas, optimising existing infrastructure, carrying out cost synergies, and adjusting expansion implementation selectively.
Meanwhile, the Association of Telecommunications Network Providers (Asosiasi Penyelenggara Jaringan Telekomunikasi) recorded that the price of fibre optic cable raw materials, particularly HDPE (High-Density Polyethylene) which is petroleum-based, has risen by up to 17%.
This surge is occurring alongside global oil price increases and supply chain disruptions due to geopolitical conflicts in the Middle East.
Deputy General Chair II of APJATEL, Nia Kurnianingsih, explained that geopolitical conflicts are creating indirect impacts on the domestic fibre optic industry, particularly in terms of global supply, logistics, and exchange rate fluctuations.
Because, she said, this industry is still highly dependent on imported raw materials, so any global supply chain disruption directly affects costs and project planning.
According to her, the current situation can still be managed, although business players must be more anticipatory. Material supplies are still available, but companies are starting to replan and optimise existing networks to reduce the need for new construction.
“So, in terms of supply, it’s still there, but from the business players’ side, they indeed have to be more anticipatory in dealing with it. The anticipation is in terms of planning, in terms of optimising existing networks, like that,” Nia said on Profit at CNBC Indonesia.
The greatest pressure comes from a combination of exchange rate fluctuations, logistics delays, and the high cost of imported raw materials. Lead times for material deliveries are becoming longer, which ultimately has the potential to delay fibre optic network construction project schedules. Projects that could previously be completed within a certain period now must be adjusted due to logistical delivery uncertainties.