Indonesian Political, Business & Finance News

Telkom Sees Opportunity for Indonesia Amid Middle East Tensions

| Source: CNBC Translated from Indonesian | Infrastructure
Telkom Sees Opportunity for Indonesia Amid Middle East Tensions
Image: CNBC

One of the impacts of tensions in the Middle East is disruption to global connectivity, from submarine cables passing through the region to the construction and maintenance of undersea cables there. “The situation in the Middle East, the Strait of Hormuz and the Red Sea, has made all such conditions vulnerable,” said Budi Satria Dharma Purba, Director of Wholesale & International Services at Telkom Indonesia, during a press conference in Nusa Dua, Bali, on Tuesday (25/8/2026).

Amid this situation, Indonesia actually has an opportunity. If countries such as India, Pakistan and Bangladesh can be routed through Indonesian waters to connect to the United States, they would no longer need to pass through the Middle East.

A similar approach was previously taken during the trade war between China and the United States. He said Telin built the Bifrost cable between Singapore and the US, avoiding the South China Sea. The new route proved highly popular, with a number of American companies choosing that path.

“Demand was very high. Everyone flocked to it. American companies made it a priority,” said Budi.

Telin itself, through the Indonesia Cable Express (ICE), will connect all contingent regions. This will create new connectivity routes. “We want to make Indonesia a new alternative route, to provide resilience for global connectivity infrastructure,” he said.

This approach is also expected to attract investment to Indonesia, because connectivity will be available from the country to nations around the world. “If that happens, a great deal of investment will come to Indonesia, because connectivity will exist from Indonesia to every country,” Budi explained.

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