JAKARTA, INDONESIA – September 13th, 2023 – PT CCSI Konektivitas Digital (CCSIKD, a subsidiary of PT Communication Cable Systems Indonesia Tbk. (CCSI)), PT Pracheta Nusa Telekom (Pracheta, a subsidiary of PT NAP Info Lintas Nusa (Matrix NAP Info)) and Mitsui & Co., Ltd. (Mitsui) are elated to announce the signing of a Joint Venture Agreement in a ground-breaking partnership set to reshape the landscape of Indonesia’s telecommunication sector. This initiative aims to develop an expansive 4,100 km inter-island submarine cable backbone network, designated as Varuna Cable Systems (VARUNA), to connect major island in Indonesia including Java, Bali, Lombok, Labuan Bajo, Sulawesi, Kalimantan, and Madura. This monumental network comprises 2,700km of submarine cable and 1,400km of land cable, with a pivotal role in furnishing digital connectivity to Indonesia’s new capital city, Ibu Kota Nusantara (IKN). Considering the rapid growth of the digital economy beyond the island of Java, where telecommunications infrastructure remains underdeveloped, VARUNA emerges as a key pillar to drive the realization of Indonesia’s technological vision ahead.
The newly-formed joint venture company, PT Varuna Cahaya Santosa (VCS), embodies the combined expertise and pioneering spirit of its parent companies. CCSI, a luminary in Indonesia’s optical cable industry, boasts an impressive pedigree, being the first in the country to manufacture submarine cables with International Certification since 1996. Meanwhile, Matrix NAP Info has a distinguished track record of over 20 years as a submarine cable operator while serving Indonesia’s Internet Service Providers (ISPs) with its international bandwidth services. Mitsui & Co., Ltd., has been a key investor in other large-scale submarine cable networks such as Juno Cable.
Peter Djatmiko, CEO of both CCSI and VCS, remarked, “The Varuna Cable Systems is a testament to our vision of bolstering the digital landscape beyond Java. By uniting with Matrix NAP Info and Mitsui, we are poised to be the market leader in Indonesia’s submarine cable business.” Omar Syarif Nasution, Director of Matrix NAP Info, emphasized the synergy, stating, “The VARUNA network complements and extends Matrix NAP Info’s domestic services, marking a new chapter in our journey beyond Java. We expect that our collaboration in establishing Varuna will further support and drive inclusive domestic digital economic growth.” “Varuna project is the nation building project, particularly in the eastern part of Indonesia. This initiative not only contributes to the advancement of the nation but also aligns seamlessly with Mitsui’s business strategy in digital infrastructure development. By focusing our efforts on the Varuna project, we are fostering progress, empowering communities, and shaping a brighter future for Indonesia. Mitsui will utilize all our knowhow earned from development of infrastructure related projects all over the world,” said Shinichi Kikuchihara, President Director of PT Mitsui Indonesia.
