technology

Metrodata And FPT Launch Joint Venture To Lead Cybersecurity And AI Transformation

On September 23, 2024, PT Metrodata Electronics Tbk (“Metrodata”) and FPT IS Company Limited (“FPT”) officially signed a partnership agreement to establish a joint venture called PT FPT Metrodata Indonesia (“FMI”). This collaboration between the two major companies is part of an ambitious strategy to seize new market opportunities, focusing on investments in R&D, intellectual property development, and top-notch professional services.

Indonesia, recognized as one of the fastest-growing digital economies in Southeast Asia, is projected to become the largest digital economy in the region by 2030. According to the e-Conomy SEA 2023 report, Indonesia's digital economy is expected to reach $360 billion by 2030, up from $110 billion in 2025. As the digital landscape evolves in the country, Indonesia is also poised for opportunities in Cybersecurity Management and Artificial Intelligence (AI) transformation.

In the initial phase, FMI will concentrate on developing cybersecurity services, followed by AI services, GPU cloud services, and software development. The joint venture aims to become a leading company in cybersecurity services and AI transformation in Indonesia, targeting a business run-rate of $100 million within the next five years.

Market Opportunities for Cybersecurity as a Service in Indonesia

Trust is the foundation of any economy, and in the digital realm, cybersecurity is crucial for maintaining trust among market players. According to a Frost & Sullivan report, the cybersecurity as a service market in Indonesia is expected to reach around USD 125 million by 2024, with an annual growth rate (CAGR) of about 20%.

This growth is primarily driven by recent national cybersecurity incidents, a shortage of resources and talent, and new government regulations, particularly concerning the enforcement of personal data protection laws set to take effect in 2024.

FMI is in a great spot to tap into the growing demand while helping companies build the trust they need to thrive in the digital economy. Tran Dang Hoa, the Chairman of FPT IS, mentioned, “FPT has invested heavily to position our products and services to seize AI transformation opportunities in the global market. We’ve earned the trust of customers worldwide and achieved $1 billion in software export revenue from international markets.

Right now, FPT has identified AI as its main development strategy. This joint venture will create opportunities and advantages for us to realize this strategy. We are committed to investing together to ensure that FMI leads the Cybersecurity and AI transformation market, delivering value based on technological strengths to businesses in Vietnam and Indonesia.”

As the largest IT player in Indonesia, Metrodata brings valuable local market insights, while FPT, a global leader in digital transformation, offers extensive expertise in software development, cybersecurity, and artificial intelligence. Together, they will drive innovation and create advanced intellectual property products and services specifically designed for Indonesia.

Susanto Djaja, President Director of PT Metrodata Electronics Tbk, added, "Metrodata will celebrate its 50th anniversary in 2025. This is our aspiration and commitment to celebrate another 50 years of success."

Tag: AI Transformation Cybersecurity FPT Metrodata