Jakarta, INTI - ZTE Corporation and XLSmart have expanded their strategic partnership to accelerate the development of Artificial Intelligence (AI)-driven networks, 5G, and Fixed Wireless Access (FWA) technologies in Indonesia. The collaboration was formalized through the signing of a Memorandum of Understanding (MoU) at MWC Shanghai 2026 on July 27, 2026, marking a new phase in the companies' efforts to build smarter, more efficient, and future-ready telecommunications infrastructure that supports Indonesia's growing digital economy. The agreement builds upon the long-standing collaboration between the two companies.
Under the expanded partnership, ZTE and XLSmart will enhance AI capabilities across the entire telecommunications network, including the Radio Access Network (RAN), Transport Network, Core Network, and Network Operations. The initiative aims to improve operational efficiency, service quality, and customer experience while creating new broadband business opportunities through the expansion of FWA services.
James Zhang, Senior Vice President of ZTE, stated that Indonesia is one of Southeast Asia's fastest-growing digital markets, where demand for reliable connectivity and advanced digital services continues to rise. He noted that the partnership combines ZTE's expertise in AI, 5G, and FWA to develop intelligent, customer-centric networks while accelerating digital innovation, improving operational efficiency, and unlocking new broadband opportunities for both consumers and businesses.
As part of the collaboration, AI-powered network automation will be deployed to monitor network conditions in real time, predict traffic demand, and dynamically optimize resource allocation. These capabilities are expected to simplify network management, increase operational flexibility, and maintain service quality during periods of high data traffic.
AI-Powered Networks Drive Efficiency and Sustainability
AI implementation also plays a central role in the companies' energy efficiency strategy. Based on previous collaboration results, AI-driven network optimization has achieved more than 10% energy savings without compromising network performance or customer experience. This demonstrates that AI automation not only enhances operational efficiency but also contributes to sustainability goals through more efficient infrastructure utilization and reduced energy consumption. Moving forward, both companies will continue evaluating the initiative using measurable indicators, including network performance, operational efficiency, energy efficiency, and customer satisfaction.
Advancing 5G and FWA for Indonesia’s Digital Future
Beyond AI, ZTE and XLSmart will further strengthen the deployment of 5G as the foundation for next-generation digital services. Their collaboration includes expanding network capabilities, enhancing digital service quality, and leveraging 5G to accelerate the growth of Fixed Wireless Access (FWA). FWA utilizes cellular networks to deliver high-speed broadband connectivity to homes and businesses without requiring fiber-optic cables to individual premises, making it an effective solution for expanding broadband coverage while maximizing 5G infrastructure investments.
The partnership will also focus on advancing multiple aspects of the FWA ecosystem, including network evolution, Customer Premises Equipment (CPE) innovation, user experience enhancement, market development, and the exploration of new commercial opportunities. As the merged operator of PT XL Axiata Tbk, PT Smartfren Telecom Tbk, and PT Smart Telecom, XLSmart currently serves more than 69.4 million subscribers nationwide. The scale of its network makes AI-powered automation increasingly important for maintaining service quality while improving infrastructure management amid rising data traffic.
Rajeev Sethi, President Director of XLSmart, emphasized that AI will become a key driver of transformation in the telecommunications industry. He explained that the partnership with ZTE strengthens XLSmart's ability to build smarter, more automated, and highly efficient networks while delivering more reliable digital experiences for customers. According to Rajeev, the collaboration will also accelerate 5G and FWA business growth, optimize network and energy resources, and create new broadband opportunities for households and enterprises across Indonesia, ultimately reinforcing the country's digital infrastructure and supporting the expansion of the digital economy.
The MoU is also aligned with XLSmart's long-term strategy to expand 5G Blanket coverage throughout Indonesia. During 2026, the company plans to extend its 5G network to more cities while broadening residential 5G FWA services. Together with ZTE, XLSmart will continue exploring new AI applications, advancing 5G technologies, and expanding FWA solutions with a strong focus on network performance, operational efficiency, energy optimization, customer experience, and sustainable business growth.
Conclusion
The expanded partnership between ZTE and XLSmart reinforces their shared commitment to accelerating Indonesia's digital transformation through AI-driven network automation, advanced 5G deployment, and expanded FWA services. By combining intelligent infrastructure with next-generation connectivity, the collaboration aims to enhance network performance, improve operational efficiency, support sustainable growth, and deliver more reliable digital experiences for consumers and businesses across the country.
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