Center of Excellence Focus on high growth or high value portfolio Accelerate international expansion Cost transformation IDN id-Access, id-Ring, id-Con Development Indonesia Digital Solution “IDS” – Convergent services in digital ecosystem solution

- 50 - In 2013, we continued to adapt to the dynamics of the industry by updating our strategic initiatives with a focus on implementing the TIMES business framework and strengthening internal consolidation. We believed that these strategic initiatives support the comprehensive transformation of our organization, business portfolio, infrastructure, systems, and corporate culture that we believed was necessary to realize our vision of becoming a leading TIMES company in the region. Besides providing a new growth stream, we believed that our TIMES business also helped to promote the sustainable growth of our traditional telecommunications business. To achieve the objective of these three corporate broad strategies, we have developed the following 10 strategic initiatives:

1. Center of Excellence

In order to improve our business performance and implement a new corporate culture we have established the “Telkom Corporate University”, which aims to educate our employees in order to meet international standards in the TIMES industry.

2. Focus on high growth or high value portfolio

We believe that deploying resources to the parts of our portfolio with the highest growth and value potential will ultimately generate the optimum value for Telkom Group. This includes supporting Telkomsel in order to sustain its growth and market position as well as developing broadband through our Indonesia Digital Network program.

3. Accelerate international expansion

We plan to pursue international expansion through partnerships, alliances and acquisitions, giving priority to the Asia Pacific region, the Middle East and North Africa. Our subsidiary TII will be our main vehicle for international expansion.

4. Cost transformation

We aim to improve cost efficiency and infrastructure capability, by utilizing technology multiplaymultiservicemultiscreen, leverage existing asset empowerment of the less productive assets and create a creative business model through partnerships to share costs.

5. IDN id-Access, id-Ring, id-Con Development

We plan to support our MP3EI Government’s Master Plan for the Acceleration and Expansion of Indonesias Economic Development target of attaining broadband access to 30 of households in Indonesia by the year 2015. IDN Indonesia Digital Network is also intended to bridge the digital divide.

6. Indonesia Digital Solution “IDS” – Convergent services in digital ecosystem solution

We developed the IDS strategic initiative to support the Indonesia Digital Network program such as the digital media ecosystem cooperation with best partners and differentiation through innovative business models and business solution ecosystem accelerate development of innovative business ecosystem convergence services for excellent customer experience space.

7. Indonesia Digital Platform “IDP” – Platform enabler for ecosystem development