Indosat & Safaricom forge AI & fintech partnership
Indosat Ooredoo Hutchison and Safaricom have agreed a partnership focused on using artificial intelligence in telecoms operations and deepening collaboration on mobile financial services.
The deal links Indosat's strategy to position itself as an AI-focused operator in Indonesia with Safaricom's experience in mobile money services and digital ecosystems built around M-PESA. Plans cover customer engagement, fraud management, network investment and talent development.
They will work on AI-driven decisioning for customer interactions, including predictive care to identify and resolve network issues before customers notice an impact. The scope also includes product recommendations for prepaid users and conversational AI for customer support.
Indosat also plans to draw on Safaricom's operational experience in mobile financial services to strengthen resilience, security and personalisation in digital financial journeys. Focus areas include AI-based fraud and risk management, payment reliability during peak periods, and expanded merchant and ecosystem functionality.
Both companies operate in markets where smartphone use and digital payments have grown quickly in recent years. Across the sector, telecoms groups have increased investment in data networks, digital channels and partner ecosystems, while promoting AI as a way to reduce customer service costs and improve network performance.
Fintech focus
Safaricom is best known for M-PESA, a widely used mobile money service in Kenya and other markets where the company has expanded its model. The partnership positions that experience as relevant to Indosat's ambitions in digital financial services in Indonesia, where telecoms and financial institutions compete for share in payments and consumer financial products.
Planned work in financial services includes AI-powered fraud detection and risk management, improved payment reliability during high-traffic periods, and more tailored offerings based on customer behaviour.
Indosat provides mobile services and also offers ICT solutions, data centres, fibre services, electronic payments and other digital products. It has been promoting a broader shift in how it develops services and operates its network.
Network investment
The partnership also addresses network planning and capital investment. The companies will explore "CNX-based Smart CAPEX" and use AI-led insights to make investment decisions more precise and demand-driven, with a focus on high-growth and underserved areas.
No financial terms, governance details, delivery timelines, or plans for joint product launches were disclosed. The statement also did not say whether the partnership includes technology vendors or shared platforms.
Talent plans
The partnership includes joint work on leadership and skills, including building "AI-fluent executives" and developing "Business-AI Translator" roles. Plans also include cross-organisational learning and short-term secondments.
Telecoms groups have increasingly highlighted talent development as part of AI strategies, as machine learning tools spread into network operations, marketing and customer care. Operators have also sought to move beyond pilots and define repeatable operational approaches for AI use cases.
Vikram Sinha, President Director and Chief Executive Officer at Indosat Ooredoo Hutchison, described the partnership as a shift towards implementation.
"This partnership with Safaricom is about moving from aspiration to action. By combining Indosat's AI-Native ambitions with Safaricom's proven fintech and ecosystem expertise, we are focused on delivering innovations that customers can genuinely feel from smarter networks and safer digital transactions to more personal and intuitive experiences. Ultimately, this is part of our larger purpose to empower Indonesia's digital future and ensure no one is left behind."
Peter Ndegwa, Chief Executive Officer at Safaricom, said the collaboration brings together the companies' strengths in AI and digital finance.
"Our partnership with Indosat is built on our respective strengths, their bold AI‐native transformation and our deep experience in building Africa's most trusted digital and financial ecosystem. We come together with Indosat, firmly guided by our purpose of transforming lives, creating technology that genuinely improves how people live, work, and connect. From smarter networks and safer transactions to more intuitive digital experiences, this collaboration goes beyond innovation; it is about shaping inclusive digital economies where individuals, businesses, and communities can thrive."
The companies see the next phase of growth in emerging markets as depending on how networks, platforms and financial services work together, with further work expected across customer experience, financial services operations and network investment planning.