Bit & Electronics Expands Business Area in Indonesia with Bitsrosis

Bitgwa Electronics, a specialized manufacturer of optical communication module components, announced on the 25th that it has signed a business agreement with Bitsrosis, a global smart city solution company, to enter the Indonesian telecommunications market and expand its business scope.

Through this MOU, the two companies will ▲ provide and exchange management information and sales activity data such as prospects, issue reviews, and data research for domestic and international optical industry and telecommunications service sectors,

▲ jointly expand business areas including installation and production of optical cables in Indonesia, ▲ import and supply of raw materials for optical transceivers locally, ▲ exchange and training of human resources in management, research and development, quality, and sales, and ▲ cooperate in feasibility studies, investment, and research activities for joint new businesses.

Bitsrosis established its local subsidiary, Bitsrosis Global Indonesia, to enter the Indonesian capital relocation project and recently won a contract for the construction of internet broadband communication infrastructure. Bitgwa Electronics plans to improve profitability by supplying optical cables, equipment, and optical transceivers locally in Indonesia through collaboration with Bitsrosis.

A company representative stated, “The Indonesian optical cable internet broadband business is rapidly growing in line with the local government’s digital hub and planning policies, and the demand for telecommunications components such as optical cables is also increasing quickly. Expanding overseas business areas through collaboration with Bitsrosis is expected to be an opportunity to overcome the telecommunications market downturn and improve profitability.”

Additionally, on the 24th, the two companies sought strong trust and co-growth investment by mutually acquiring convertible bonds worth 3 billion KRW through resale and new issuance. The purpose is to improve profitability through synergy effects from the Indonesian capital relocation project by cooperating in overseas business and investment to counter the domestic and international telecommunications market downturn.

Meanwhile, in August, Bitgwa Electronics was selected by the Ministry of Science and ICT as a leading company for supply chain stabilization targeting 10G/25G full-band wavelength tunable optical transceivers in 2024, thereby establishing a foundation to stabilize the introduction, production, and provision of wavelength tunable light sources, which are core components of related optical transceiver products. Recently, the company also announced that the uncertainty from the tax audit was removed and the business organization was reorganized following the successful completion of the National Tax Service’s integrated corporate tax audit.