INDONESIA – Microsoft’s first data centre has been officially launched in Indonesia, a major initiative to improve the country’s digital infrastructure and highlight it as a growing hub for cloud technology in South Asia.
Indonesia’s Minister of Communication and Digital, Meutya Hafid, inaugurated the Indonesia Central Cloud Region on Monday and represented President Prabowo Subianto at the ceremony.
Government officials said that the launch is a turning point in the country’s digital revolution. Meutya stated that the facility showcases global confidence in Indonesia’s technology policies and its preparedness to manage advanced systems such as artificial intelligence and cloud computing. Meutya said at the event:
“This is a testament to our commitment to digital sovereignty and technological progress.”
This investment by Microsoft will add US$2.5 billion to the economy and create 60,000 employment opportunities by 2028. Moreover, 1 million Indonesians will be trained in digital skills under this program, with more than 840,000 already involved in AI capability-building programmes.
Indonesia has now become South Asia’s second-largest data centre market, with 84 facilities, followed by Singapore’s 99. Southeast Asia is still an underdeveloped market, with cloud infrastructure trailing behind developed tech economies.
The Southeast Asian data centre market will get a hike from $10.23 billion in 2023 to $17.73 billion by 2029. The monthly data usage of the region will be tripled by 2025, making further expansion of cloud infrastructure and other related services necessary.
