Indonesia’s Data Center Industry Heating Up

data center

  • Regulatory Shifts: Indonesia is considering data localization enforcement by 2024, which is expected to spur data center demand and attract new investments.
  • Local Conglomerates' Surge: Telkom's subsidiary NeutraDC aims for a 400 MW capacity by 2030, while conglomerates like Sinar Mas, Salim Group, and Saratoga Investama actively expand in Indonesia's data center industry.
  • Geo-Political Opportunity: Amid South China Sea tensions, Indonesia could emerge as an attractive destination for data center investments.
  • Challenges in Renewable Energy: Despite vast renewable energy resources, Indonesia faces obstacles such as PLN oversupply, regulatory complexities, and the need for cost-effective electricity production to meet the rising demand for eco-friendly data centers. The upcoming revision of regulations and Indonesia’s new renewable energy law are expected to be game-changers for the country's renewable development.
  • Powerhouses and Fortresses: Leaders and Tier 4 Glory: BDx Indonesia, PDG, DCI Indonesia, NeutraDC, and other key players are making strategic expansions and advancements in digital infrastructure. Uptime Institute crowns four with Tier 4 certification, placing DCI Indonesia at the forefront.

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