Nvidia, the U.S.-based tech giant, is set to establish a $200 million artificial intelligence center in Indonesia, in collaboration with local telecommunications leader Indosat Ooredoo Hutchison. This move signifies Nvidia’s strategic advancement into Southeast Asia, aiming to capitalize on the region’s burgeoning digital economy.
The new AI center, located in Surakarta, Central Java province, will play a pivotal role in enhancing Indonesia’s telecommunications infrastructure and developing local digital talent. According to Budi Arie Setiadi, Indonesia’s Communication and Information Technology Minister, the center will contribute significantly to the country’s technological advancement.
Indosat Ooredoo Hutchison’s integration of Nvidia’s next-generation chip architecture, Blackwell, underscores the partnership’s commitment to advancing Indonesia’s AI capabilities. This integration is expected to drive Indonesia towards a new era of sovereign AI development and technological prowess.
Indosat Ooredoo Hutchison, formed from a merger between Qatar’s Ooredoo and Hong Kong’s CK Hutchison, stands as Indonesia’s second-largest mobile telco. The partnership with Nvidia underscores its dedication to staying at the forefront of technological innovation in the region.
Nvidia’s expansion into Indonesia is part of a broader strategy to strengthen its presence in Southeast Asia. In January, Nvidia partnered with Singapore’s Singtel to deploy AI capabilities in data centers across Southeast Asia, aiming to provide businesses in the region with access to cutting-edge AI computing power.
Southeast Asia has emerged as a significant revenue driver for Nvidia, with a substantial portion of its revenue derived from the region. Notably, Singapore accounted for about 15% of Nvidia’s revenue in a recent quarter, showcasing the region’s importance to the company’s global operations.
Nvidia’s increased focus on Southeast Asia aligns with the region’s growing demand for AI and digital solutions. As Southeast Asia’s digital economy continues to expand, partnerships like the one between Nvidia and Indosat Ooredoo Hutchison are poised to play a crucial role in driving technological innovation and economic growth in the region.
(Source: Capacity Media | Nikkei Asia | Reuters)
