AWS Is Investing USD 5 Billion In Indonesia, According To The Minister Of Communication And Information. This Will Make Indonesia A Central Hub For The ASEAN Digital Ecosystem

Friday, 10 Jan 2025

The Ministry of Communication and Digital (Kemkomdigi) has reaffirmed its commitment to making Indonesia a digital ecosystem hub in ASEAN by extending its strategic partnership with Amazon Web Services (AWS). The memorandum of understanding, which was initially established from 2022 to 2024, has now been extended to address the challenges of digital transformation and the need for national digital talent development.

"We not only appreciate AWS's contributions but also emphasize that Indonesia is a strategic market with much greater potential than other countries in the ASEAN region. Therefore, we urge AWS to increase its investment in Indonesia to ensure balanced growth in line with our potential," said the Minister of Communication and Digital, Meutya Hafid, during a meeting with AWS Asia Pacific executives at the Kemkomdigi office on Wednesday (January 8).

Meutya Hafid firmly requested AWS to consider the projected growth of data center capacity in Indonesia, which is expected to surge by 260% in the coming years, as a significant opportunity for expanding investment. Currently, AWS has invested 5 billion USD in Indonesia since 2021, a figure that is expected to rise with the strengthening of the digital economy.

"Indonesia is not only a large market but also a strategic one. The potential for artificial intelligence (AI) and cloud infrastructure cannot be overlooked. I encourage AWS to allocate a more balanced investment proportion in the ASEAN region, with Indonesia as the top priority," Meutya emphasized.

In response, Quint Simon, Head of Public Policy for AWS Asia Pacific & Japan, stated that the 5 billion USD investment in Indonesia is the largest AWS has ever made globally. "We are building the entire AWS region in Indonesia and are committed to a 15-year investment period, from 2021 to 2036. This shows that Indonesia is our priority," Quint said.

AWS is committed to supporting the development of digital talent in Indonesia through cloud computing training and certification programs. This initiative aims to create a skilled workforce ready to compete in the global digital economy.

As the largest digital economy in Southeast Asia, Indonesia is projected to reach a digital economy value of 130 billion USD by 2025. The Minister of Communication and Information emphasized that the collaboration with AWS is not just about investment, but also about ensuring Indonesia becomes a center for digital transformation in ASEAN.

"This is Indonesia's moment to showcase its leadership. We will continue to encourage global partners like AWS to maximize their contributions to ensure Indonesia becomes the largest digital power in the region," stated Meutya Hafid.

Through this partnership, the Ministry of Communication and Information is accelerating inclusive, empowering, and trustworthy digital transformation.



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