As the population is transitioning into a new digital world, Indonesia's data centre industry is here to stay and will see a much stronger growth phase in the years to come
Insight
Data centre in Indonesia: Unveiling the potential to become the next digital hub
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Major local and international data centre players, from developers, investors to end-users, have gradually entered the Indonesian market, attracted by Indonesia’s socio-economic potential:
- Indonesia is one of the biggest online markets globally with 1.25 mobile phones per capita1; As of 2020, there were around 200 million internet users2 and 170 million social media users1;
- Digital payment users and transaction value in Indonesia are expected to grow by 60% and 100% in the next five years respectively2.
- Cloud revenue is expected to triple over the next five years2.
- To some extent, 5G licences have been issued to some operators in mid-2021 and more to follow.
With the government improving the country’s infrastructure via reliable power sources and fibre optics for better network connectivity, more data centre facilities are expected inside and outside of the Greater Jakarta area.
Delve into our latest report to understand the opportunities and challenges for Indonesia’s data centres.
1. Digital 2020: Indonesia – We Are Social; Hootsuite
2. Statista