Jakarta, INTI - The government has reaffirmed that Indonesia is adopting a collaborative approach in building its national Artificial Intelligence (AI) industry amid rising global geopolitical rivalry and intensifying competition for influence in the global semiconductor sector.
Deputy Minister of Communication and Digital Affairs Nezar Patria stated that Indonesia does not want to be trapped in a model of technology control that is overly centralized by governments or specific groups. Instead, the government is promoting the development of an open, inclusive, and multi-stakeholder AI ecosystem.
“This is the moment for Indonesia to demonstrate technological leadership. The government is opening the broadest possible collaboration, not only relying on the role of the state, but also encouraging industry players and all stakeholders to work together in building an AI ecosystem that provides wider access,” Nezar said.
According to him, this approach is an important strategy for Indonesia as a middle-power nation amid global trends that increasingly favor stronger state control over technology.
Nezar believes that overly dominant control of technology could create a closed ecosystem that is unhealthy for innovation.
“Indonesia is not choosing a path that leads to full state domination over technology because it has the potential to create an unhealthy ecosystem for innovation,” he explained.
Semiconductor Competition and Digital Talent Development
During the forum, Nezar also highlighted the shift in the global geopolitical landscape from competition over fossil energy resources toward the race for semiconductor technology dominance.
“In the past, oil symbolized global power. Today, semiconductors have become the strategic power of the 21st century,” he said.
He explained that global competition in the chip industry involves major powers such as the United States, China, and Europe, all competing to strengthen their positions within the global technology supply chain.
Amid the competition, Indonesia still faces challenges as it has not yet been fully integrated into the global AI and semiconductor supply chain.
“Indonesia is currently not part of the global AI supply chain. From my visits to semiconductor industries in Batam, there are still no Indonesian-made components involved in the production process,” Nezar revealed.
Nevertheless, the government believes Indonesia has significant opportunities to enter the global ecosystem through the utilization of its strategic mineral resources.
Indonesia possesses important mineral reserves such as nickel, cobalt, and gold, which are essential raw materials for the semiconductor and digital technology industries.
“The challenge now is ensuring these minerals are not merely exported as raw materials, but processed domestically to become part of the global technology industry supply chain,” he explained.
In addition to strengthening resource-based industries, the government is also positioning digital talent development as a key foundation for national technological transformation.
Through the AI Talent Factory program, the Ministry of Communication and Digital Affairs is collaborating with universities, research centers, and various stakeholders to prepare human resources with AI-related skills.
“We want to develop digital talent capable of becoming the main driving force behind national AI development,” Nezar stated.
With a combination of strategic natural resources and stronger digital talent development, the government remains optimistic that Indonesia can secure an important position within the global AI industry while maintaining national sovereignty and interests.
“As a middle-power country, Indonesia is choosing a balanced approach by leveraging critical minerals and strengthening digital talent as the foundation for responding to global technological developments,” Nezar concluded.
Conclusion
Indonesia is pursuing a collaborative and balanced strategy to strengthen its position in the global AI industry by combining open innovation, strategic mineral resources, and digital talent development while maintaining national interests and technological sovereignty.
Read more: Deputy Minister Nezar: Indonesia Has the Opportunity for a Strategic Position in the Global AI Supply Chain