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Preparing for an AI Industry Leap, Deputy Minister Nezar Patria Reveals Strategy to Enter the Global Supply Chain

3 hours ago | Artificial Intelligence


Jakarta, INTI - Indonesia is beginning to position itself in the global AI industry race.

Through semiconductor partnerships with various countries and global technology companies, the government is laying the groundwork for a national industrial ecosystem and digital talent development to compete in the era of artificial intelligence (AI).

“We do not want to remain merely a market. We want Indonesian digital talent to master the fundamentals of AI technology and develop homegrown AI models,” he stated during the President Club Series keynote speech themed Strengthening National Resilience in the Era of Artificial Intelligence in Central Jakarta on Tuesday, May 19, 2026.

Indonesia Strengthens AI and Semiconductor Ecosystem 

According to Deputy Minister Nezar Patria, the initiative is an essential part of the government’s strategy to close Indonesia’s gap in the rapidly evolving global AI competition.

“The government has established cooperation with several semiconductor industries in Europe, Japan, and also Arm in the United Kingdom. During the President’s visits to various countries, semiconductor issues have become a strategic topic of discussion,” he explained.

Nezar acknowledged that Indonesia has not yet been part of the main supply chain in the global AI industry.

As a result, the government is moving quickly with strategic measures to build a domestic AI industry ecosystem while strengthening the country’s digital talent pool.

The development of the AI industry is closely tied to the semiconductor sector, which serves as the foundation of modern computing technology, including GPUs and AI data centers.

“When we talk about the AI industry, we are talking about building the industrial ecosystem and preparing digital talent. These two aspects cannot be separated,” he said.

Strategic Natural Resources Support Indonesia’s AI Ambitions

Nezar further noted that Indonesia holds strong potential to advance deeper into the global AI industry, supported by abundant strategic natural resources such as nickel, cobalt, tin, silica sand, and zinc, all of which are crucial for chip and semiconductor manufacturing.

“We have a significant amount of natural resources essential for the semiconductor industry. Unfortunately, most are still exported as raw materials. That is why downstream industrialization is crucial so Indonesia does not remain only a technology market,” he explained.

He also highlighted the intense global competition in AI development, which is currently dominated by the United States and China.

According to him, control over semiconductors and computing capacity will become decisive factors in determining a nation’s competitiveness in the future.

“Chips will become the key factor in determining whether a nation can compete in advanced technology battles such as artificial intelligence,” he stressed.

During the event, Nezar also reaffirmed that the government is preparing a National AI Roadmap as a strategic guideline for Indonesia’s AI development toward the vision of Digital Indonesia 2045.

“This National AI Roadmap is not merely a bureaucratic document, but our social contract for Indonesia’s future technology,” he concluded.

Conclusion 

Indonesia is accelerating its efforts to secure a stronger position in the global AI race by developing its semiconductor ecosystem, strengthening digital talent, and maximizing its strategic natural resources. Through international partnerships and the National AI Roadmap, the country aims to transform itself from a technology market into a competitive force in the future AI industry.

Read more: Ministry of Communication and Digital Affairs of Indonesia to Limit Children’s Access to Social Media and Digital Platforms After TikTok and Roblox Concerns

Indonesia Technology & Innovation
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