Jakarta, INTI – Chinese tech giant Tencent, through its business unit Tencent Cloud, continues to demonstrate its commitment to supporting Indonesia's digital transformation by building its third data center. With an investment of USD 500 million or approximately IDR 8.1 trillion, this new facility will complement the two existing data centers. This move is in response to Indonesia's rapid digital economic growth and the increasing demand for cloud computing and artificial intelligence (AI) services.
Strategic Investment in Indonesia
Vice President of Tencent Cloud International and Managing Director of Southeast Asia, Jimmy Chen, stated that the third data center would be built this year. However, the specific location has not been disclosed for privacy and security reasons.
Senior Executive Vice President of Tencent and CEO of Cloud and Smart Industries Group (CSIG), Dowson Tong, explained that the decision was made considering Indonesia's dynamic economic climate and digitally savvy population. "Our decision to build a third data center in Indonesia is based on the country's dynamic economic climate and its increasingly tech-savvy population," said Dowson.
The Role of AI and Cloud Computing in Cost Efficiency
At the Tencent Cloud Day Indonesia event, held for the first time in the country, Tencent highlighted the crucial role of AI and cloud computing in enhancing cost efficiency for both businesses and government agencies. These technologies are expected to offer more cost-effective solutions aligned with Indonesia's efficiency-driven government policies.
One of the latest innovations introduced is AI-based palm scanning technology. This technology has already been implemented in China as a more secure payment method compared to QR codes. Tencent hopes to bring this technology to Indonesia in the near future.
Collaboration with Local Partners
As part of its expansion in Indonesia, Tencent Cloud has formed partnerships with various local companies, including GoTo, Telkomsel, Allo Bank, Bank DKI, DANA, Ruangguru, and Everywhere.id. Additionally, Tencent Cloud announced new collaborations with Mega Buana Teknologi and Noctua, while strengthening partnerships with other enterprises.
The implementation of Tencent Cloud's technology in Indonesia has already been seen in various applications, such as:
- Bank Neo Commerce utilizes Tencent Cloud's SQL database to process over 5 million transactions per day.
- Telkomsel leveraging SuperApp-as-a-Service and AI-based palm scanning verification to enhance e-commerce transaction security.
- Everywhere.ID integrating Tencent Cloud's AI technology to provide a more interactive live streaming experience.
Localization Strategy and Knowledge Transfer
Tencent Cloud is also focused on localization strategies by understanding the needs of Indonesian customers. Vice President of Marketing at Tencent Cloud and Smart Industries Group, Freda Xu, emphasized that the company continuously learns from its local partners to provide more relevant and effective solutions. "We have a strategic partnership with GoTo and various other companies. We constantly interact and explore ways in which Tencent Cloud can offer the best solutions for local communities," said Freda.
In addition to offering advanced technology, Tencent Cloud actively engages in knowledge transfer to local partners. Jimmy Chen reaffirmed that the company not only provides technology but also tailors its services to meet the specific needs of Indonesian clients.
Long-Term Commitment to Indonesia
The establishment of a third data center in Indonesia underscores Tencent Cloud's long-term commitment to supporting the country's digital economic growth. With more than 50 availability zones across 21 regions globally, Tencent Cloud continues to expand its service coverage in Indonesia.
"Tencent Cloud remains dedicated to empowering local businesses by driving innovation, enhancing competitiveness, and achieving business objectives through advanced cloud, AI, and media solutions," said Dowson Tong.
With these strategic initiatives, Tencent Cloud is strengthening its role in supporting Indonesia's digital transformation, enabling cost efficiency, and fostering technology-driven innovation for a brighter future.
Conclusion
Tencent Cloud's significant investment in Indonesia highlights its strong confidence in the nation's digital economy. The development of the third data center is expected to enhance the country's cloud infrastructure, providing businesses and government agencies with more reliable and efficient digital solutions.
By fostering collaborations with local partners and advancing AI and cloud computing technologies, Tencent Cloud is positioning itself as a key player in Indonesia’s digital transformation journey. Moving forward, its continued expansion and innovation will play a crucial role in shaping the future of Indonesia’s technological landscape.
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