Jakarta, INTI - The data center business in Indonesia is expected to grow rapidly with the increasing adoption of artificial intelligence (AI). Yudha Permana, Director of Business & Commercial at Digital Realty Bersama, predicted that the need for data center capacity has the potential to surge in the near future.
This is because the domestic demand for data center capacity to support AI has currently reached around 500 megawatts. Yudha predicted that this number has the potential to double in the future.
Electricity and Water Needs
He said that this surge reflects the increasing need for computing to support various AI applications, both at the enterprise level and in the data center industry. However, behind this growth prospect, several major challenges remain, particularly regarding the availability of electricity and water.
"There is actually a power surplus within the city, but accommodating large needs like 100 megawatts will be a challenge. Not to mention the water required for cooling systems, which must also be taken into account," he explained.
Yudha emphasized that large-scale power and cooling systems are crucial factors in the development of next-generation data centers, particularly those designed for AI workloads. He also assessed that the market’s readiness is a challenge. Currently, the use of AI in Indonesia is still in its early stages and tends to be exploratory.
"Many are still experimenting, not daring to go big. Therefore, market education is also important so that AI can be truly used to improve productivity and decision-making," he said.
Conclusion
The data center business in Indonesia is projected to grow rapidly in line with the increasing adoption of AI, with current capacity requirements reaching around 500 megawatts and potentially doubling in the near future. This increase reflects the surge in computing demand across various sectors, both enterprise and industrial data centers. However, development still faces significant challenges related to electricity availability and water requirements for cooling systems. Furthermore, the AI market readiness in Indonesia is still relatively early.
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