Nvidia announces plans to establish a $200 million artificial intelligence center in Indonesia, in collaboration with local telecommunications company Indosat Ooredoo Hutchison. This move reflects Nvidia’s strategic expansion efforts into the Southeast Asian market, signaling its commitment to leveraging artificial intelligence technologies in the region. Indonesia’s Communication and Information Technology Minister, Budi Arie Setiadi, reveals plans for the new Nvidia artificial intelligence center to be situated in Surakarta, Central Java province. The facility aims to enhance local telecommunications infrastructure, bolster human resources, and foster digital talent development. This collaboration between Nvidia and Indosat Ooredoo Hutchison signifies a concerted effort to strengthen Indonesia’s technological capabilities and drive innovation in the region.
Indosat Ooredoo Hutchison did not provide a response when approached for comment, while Nvidia declined to comment on the planned $200 million artificial intelligence center in Indonesia. This lack of response suggests that both companies may be keeping details of the project confidential or may not be ready to disclose further information at this time.
Last month, Indosat Ooredoo Hutchison revealed its readiness to incorporate Nvidia’s upcoming chip architecture, Blackwell, into its infrastructure. The integration aims to propel Indonesia towards a new era of sovereign artificial intelligence and technological advancement. This announcement underscores Indosat’s commitment to embracing cutting-edge technologies in collaboration with Nvidia, signaling a significant step forward in Indonesia’s digital transformation journey.
Indosat Ooredoo Hutchison holds the position as Indonesia’s second-largest mobile telecommunications company, resulting from a merger between Qatar’s Ooredoo and Hong Kong’s CK Hutchison in 2022. Nvidia’s expanding presence in Indonesia mirrors its broader push into Southeast Asia this year. This move aligns with the booming data demand in the region, driven by the rapid growth of the digital economy. Nvidia’s strategic focus on Southeast Asia reflects its commitment to capitalize on the region’s burgeoning opportunities in technology and data-driven industries.
The revenue generated from the small nation-state in that quarter surged by an impressive 404.1% compared to the $562 million recorded in the same period the previous year. This remarkable growth rate outpaced Nvidia’s overall revenue growth, establishing the small nation-state as the company’s fourth-largest market. This significant expansion highlights the increasing demand for Nvidia’s products and services in the region, underscoring the company’s strategic focus on capturing opportunities in emerging markets. Nvidia’s latest quarterly earnings report reveals that data centers accounted for the majority of its revenue, totaling $18.40 billion. This substantial revenue was driven by the global excitement surrounding artificial intelligence (AI) technology.
The surge in demand for Nvidia’s products and services in data centers reflects the growing reliance on AI-driven solutions across various industries, underscoring Nvidia’s pivotal role in powering the digital transformation landscape.