The global artificial intelligence (AI) market is projected to surge from its current value of around US$400 billion (Rp6,500 trillion) to US$1.4 trillion within the next four years, according to data from the University of Oxford.

Speaking at the NeutraDC Summit in Bali on Monday, August 25, 2025, Oracle Cloud AI Sourcing Vice President, Dan Madrigal, highlighted that this rapid growth will drive energy demand from the current 80 gigawatts to as much as 180–185 gigawatts.

“The market demand is US$1.4 trillion, while the required gigawatt capacity is at least 180. This means there will need to be greater efficiency in AI over the coming years,” Madrigal said.

He noted that the rising demand not only requires advances in technological efficiency but also massive energy infrastructure support, posing a significant challenge for many countries, especially in Asia.

In 2020, Southeast Asia recorded investments worth US$120 billion, with US$10–12 billion flowing into Asian and African markets. However, Madrigal stressed that certain regions, such as India, still face an investment gap despite strong AI demand.

Industry players argue that additional investment, infrastructure development, and cross-sector collaboration will be critical to meet these needs.

“Thousands of companies and hundreds of startups are racing to adopt AI, making speed, scalability, and flexibility key factors for growth,” he said.

Beyond capital and energy requirements, Madrigal emphasized that human factors remain essential. While AI can boost productivity and replace certain tasks, human connection and execution remain irreplaceable.

“History shows that the promises of technology are often overstated, but its social and policy impacts are frequently underestimated,” he cautioned.

He concluded that AI growth must be balanced with proper regulation and a healthy ecosystem to ensure its benefits are widely shared and not misused.