Wednesday, May 29, 2024

Nvidia, Indosat to invest US$ 200 million in AI center in Surakarta

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In a groundbreaking collaboration, American chip giant Nvidia, in partnership with PT Indosat (ISAT), is set to invest in the field of artificial intelligence (AI) in Indonesia. The technology behemoth will inject US$ 200 million (IDR 3 trillion) into the development of an AI center in Surakarta, Central Java.

“Both Nvidia and Indosat have been committed to investing US$ 200 million or around IDR 3 trillion to build Indonesia AI Nation,” Budi Arie Setiadi, Minister of Communication and Informatics, said on Wednesday, April 3, 2024.

The plan has garnered attention from several foreign media outlets, including Reuters and Channel News Asia, which have broadcasted the news.

It’s worth noting that last year, Indonesian Minister of Maritime Affairs and Investment, Luhut Binsar Pandjaitan, directly invited Nvidia’s bosses to study and develop AI technology in Indonesia. This invitation was extended by Luhut during his visit to San Francisco, USA.

“I also invited them to Indonesia, and it turns out they are already in Indonesia, and they will come with the CEO or founder of the company,” Luhut said on his personal Instagram account (@Luhut.pandjaitan) on August 15, 2023.

The investment will be made in Solo Technopark, a science and technology area located on Jl. Ki Hajar Dewantara No. 19 Jebres, Surakarta. 

“So, this is the AI hub in Indonesia. Its name is Indonesian AI Nation,” Budi said.

“Why Surakarta? Because they are ready, they have human resources and excellent 5G infrastructure,” he said as quoted by Reuters.

Indosat and Nvidia have not immediately responded to this investment plan.

According to Budi, the AI center investment plan has been conveyed by Indosat’s leaders to the Mayor of Surakarta, Gibran Rakabuming Raka, who is also the Vice President Elect.

He said that the Chief Executive Officer of Indosat Ooredoo Hutchison, Vikram Sinha, has expressed this investment commitment to Gibran.

He also mentioned that the investment by Nvidia and Indosat will consist of infrastructure and talent development.

“Stay tuned for details. This news is fresh, and the commitment to this investment is being finalized quickly,” Budi said.

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