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Microsoft to Invest Rp28 Trillion in Indonesia, Says Minister

30 April 2024 16:02 WIB

TEMPO.CO, Jakarta - Tech giant Microsoft has recently been confirmed to make a significant investment of US$1.7 billion, or approximately Rp27.6 trillion, in Indonesia, to advance cloud computing and artificial intelligence (AI) within the archipelago.

Indonesian Minister of Communications and Information Technology (Kominfo) Budi Arie Setiadi confirmed the investment plan following the meeting between Microsoft CEO Satya Nadella and Indonesian President Joko Jokowi Widodo today, April 30, at the Jakarta State Palace.

“The investment value is nearly Rp28 trillion,” Budi said at the Kominfo Building on Tuesday, April 30.

Microsoft has development plans for four years in Indonesia. Budi said this collaboration marks a positive turning point for Indonesia as a nation that is considered a player in the global ecosystem. AI development provides a technological advantage and extends to various other sectors.

Microsoft, Budi explained, is keen to produce 840,000 digital talents specifically for AI in Indonesia. Meanwhile, Kominfo has its scholarship program dedicated to digital talent. 

“I’ve already said that after this meeting, we will detail everything with Microsoft,” he remarked.

At least 210,000 Indonesian youth will receive training to hone their AI skills over the next four years, and the government is committed to assisting.

“As proposed by the president, there will be a special research center for AI in Indonesia,” he added.

According to Budi, President Jokowi has offered Microsoft the option to develop its investment plans in Bali or the State Capital of Nusantara, or IKN, in East Kalimantan. The President has also specifically asked Microsoft to help build the smart city of IKN.

Microsoft's investment commitment to Indonesia began with the signing of a memorandum of understanding (MoU) between the Kominfo Ministry and Microsoft in March 2024. Under this MoU, Microsoft pledged its support for human resources development in the digital sector and the strengthening of government infrastructure and digitalization.

AISYAH AMIRA WAKANG

Editor's Choice: Jokowi Discusses Huge Investments in AI with Microsoft CEO

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