Nvidia, Indosat Join Forces to Build New AI Center in Indonesia

Nvidia Corporation and PT Indosat Tbk or Indosat Ooredoo Hutchison have inked a deal to jointly build an artificial intelligence center in Indonesia. A local government official revealed the partners’ plan this week.

Nvidia and Indosat, an Indonesian telecom and internet service company, will invest $200 million in the project. This is said to be a strategic deal that will allow the American software and technology firm to expand its business in the country.

Nvidia’s Southeast Asian Growth Ambitions

This setting up of its regional AI hub is said to be part of the company’s ambitious scheme to magnify its footprint in Southeast Asian territory, which is currently experiencing an outpouring of data demand boosted by the growing digital economy.

At any rate, Bloomberg reported that Nividia and Indosat agreed to construct the artificial intelligence center in Surakarta, which is located in Central Java province. Budi Arie Setiadi, the country’s Communication and Information Technology Minister, confirmed this earlier this week.

AI Advancement in Indonesia

As per CNBC, Minister Budi Arie lauded the AI initiative and pointed out the center’s potential to drive Indonesia into the modern era of the artificial intelligence business and other technological developments. It was noted that the partnership with Nvidia came a month after Indosat announced it was ready to use Blackwell, Nvidia’s next-generation chip architecture for generative AI.

Moreover, Indosat said at that time that it would integrate the advanced chip into its infrastructure to attain its ambition of “propelling Indonesia into a new era of sovereign AI and technological advancement.” Meanwhile, the new AI facility is expected to boost the local telecommunications infrastructure and digital talent, generate new jobs for the locals, and give the local economy a good push.

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