What is the story about?
What's Happening?
Digital Edge, a Singapore-based data center operator, has secured IDR 5.5 trillion ($325 million) in funding from Bank Central Asia (BCA) to expand its operations in Indonesia. The funds will support new build expansions in the Jakarta metro area, refinance existing facilities, and complete the final phase of the EDGE2 site in South Jakarta. The EDGE2 facility, which went live in February 2024, is the largest data center in the metro area, offering significant IT load capacity and interconnectivity options. BCA views Indonesia's digital economy growth as a significant opportunity, supporting Digital Edge's infrastructure development.
Why It's Important?
The expansion of Digital Edge's data center operations in Indonesia is crucial for supporting the country's growing digital economy. As Indonesia is the world's fourth most populous country, the demand for robust digital infrastructure is increasing. The funding from BCA enables Digital Edge to enhance its capabilities to meet this demand, providing essential services for hyperscale and AI deployments. This development is likely to attract more businesses and technology investments to Indonesia, boosting the local economy and digital innovation.
What's Next?
Digital Edge plans to continue its expansion efforts in Indonesia, focusing on sustainable and market-leading digital infrastructure development. The company aims to leverage its enhanced facilities to attract more hyperscale and AI deployments, further solidifying its position in the Indonesian market. As the digital economy grows, Digital Edge may explore additional opportunities for expansion and collaboration with local and international partners.
Beyond the Headlines
The expansion of digital infrastructure in Indonesia could lead to increased access to technology and internet services for the population, potentially reducing the digital divide. This development may also encourage more local startups and tech companies to emerge, fostering innovation and economic growth. The focus on sustainability in infrastructure development highlights the importance of environmentally responsible practices in the tech industry.
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