Telkom Indonesia and Etisalat Group are planning to build a data center in northwest Indonesia.
The state-owned telco and the UAE-based telco are reportedly planning to invest up to $100 million in a facility in Nongsa Digital Park at Batam, Riau Islands, according to a government statement.
“Telkom companies from the United Arab Emirates, Etisalat and Telkom plan to invest up to US$100 million to build a data center in Nongsa Digital Park,” said a statement from Indonesia’s Coordinating Ministry for the Economy last week. Neither company has released an official comment about the news.
Batam is the largest city in the Riau Islands and located close to Singapore, on the opposite side of the Singapore Strait.
The park, developed by Citramas Group, has been granted special economic zone (SEZ) status, which provides beneficial tax tariffs. The Indonesian Government says it is targeting data center developments from 150MW to 400MW at the 166.54-hectare park.
Nongsa Digital Park senior executive director Marco Bardelli has previously said around 20 data center firms were looking to build facilities in the park, which has allocated around 25 hectares for data centers. Singaporean firm Data Center First has reportedly bought 2.75 hectares of land at the park to build multiple data centers for clients.
Telkom opened a 29-rack neuCentrIX facility in Ulin, Banjarmasin, in May. The telco has built 18 neuCentrIX facilities in 13 cities across Indonesia, including one in Batam.
Etisalat announced a new wholesale data center in Kalba, UAE, in May.