To support the increasing demand for the digital services essential to powering today's businesses, Equinix, a digital infrastructure company, has announced its expansion to Indonesia with plans for an approximately US$74 million International Business Exchange data centre in the heart of Jakarta.
Through this expansion, Equinix will enable Indonesian businesses and multinationals with a presence in Indonesia to leverage its trusted platform to bring together and interconnect the foundational infrastructure to power their businesses.
Driven by rapid business digitalization and a substantial digital-savvy population, Indonesia has emerged as Southeast Asia's largest digital economy in value. As a result, it is expected to be a key hub of interconnection in the region.
With major cloud service providers, such as Google Cloud, Amazon Web Services (AWS), Microsoft Azure and Alibaba Cloud, launching cloud regions in Indonesia, the country is forecast to become the second largest public cloud market in Southeast Asia. These trends collectively raise the need for increased digital services and data centre capacity in Indonesia.
“Our IBX data centre in Jakarta will add a strategically important, high-growth market to Equinix's extensive network of interconnected data centres worldwide. Having a presence in Indonesia allows Equinix to provide digital infrastructure to local businesses to tap growth opportunities abroad and support global organizations looking to access the expanding Indonesian digital economy," says Jeremy Deutsch, President, Asia-Pacific, Equinix.
“We look forward to working closely with local authorities, network providers and the broader industry ecosystem players to help unleash Indonesia’s digital potential.”
The eight-story facility is scheduled to open by the second half of 2024, expected to provide more than 1,600 cabinets and more than 5,300 square meters of collocation space when fully built.
Located in Jakarta's Central Business District and close to major internet exchanges, the new IBX data centre will provide Indonesian businesses and foreign businesses operating in Indonesia with the digital infrastructure and vibrant ecosystems for optimal performance.
The facility will incorporate sustainability into its design, leveraging innovative technologies such as cool array to support economic and environmental goals for organizations in Indonesia. This is part of Equinix's Future First strategy that underscores the company's commitment to greening the digital economy.
Equinix's expansion to Jakarta is aligned with the Indonesian government's digital transformation initiatives, boosting the country's digital infrastructure objectives according to the goals set out in the Indonesia Digital Roadmap 2021–2024.
Platform Equinix currently spans 32 countries worldwide. This new data centre in Jakarta will serve as a business conduit for local and global enterprises, cloud and IT services providers, and network service providers.
Inclusive of this recent announcement, Equinix has 50 major projects currently underway across 35 metros in 22 countries, including new data centre builds in Dublin, Montréal, New York, Paris and Warsaw.
Most recently, Equinix entered Chile and Peru with five IBX data centres, with an enterprise value estimated at approximately US$735 million.
The company has also acquired West African data centre and connectivity solutions provider MainOne for an enterprise value of US$320 million.
In the Asia-Pacific, Equinix announced an initial investment of over US$86 million to build Equinix’s third IBX data centre in Mumbai and an investment of over US$64 million for its first IBX data centre in Chennai.
To date, the global footprint of Platform Equinix spans 248 data centres across 71 metros and 32 countries, providing digital infrastructure for more than 10,000 of the world's leading businesses, including more than 50% of Fortune 500 companies.
In the Asia-Pacific, Equinix currently has 51 data centres in key metros across Australia, China, Hong Kong, Japan, Korea and Singapore.