Global management consultancy Kearney has assessed that the equal\ndistribution of artificial intelligence (AI) literacy and the provision\nof large-scale clean energy are two crucial factors that will determine\nIndonesia\u2019s economic competitiveness in the coming AI era.<\/p>\n
\u201cIndonesia has a huge opportunity to participate in the AI economy,\nbut long-term success will depend on more than just technology\nadoption,\u201d said Kearney Indonesia President Director Shirley Santoso in\na written statement received in Jakarta on Friday.<\/p>\n
According to Shirley, countries will increasingly compete based on\nthe quality of their human resources, the strength of their innovation\necosystems, the readiness of their digital infrastructure, and the\nability to convert AI technology into tangible economic value. \u201cIt is\nvery important for organisations facing digital transformation to bridge\nthe gap between technology adoption and workforce readiness,\u201d she\nsaid.<\/p>\n
In its report titled \u201cHow the Economic Development Model Is Being\nRewritten by AI\u201d, Kearney mapped 67 economies representing approximately\n99 per cent of the world\u2019s gross domestic product (GDP) into five groups\nbased on economic size and income level. Indonesia is placed in the\ndeveloping country group, meaning its development strategy should focus\non strengthening talent, digital infrastructure, and value-added\ncreation within the AI value chain.<\/p>\n
The report estimates that generative AI has the potential to create\nglobal economic value of 2.6 trillion US dollars to 4.4 trillion US\ndollars, or approximately Rp79 thousand trillion per year, through\napplication across various sectors, from customer service and marketing\nto software engineering and research and development.<\/p>\n
Kearney Partner and report author Tomoo Sato said AI does not merely\npresent a wave of technological innovation but also alters various\nassumptions of economic development that have historically relied on\nlabour cost advantages, capital, and physical infrastructure. \u201cCountries\nthat excel in the AI era are no longer those offering the cheapest\nlabour costs, but those capable of building capabilities,\ninfrastructure, and ecosystems to create economic value from AI on a\nlarge scale,\u201d Sato stated.<\/p>\n
Kearney also assessed that advantages based on cheap labour are\ndiminishing because automation allows industries to produce output with\nfewer workers. On the other hand, the electricity demand of global data\ncentres is expected to more than double, from 415 terawatt-hours (TWh)\nin 2024 to around 945 TWh in 2030, making energy availability a\nstrategic factor in the AI economy.<\/p>\n
The report also cited International Monetary Fund (IMF) estimates\nthat around 40 per cent of workers in developing countries are\npotentially affected by AI, making upskilling key to maintaining\neconomic competitiveness.<\/p>\n
According to Kearney, Indonesia\u2019s opportunities lie not only in AI\nadoption but also in the development of digital services, data\ninfrastructure, high-tech manufacturing, and various supporting sectors\nwithin the AI value chain. Furthermore, collaboration between the\ngovernment, universities, technology providers, investors, and\nbusinesses is considered a determining factor for Indonesia to transform\nAI development into a new source of economic growth while strengthening\nnational competitiveness at the global level.<\/p>\n
In line with this, the government is preparing an Indonesian AI\nRoadmap as a reference for national AI development and utilisation,\nwhich includes strengthening digital talent, computing infrastructure,\ngovernance, and the innovation ecosystem. Deputy Minister of\nCommunication and Digital Affairs Nezar Patria stated in February 2026\nthat the AI adoption rate in Indonesia had reached 92 per cent.\nAccording to him, this high adoption rate must be followed by an\nincrease in national capacity so that Indonesia is not just a user but\nalso a player in AI technology development.<\/p>\n
The government also believes Indonesia has the opportunity to\nstrengthen its position in the global AI supply chain through the\ndevelopment of the semiconductor industry, supported by strategic\nmineral resources such as nickel, cobalt, tin, silica sand, and zinc. In\nthe field of human resources, the government projects a need for 12\nmillion digital talents by 2030. Currently, around 9.3 million talents\nare available, leaving a gap of approximately 3 million talents which\nwill be addressed, among other measures, through the development of an\nAI Talent Factory. The government is developing the AI Talent Factory as\na centre for research and industry-based digital talent development to\nsupport the needs of various priority sectors, including health,\neducation, finance, and agriculture.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/kearney-ai-literacy-and-clean-energy-key-to-indonesias-competitiveness-1783688049", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }