Apple Purchases Land in Batam as Digital Investment Hub Gains Momentum
Jakarta, MI — Batam is increasingly shining as a new magnet for digital investment. Investment and Downstreaming Minister/BKPM Head Rosan Roeslani revealed that Apple Inc. has demonstrated serious intent to invest in Indonesia, particularly on Batam Island, which has become a focal point for digital infrastructure, especially data centres.
Rosan said Apple has purchased land in Batam as an initial step towards investing through its vendor network. "Apple was mentioned earlier because we were among those encouraging Apple to enter, and they have actually purchased land in Batam to invest through their vendors," Rosan said during an MoU signing ceremony at the Investment Ministry office in Jakarta on Tuesday (24/6/2025).
Beyond this, Rosan disclosed that several other Apple vendors are also preparing to enter Batam, opening significant opportunities for developing a high-technology industrial ecosystem in the region. He noted that investment interest, particularly in digital infrastructure and data centres, is enormous.
However, Rosan explained that a moratorium on data centre construction in Singapore due to land constraints has driven many investors to look towards Batam. The substantial electricity requirements for data centres are also spurring interest in green energy and renewable energy development, which holds very high prospects.
"I also accompanied the President to Singapore and other countries yesterday, and that is perhaps one of the areas attracting the greatest interest," he said.
Beyond the digital sector, Rosan also touched on potential cooperation in Carbon Capture, Utilisation, and Storage (CCUS/CPR) with other countries, demonstrating the diversification of Batam's investment potential.
Nevertheless, Rosan emphasised that accelerating investment flows would not be achieved without reforming the bureaucratic system. He concurred with the Mayor and Deputy Mayor of Batam that bureaucratic obstacles remain the primary stumbling block for incoming foreign direct investment (FDI), and must be resolved promptly to make the investment climate more competitive.
"We must remember that neighbouring countries are also continuously improving their investment environments. So we too must continue to improve and reform our policies so that investment increases and we can achieve economic growth in line with expectations and the President's targets," he said.
Previously, Minister Rosan Roeslani revealed that his ministry and Apple had agreed to build an AirTag factory in Batam, with construction targeted for completion in 2026. According to him, the factory in Batam would position Indonesia as one of the primary production bases for Apple's AirTag components. Through this project, Indonesia is projected to supply up to 65 per cent of global AirTag demand.
"In essence, they are fully committed to the first phase of the AirTag vendor facility construction valued at US$1 billion, which is expected to supply 65 per cent of global AirTag demand from the factory to be established in Batam," Rosan explained at his office on Tuesday (7/1/2025).
Rosan added that Apple is also planning subsequent factory construction to produce other components, marking the company's long-term strategic commitment in Indonesia.
Rosan said Apple has purchased land in Batam as an initial step towards investing through its vendor network. "Apple was mentioned earlier because we were among those encouraging Apple to enter, and they have actually purchased land in Batam to invest through their vendors," Rosan said during an MoU signing ceremony at the Investment Ministry office in Jakarta on Tuesday (24/6/2025).
Beyond this, Rosan disclosed that several other Apple vendors are also preparing to enter Batam, opening significant opportunities for developing a high-technology industrial ecosystem in the region. He noted that investment interest, particularly in digital infrastructure and data centres, is enormous.
However, Rosan explained that a moratorium on data centre construction in Singapore due to land constraints has driven many investors to look towards Batam. The substantial electricity requirements for data centres are also spurring interest in green energy and renewable energy development, which holds very high prospects.
"I also accompanied the President to Singapore and other countries yesterday, and that is perhaps one of the areas attracting the greatest interest," he said.
Beyond the digital sector, Rosan also touched on potential cooperation in Carbon Capture, Utilisation, and Storage (CCUS/CPR) with other countries, demonstrating the diversification of Batam's investment potential.
Nevertheless, Rosan emphasised that accelerating investment flows would not be achieved without reforming the bureaucratic system. He concurred with the Mayor and Deputy Mayor of Batam that bureaucratic obstacles remain the primary stumbling block for incoming foreign direct investment (FDI), and must be resolved promptly to make the investment climate more competitive.
"We must remember that neighbouring countries are also continuously improving their investment environments. So we too must continue to improve and reform our policies so that investment increases and we can achieve economic growth in line with expectations and the President's targets," he said.
Previously, Minister Rosan Roeslani revealed that his ministry and Apple had agreed to build an AirTag factory in Batam, with construction targeted for completion in 2026. According to him, the factory in Batam would position Indonesia as one of the primary production bases for Apple's AirTag components. Through this project, Indonesia is projected to supply up to 65 per cent of global AirTag demand.
"In essence, they are fully committed to the first phase of the AirTag vendor facility construction valued at US$1 billion, which is expected to supply 65 per cent of global AirTag demand from the factory to be established in Batam," Rosan explained at his office on Tuesday (7/1/2025).
Rosan added that Apple is also planning subsequent factory construction to produce other components, marking the company's long-term strategic commitment in Indonesia.