Batam poised to become global AI infrastructure hub

The Batam Concession Agency (BP Batam) in the Riau Islands has stated that Batam is ready to become a global-scale artificial intelligence (AI) infrastructure hub, following a commitment by a foreign technology company to build a data centre in the area.

BP Batam Deputy Head Li Claudia Chandra said in an official statement received in Batam on Monday that the data centre development plan reflects global investors’ trust in Batam’s investment climate and infrastructure readiness.

‘The presence of Firmus Technologies together with Nvidia and DayOne in Batam confirms that this area is ready to transform into a global AI infrastructure hub. This is not just a data centre investment, but a strategic step that will strengthen Batam’s and Indonesia’s position in the digital economy value chain and the global AI ecosystem,’ said Li Claudia.

Firmus Technologies Pty Ltd. is an Australian technology company that will build its first AI data centre project in Indonesia through a strategic partnership with Nvidia Corp. and Singapore-based DayOne.

The project, an Nvidia DSX AI Factory campus with a capacity of 360 megawatts (MW), will be built in Batam under an eight-year partnership. The facility is targeted to begin operations in the first quarter of 2027 and is projected to provide up to 170,000 Nvidia AI accelerator chips throughout 2027-2028. This capacity makes it one of the largest planned GPU clusters in the Southeast Asian region.