Danantara and Arm Agree Partnership as Prabowo Targets Semiconductor Capability for Indonesia
President Prabowo Subianto continued his working visit to London following the conclusion of his trip to the United States. In London, Prabowo witnessed the signing of a framework agreement between the Danantara Indonesia Investment Management Agency (BPI Danantara) and Arm Limited on Monday, 23 February 2026.
The agreement reflects the government’s strong commitment to advancing technology and driving Indonesia’s economic transformation through innovation. Arm is a company that dominates the semiconductor market.
“This is a partnership for Indonesia to master semiconductor technology, and Arm is one of the companies that dominates the semiconductor market, particularly in terms of design. This is the most upstream part of the semiconductor industry itself,” said Coordinating Minister for Economic Affairs Airlangga Hartarto, as quoted from a Presidential Secretariat press release on Tuesday.
According to Airlangga, Arm is known to control approximately 96 per cent of chip technology for the global automotive sector and nearly 94 per cent of chip designs for data centres and artificial intelligence.
Through this partnership, Indonesia is targeting accelerated mastery of strategic technologies that have long served as the foundation for various modern digital innovations.
“With this partnership, it is hoped that Indonesia can train 15,000 of our engineers within the Arm ecosystem so they can master chip design technology. The collaboration plan will then extend to the next generation of semiconductors or chips, enabling Indonesia to develop capability in the semiconductor and design fields,” he explained.
Airlangga stated that the partnership is a direct follow-up to President Prabowo’s directive to strengthen national technological mastery independently. Furthermore, the collaboration complements the government’s broader agenda of building national food security and energy security.
“This is the leapfrog for the digital ecosystem,” Airlangga said.
Meanwhile, Minister of Investment and Downstream Industries and Head of BPI Danantara, Rosan Perkasa Roeslani, expressed hope that the partnership would have a wide-reaching impact on national industrial development whilst strengthening Indonesia’s technological sovereignty.
The programme will be implemented by sending experts abroad as well as bringing Arm trainers directly to Indonesia with specialised training modules.
“There will indeed be six industries selected for the development of these chips, and as the Coordinating Minister mentioned, 15,000 of our engineers will be trained by Arm, either by sending them here or by having their instructors come to Indonesia with their modules,” Rosan said.
Airlangga further explained that the six national chip design developments would focus on strategic intellectual property areas.
“These six represent intellectual property that we can choose from — one for automotive technology, the second for the internet of things, the third related to data centres, then possibly home appliances. For the remaining two, we can choose whether we want something futuristic, particularly autonomous vehicles and quantum computing, among others,” he said.
“All of this is still being discussed with Danantara, so the intellectual property will be held by Indonesia,” Airlangga added.