Microsoft has officially announced the launch of its Indonesia Central Cloud Region, scheduled for the second quarter of 2025. This initiative, first introduced in 2021, aims to strengthen Indonesia’s digital economy by enhancing cloud adoption and boosting data processing efficiency for local businesses.

A cloud region refers to a specific geographic area containing multiple data centers from a public cloud service provider. With this launch, users in Indonesia will be able to manage and process data closer to their end users, improving speed and security.

Dharma Simorangkir, President Director of Microsoft Indonesia, highlighted that the Indonesia Central Cloud Region will become part of Microsoft’s global network, which already encompasses over 60 cloud regions worldwide. "We want to announce that Indonesia Central, the Indonesia Cloud Region, will be launched in Q2 2025," said Dharma during an iftar gathering in Jakarta on March 12, 2025.

The new cloud region is expected to accelerate cloud adoption across Indonesian companies. A joint study by Microsoft and IDC estimates that the cloud region could contribute $2.5 billion to Indonesia’s economy. This figure accounts for 16.5% of the projected $15.2 billion in new economic value Microsoft aims to generate in Indonesia between 2025 and 2028.

Beyond financial impact, the Indonesia Central Cloud Region is set to create around 106,225 new jobs across various industries. Dharma emphasized that this investment goes beyond building data centers it lays the foundation for AI-driven innovations while offering scalable and secure computing power for businesses in Indonesia.

Microsoft's commitment was reinforced in April 2024 when Satya Nadella, Microsoft’s CEO and Chairman, announced a $1.7 billion investment to support Indonesia’s cloud and AI ambitions.

As the launch date approaches, industry leaders and decision-makers are closely watching how the Indonesia Central Cloud Region will reshape the country's technological landscape, driving both economic growth and job creation.

PHOTO: SHUTTERSTOCK

This article was created with AI assistance.