Artificial intelligence (AI) is rapidly transforming global economies, reshaping industries, and redefining the way societies function. In Indonesia, the potential of AI adoption is enormous, but realizing it requires building strong foundations that ensure long-term benefits. The report Indonesia’s AI Future emphasizes that the building blocks of meaningful AI adoption in Indonesia go beyond technology—they require skilled talent, robust infrastructure, supportive policies, and a culture of innovation.

Strengthening Digital Infrastructure and Data Readiness

For AI adoption in Indonesia to scale effectively, digital infrastructure must be prioritized. Reliable internet access, cloud computing facilities, and secure data centers are vital. Currently, connectivity challenges remain outside major urban areas, limiting equitable AI adoption across the archipelago. Data availability also plays a crucial role. Open, accessible, and standardized datasets enable AI systems to learn and perform effectively. Without quality data, AI applications risk bias and inefficiency.

Indonesia’s data governance frameworks must therefore balance accessibility with privacy and security. The government’s Personal Data Protection Law is an important step, but further clarity is needed in implementation to boost business and public trust.

Developing AI Talent Through Education and Upskilling

Another key building block is talent. For Indonesia, developing a strong workforce skilled in AI-related fields is essential. Universities and vocational institutions must integrate AI and data science programs, while businesses should invest in continuous training for employees. Currently, Indonesia faces a significant talent gap. According to the World Bank, only a fraction of graduates specialize in STEM fields, creating challenges in building a workforce ready for AI adoption.

Upskilling existing employees is equally critical. Programs focusing on digital literacy, coding, machine learning, and data analytics can prepare professionals from diverse backgrounds to contribute to AI projects. Collaboration between academia, industry, and government will be central in reducing the talent gap.

Encouraging Innovation and Research Investment

Meaningful AI adoption in Indonesia will not be achieved without a culture of innovation. Startups, research institutions, and large companies must collaborate to develop local solutions that address Indonesia’s unique challenges—whether in healthcare, agriculture, or finance. Investment in research and development (R&D) is vital, yet Indonesia currently lags behind regional peers.

Government incentives such as tax breaks for R&D, funding grants, and partnerships with global AI leaders can accelerate innovation. AI sandboxes—experimental environments with flexible regulations—can help startups and companies test their solutions safely before deployment.

Building Clear Policies and Ethical Standards

Finally, clear policies and ethical standards are critical to guide AI adoption in Indonesia. Public trust depends on ensuring AI is fair, transparent, and accountable. Policymakers must establish standards that prevent misuse while encouraging responsible innovation. This includes addressing potential issues such as algorithmic bias, job displacement, and unequal access.

The National Strategy for Artificial Intelligence 2045 provides a roadmap, but successful implementation will depend on coordinated action across government agencies, industry leaders, and academia.

Conclusion

AI adoption in Indonesia holds immense promise, but only if the country lays down the right building blocks. Strengthening digital infrastructure, nurturing talent, fostering innovation, and ensuring strong policies will create an environment where AI can thrive. By focusing on these areas, Indonesia can not only benefit economically but also improve social inclusion and competitiveness in the global AI landscape.

Sources:

• Indonesia’s AI Future Report, Chapter 2: Building Blocks of Meaningful AI Adoption (2025)
• World Bank Data on STEM graduates in Indonesia