PT Telkom Indonesia (Persero) Tbk (Telkom) is developing Batam as a national and regional center for hyperscale data centers through its subsidiary, NeutraDC Nxera Batam. Telkom CEO Dian Siswarini highlighted Batam’s strategic importance during the Topping Off event for the Hyperscale Data Center (HDC) on 30 October 2025.

“Through policy support, strategic connectivity, and public-private collaboration, this data center project offers broad benefits for the technology industry, digital businesses, local communities, and investors seeking opportunities in the fast-growing digital infrastructure sector,” said Dian.

Strategic Advantages of Batam for Digital Infrastructure Investment

Batam’s geographic proximity to financial and technology hubs such as Singapore, its connection through 14 submarine cables across Southeast Asia, and its status as a Special Economic Zone (SEZ) make it an ideal location for digital infrastructure investment. These factors position Batam as a potential digital bridge between Indonesia and Southeast Asia, which is particularly relevant for cloud computing, big data, and artificial intelligence (AI).

NeutraDC Nxera Batam Targets High-Capacity IT Load and Sustainability

NeutraDC Nxera Batam plans to develop the first building (BTM-1) in the Kabil Integrated Industrial Estate with a total IT load capacity of 18 MW. Other projects in the Nongsa Digital Park are also ongoing. CEO Indrama YM Purba stated that the data center will operate using electricity supplied by Medco Power Indonesia from renewable sources.

The project addresses high power demand, cooling water supply, and heat management with dedicated infrastructure in the industrial zone and SEZ, supporting efficient and sustainable operations.

Multi-Dimensional Benefits for Economy and Workforce

The construction of hyperscale data centers in Batam is expected to accelerate the digital economy, increase foreign investment, and enhance capacity for cloud, AI, Internet of Things (IoT), and digital services. It also aims to create jobs and develop human resources through partnerships with local educational institutions.

“With large HDC capacity, Indonesia not only becomes a user of digital infrastructure but also a hub for global services, strengthening data sovereignty. For Batam’s local economy, investment in data centers impacts construction, utilities, logistics, technology services, and workforce development,” added Dian.

Renewable Energy and Operational Efficiency in Hyperscale Data Centers

NeutraDC Nxera Batam prioritizes renewable energy and energy-efficient operations, in line with sustainability goals. This development represents a key part of Indonesia’s digital economy transformation, attracting investors while strengthening data sovereignty and supporting the long-term growth of digital infrastructure.

PHOTO: TELKOM INDONESIA

This article was created with AI assistance.