Tencent currently has two data centres in Indonesia, both located in Jakarta.
Tencent Holdings is set to invest $500 million as part of plans to develop a third data centre in Indonesia.
The investment is part of Tencent’s partnership with GoTo Group and Alibaba Group to bring cloud infrastructure and training to the country.
As reported by the Wall Street Journal, the investment was revealed by GoTo at the Indonesia-China Business Forum in Beijing and follows Indonesian President Prabowo Subianto’s announcement of more than $10bn of investment agreements between Indonesia’s Chamber of Commerce and Industry and “top Chinese companies.”
The $500m from Tencent will be invested by 2030 and will be used to deliver cloud and artificial intelligence (AI) services to the country.
Tencent currently has two data centres in Indonesia, both located in Jakarta.
Tencent and rival Chinese cloud provider Alibaba signed cloud agreements with Indonesian technology company GoTo in September of this year, which are both set to last five years.
Alibaba is a long-term investor in GoTo, and the cloud contract will see Alibaba maintain its shareholding in the company for the duration of the agreement. The company also has three data centres already in Indonesia.
Alibaba Cloud will also be doubling the number of people it trains in cloud computing and AI in Indonesia and will set up a skills centre at Universitas Indonesia.
Earlier this year, Tencent announced that it would be expanding its cloud business in Saudi Arabia and the UAE.
Other cloud providers with a presence in Indonesia include Google Cloud, Huawei, and Amazon Web Services, also both in Jakarta. Microsoft is currently developing data centres in the Jawa Barat region of Indonesia, and earlier this year committed to investing $1.7bn in the country.
