LG CNS will construct a hyperscale AI data center in Jakarta, with completion targeted for the end of 2026.

The South Korean IT services firm is partnering with Indonesia’s Sinar Mas Group through their joint venture, LG Sinarmas Technology Solutions.

The project agreement was signed with Kuningan Mas Gemilang (KMG), a joint venture of Sinar Mas Group and Korea Investment Real Asset Management.

The planned 11-story facility will have a power capacity of 30 megawatts and can host over 100,000 servers.

KMG said it plans to eventually expand the site’s total power supply to 220 megawatts.

LG CNS will oversee infrastructure construction, including cooling, power, and telecommunications systems.

The facility will offer tenants a choice of internet providers, and aims to serve as a network hub in central Jakarta.

🔗 Source: The Korea Times

🧠 Food for thought

1️⃣ Indonesia’s AI infrastructure boom creates massive market opportunity

LG CNS is entering Indonesia at a pivotal moment when the country’s AI data center market is experiencing explosive growth.

Indonesia’s AI-optimized data center market is projected to more than double from $0.66 billion in 2025 to $1.44 billion by 2030, representing a 16.91% compound annual growth rate 1.

This growth is driven by Indonesia having a high workplace AI adoption rate at 92%, significantly above global averages 2.

The broader Indonesian AI market reflects this momentum, valued at $2.4 billion and expected to reach $10.88 billion by 2030 with 28.65% annual growth 2.

Major tech companies are already committing substantial resources, with Microsoft investing $1.7 billion in cloud infrastructure and NVIDIA planning a $200 million AI center 2.

These investments validate the market opportunity that LG CNS is targeting with its Jakarta facility, which will start at 30 megawatts but expand to 220 megawatts to meet anticipated demand.

Recent LG CNS developments