The Gold Keeper

DCI leads the data center market vital to carry Indonesia’s digital economy

- Marella Putri

This year, Indonesia's internet users have grown by 27 million from 2020, reaching 202.6 million, equivalent to 73.7% of the total population. Undergoing rapid technology adoption, Indonesia accounts for 40% of the entire internet economy in Southeast Asia. Google, Temasek, and Bain on e-Conomy SEA 2020 projected Indonesia’s internet economy GMV to reach $44 billion, driven by eCommerce and online media. The number is expected to grow at 23% CAGR within 2020-2025, reaching $124 billion.

To realize this projection, it is vital to have adequate digital infrastructures to cope with the surge of online activities, including data centers and networks. The data center acts as a critical facility where organizations house centralized computing and networking equipment, and process their data and deliver seamless digital performance. It could go from handling email and file sharing, data storage and recovery, eCommerce and fintech transactions, to big data and machine learning, and so on. As such, colocation data centers become a more convenient choice to help organizations scale efficiently, as it leases physical spaces with necessary infrastructures such as cooling, bandwidth, and security. Organizations who become the tenants upon a contract put their servers and stored there and are charged based on the power consumption. At the same time, the colocation provider will be responsible for maintaining their operations. Some of the biggest drivers are cloud service providers— Amazon Web Services, Microsoft Azure, Google Cloud, and Alibaba Cloud are the four top global names and content providers such as Facebook, Netflix, and Tiktok.