As the world moves increasingly online, so too must the infrastructure that keeps us online stay cutting edge.
Data centers have been the talk of the town as of late, and with good reason. Everything that happens online, from storing to processing data, is done through data centers, making them an essential part of any digital-ready community.
Indonesia, with its widespread internet penetration, is dependent on data centers. According to the Indonesian Internet Providers Association’s (APJII) annual survey, there are 210 million Indonesian internet users in 2022, accounting for a penetration rate of 77.02 percent as of the first quarter of 2022.
Responding to the prevalence of data centers and their potential for the national digital economy, a number of developers have swiftly moved to accommodate the rising demand for industrial spaces that can handle the IT industry’s stringent requirements.
One such space is located in Kota Deltamas, a 3,200 hectare integrated city located in Central Cikarang in Bekasi, West Java. The developer, PT Puradelta Lestari Tbk – a joint venture between Sinar Mas Land and Japan-based Sojitz Corporation – is currently developing a specialized industrial zone targeting data centers and related industries as part of its Greenland International Industrial Center (GIIC) complex.
Approximately 300 ha of planned residential area have been converted into industrial use, which were designed with the automotive industry in mind. However, seeing the potential for data centers, the developers quickly responded to the shift, while also keeping in mind other industries that may be interested in the space.
According to Puradelta Lestari director and corporate secretary Tondy Suwanto, the opportunity began around 2019, in line with the shift to a digital ecosystem in line with technological advancements.
“We realized then that data centers will develop rapidly in Indonesia, so we have been prepared since 2019,” he said, adding that 12 data centers had joined the industrial zone’s development in Deltamas, and more to come.
While Tondy could not reveal several of the companies’ names due to a nondisclosure agreement (NDA), he confirmed that the tenants included major global brands that were recognizable due to their presence in contemporary society, as well as state-owned telecommunications company Telkom and the National Data Center (PDN).
At the same time, he also highlighted additional inquiries for 90 ha of industrial areas, of which approximately half came from prospective data centers.
One of the major challenges in creating a data center-friendly area is in its supporting infrastructure. To that end, Deltamas signified its readiness through several initiatives, such as signing a memorandum of understanding (MoU) with state-owned electricity company PLN in 2021 to supply 993 megavolt amperes (MVA) of electricity to the city, a dedicated water treatment plant as well as high-speed fiber optics that can handle multiple internet service providers (ISPs) for a reliable internet connection.
“We try to understand our clients’ needs so that their businesses are able to grow alongside us. Once they join us, they will always be with us, and this is why we always keep an open communication with our clients.”
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