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Executive Column: RI factories must adopt AI or lose out, says IBM

Indonesia’s manufacturing sector is at risk of losing out to competitors in other countries if it doesn’t keep up with AI, says IBM chairman and CEO Arvind Krishna.

Ruth Dea Juwita (The Jakarta Post)
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Jakarta
Mon, September 4, 2023

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Executive Column: RI factories must adopt AI or lose out, says IBM IBM CEO and chairman Arvind Krishna poses in an undated picture (IBM/-)

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BM made its mark in the artificial intelligence (AI) boom in May, when it introduced Watsonx, an enterprise-ready platform that helps businesses build, deploy and govern AI applications.

IBM chairman and CEO Arvind Krishna visited Jakarta for a three-day trip last month to meet clients and government officials in a country where IBM sees a lot of demand for AI solutions.

He sat down with The Jakarta Post’s Mark Lempp and Ruth Dea Juwita on Aug. 22 to discuss the company’s business in the country, digitalization and strategies for the responsible use of AI amid concerns over job losses and privacy.

 

Question: What is the market penetration for the software business in Indonesia?

Answer: I think Indonesia is booming. I’ll call it a natural progression. As economies become a bit more advanced and as companies become more global, and there’s a scale and Indonesia has definitely passed that tipping point at scale, technology begins to grow from half a percent to 4, 5 percent of GDP.

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Enterprise technology is largely manifested through software. Combining technology with the underlying GDP growth [gives] you substantial growth in enterprise technology. We see the demand, and that's one of the reasons we are here. 

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