ISAT - DC JV eyes on expansion in top tier cities

ISAT - DC JV eyes on expansion in top tier cities A data center joint venture of Indosat Ooredoo Hutchison (ISAT) and BDx Indonesia is eyeing to expand its data center business, focusing on tier-1 cities including Jakarta, Surabaya, Medan, Batam, Makassar, Bandung and Semarang. The JV’s expansion has been carrying out mostly through a series of colocation acquisitions that are worth IDR2.65tn. In addition, the JV is also planning to integrate its Dc service into other IT ecosystems such as data cloud service, content delivery network and private interconnects that involving other providers. (Source: IDX Channel) Comment: Amid widespread digitalization, we expect data center demand to continuously grow over mid to long run, especially in Indonesia where internet penetration standing at c. 70% of population or lower than ASEAN-5, thus signifying enormous headroom for growth. center is projected to skyrocket by eight-times from IDR632 tn in 2020 to IDR4,531 tn by 2030, in line with contribution to the country's GDP from 4% to 18%.