Indonesia aims to become Southeast Asia leader in AI technology

Indonesian Communication and Digital Affairs Minister Meutya Hafid has said that a sustainable digital ecosystem could potentially make Indonesia a leader in artificial intelligence (AI) technology in Southeast Asia.

Indonesia has big potential to become a leader and center of AI innovation in Southeast Asia, especially with the growing digital economy in the country, she observed at the Accelerating Indonesia's Economic Growth discussion in Jakarta, as cited by Indonesia's Antara news agency.

She said that Indonesia is currently the second-largest digital investment destination in ASEAN.

The nation's opportunities are evident from the growth of its digital economy, which is estimated to have reached $90 billion in 2024, as well as the dominance of the e-commerce sector, which makes up 40% of the ASEAN market share and recorded a value of $77 billion in 2023.

According to the minister, Indonesia needs to focus on developing technology, including AI, to bolster its competitiveness at the global level.

Research shows that interest in AI technology is increasing in several Indonesian regions, such as Jakarta, East Kalimantan, and the Riau Islands.

This indicates that Indonesia is not only adopting new technology, but is also starting to build a sustainable AI innovation ecosystem, Hafid said.

Therefore, the Ministry of Communication and Digital Affairs is continuing to bolster the digital ecosystem so that Indonesia can utilize AI for its own interests and to boost its global competitiveness.

Indonesia has devised strategic steps that focus on the advancement of the digital ecosystem, research and innovation, and cross-sectoral partnerships.