Edgnex Data Centers will invest $2.3 billion to build a 144MW AI-focused data center in Jakarta, Indonesia, marking one of Southeast Asia’s largest AI infrastructure projects. The facility addresses critical infrastructure gaps in Indonesia while supporting the company’s broader strategy to reach over 300MW capacity across Southeast Asia by 2026.
What you should know: The new Jakarta facility represents Edgnex’s second data center project in Indonesia and is designed specifically for AI workloads.
• The site was acquired in March 2025 and is currently in early construction phases, with Phase one expected to go live by December 2026.
• Once fully developed, the AI data center will deploy high-density racks to support advanced computing needs with a targeted power usage effectiveness (PUE) of 1.32—meaning it uses only 32% more energy for cooling and infrastructure than for actual computing.
• Edgnex Data Centers is backed by Dubai’s Damac Group and has committed more than $3 billion in digital infrastructure investments across Southeast Asia.
Why this matters: Indonesia faces significant challenges including limited hyperscale readiness, infrastructure gaps, and rising latency issues, making Jakarta a strategic location for AI infrastructure investment.
• The announcement comes amid growing AI adoption across Southeast Asia and increasing demand for infrastructure capable of handling advanced computing needs.
• This facility will enable low-latency, energy-efficient AI and cloud services in a region where such capabilities are currently limited.
Regional expansion strategy: The Jakarta project is part of Edgnex’s ambitious growth plans across Southeast Asia.
• The company previously announced a separate 19.2MW facility in Jakarta’s MT Haryono area, scheduled for completion in Q3 2026, which will serve cloud service providers, edge deployments, and AI workloads.
• Edgnex expects to reach more than 300MW of operational capacity across Southeast Asia by 2026, with active projects in Indonesia, Malaysia, Thailand, and other regional markets.
Global context: Damac Group’s infrastructure investments extend well beyond Southeast Asia.
• In January, Damac announced a $20 billion investment in U.S. data centers, with plans to deliver 2GW of capacity over four years across Texas, Arizona, Oklahoma, Louisiana, Ohio, Illinois, Michigan, and Indiana.
• In April, Edgnex completed the acquisition of Hyperco, a Finnish data center developer, expanding its operations into the Nordic region and Europe.
What they’re saying: “This collaboration supports our goal of expanding our operations in the Nordics and Europe,” said Hussain Sajwani, founder of Damac Group, regarding the Hyperco acquisition.
• “Hyperco has a world-class team with a deep understanding of the Nordic market and shares our vision of developing strong partnerships and investing in and developing world-class digital infrastructure for our clients.”
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