Microsoft's $1.7 Billion Investment to Boost AI and Cloud Infrastructure in Indonesia

Microsoft's $1.7 Billion Investment to Boost AI and Cloud Infrastructure in Indonesia
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The meeting between Microsoft's Chief Executive Officer and the President of Indonesia on Tuesday resulted in the commitment of a significant investment of $1.7 billion. This investment will focus on the development of artificial intelligence and cloud computing to support Indonesia's artificial intelligence infrastructure.

Satya Nadella met with President Joko Widodo at the Presidential Palace in Jakarta before delivering a speech on artificial intelligence in Indonesia. In his speech, he announced the upcoming construction of a new data center in Indonesia to lead the development of the country's next-generation artificial intelligence infrastructure. Nadella also emphasized Microsoft's mission to empower individuals and organizations in Indonesia to adopt more advanced artificial intelligence technologies.

In addition, Satya Nadella expressed Microsoft's commitment to provide artificial intelligence training to 840,000 people in Indonesia, as part of a total of 2.5 million people in ASEAN to be trained by 2025. Minister of Communications and Information Technology Budi Arie Setiadi said Microsoft had previously informed Jokowi of its intention to make a significant investment in new artificial intelligence and cloud computing infrastructure over the next four years. Budi described this commitment as the "single largest investment value" in Microsoft's 29-year history in Indonesia.

Microsoft's official statement later confirmed that this is the company's largest investment in Indonesia to date.

Budi also mentioned that the government is working to convince Microsoft to set up research and development centers in Indonesia. It is hoped that these centers will be located not only in the new capital, Nusantara, but also in Bali. The centers are expected to open in August.

Microsoft has received significant recognition from investors for its aggressive strategy in developing generative artificial intelligence. This strategy began with a $13 billion partnership with OpenAI, the creators of ChatGPT, in 2023.

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