- Tencent Cloud launched the first internet data center in Indonesia

Tencent Cloud, the cloud computing arm of Chinese tech giant Tencent Holdings, said on Monday that it launched the first internet data center (IDC) in Indonesia to meet growing demand for digitalization, further expanding its global footprint.

“This year we are going to be a lot more aggressive building out our [cloud] infrastructure around the world,” said Poshu Yeung, senior vice-president of Tencent Cloud International, in an interview with the South China Morning Post. “I’m not going to disclose the exact number and the timeline, but I can highlight that likely it’s going to be another 30 to 50 per cent growth in terms of the number of data centres.”

By offering cloud solutions throughout the Asian region, Tencent Cloud is targeting market share in the global arena through. The first Tencent Cloud IDC in Indonesia adds to the Tencent Cloud infrastructure network which is claimed to have covered 27 regions and 61 zones.
 
Indonesia is one of the fastest growing public cloud markets in Asia Pacific with a CAGR of 25 percent and its market size growth is expected to increase to USD 0.8 billion by 2023.

The data center market in Indonesia is projected to grow at a CAGR (compound annual growth rate) of 11% from 2019 to 2025, according to the Indonesia Data Center Market – Investment Analysis and Growth Opportunities 2020–2025 report, driven by an increasing number of internet and social media users in the country. Meanwhile, the government is upgrading its infrastructure with technologies such as AI and the IoT on roads and traffic signals, which will benefit cloud companies. Last year, the administration further announced a plan to build a “national government data center” that is expected to open by 2023.

Located in Jakarta, the new IDC is now in full operation, completing the backbone access and networking of all major Indonesian and global internet services providers, and combining Tencent Cloud's own border gateway protocol to cover the entire country. The launch of the IDC in Indonesia enables businesses and organizations in the country to accelerate their digital transformation, the company said.

Beyond Indonesia, Tencent is set to open new data centres in Thailand, Malaysia and Japan this year, Yeung said. Tencent is also building its first Middle East data centre in Bahrain to cover the region, and it is working on a second facility in Frankfurt, Germany, that is expected to open in the second quarter this year.

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