Nvidia, Indosat plan $200 million AI centre investment in Indonesia, government says

JAKARTA (Reuters) -Nvidia and Indonesia's telco firm PT Indosat Ooredoo Hutchison plan to build an artificial intelligence centre in Central Java in 2024, worth $200 million, the communication minister said.

Budi Arie Setiadi in a statement said the AI centre could consists of telecommunication infrastructure or a human resource centre and will be located in Surakarta city.

Indosat's CEO has provided information of the investment plan to Surakarta mayor Gibran Rakabuming Raka, who is also Indonesia's vice president elect and the son of the ongoing President Joko Widodo.

"Why in Surakarta? Because they are ready, have good human resources and 5G infrastructure," he said.

Indosat is committed to become the pioneer in AI development in Indonesia, its spokesperson Steve Saerang said in a statement on Friday.

"Now, our main focus is to develop a center of excellence related to AI in Surakarta," he said, adding such collaboration will foster the development of technology infrastructure in Indonesia.

Nvidia declined to comment.

(Reporting by Ananda Teresia; Editing by Martin Petty)