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Data Centers in Jakarta

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Jakarta – Indonesia's Digital Gateway

Jakarta is the undisputed digital and connectivity hub for Indonesia, Southeast Asia's largest economy. With direct access to all major cloud providers and a dense concentration of data centers, this market is the primary entry point for any business serving the nation's massive online population. Locating here ensures low-latency performance and scalable infrastructure essential for capturing market share.

Jakarta: At A Glance

FactorRating / DataNotes
Global Connectivity GradeA+Excellent access to regional subsea cables connecting Asia and the world.
Direct Cloud On-RampsOver 6 – as of September 2025AWS, Google Cloud (GCP), Microsoft Azure, Alibaba Cloud offer direct, private connections.
Power CostIDR 1,500.00 – 1,750.00/kWhCompetitive regional pricing helps control operational costs for high-density deployments.
Disaster RiskModerate (4.5/10)Site selection and facility engineering are critical to mitigate known seismic and flood risks.
Tax IncentivesYesDC-specific concessions and exemptions are available for facilities in designated economic zones.
Sales Tax12.00% VATStandard Value Added Tax applies to services, as of September 2025.

Network & Connectivity Ecosystem

Jakarta's connectivity is its strongest asset. The city is home to over 65 data centers and serves as the landing point for numerous international subsea cables, making it the center of gravity for Indonesian internet traffic.

Carrier Density & Carrier Neutrality With over 20 carriers present as of September 2025, businesses have significant choice. Carrier-neutral facilities provide access to this competitive ecosystem, allowing for optimized network routing, performance, and cost management.

Direct Cloud On-Ramps Direct, low-latency connections to the world's leading clouds are readily available. As of September 2025, Jakarta offers over 6 on-ramps enabling private access to 5 cloud regions from providers including:

  • AWS
  • Google Cloud (GCP)
  • Microsoft Azure
  • Alibaba Cloud

Internet Exchange Points (IXPs) The Indonesia Internet Exchange (IIX) and other local exchanges are central to the ecosystem. These IXPs keep domestic traffic within the country, dramatically reducing latency for Indonesian end-users.

Bare Metal Bare metal server providers are well-represented in Jakarta. Companies like Hivelocity and phoenixNAP offer dedicated server solutions for workloads requiring maximum performance and direct hardware control.

Power Analysis

Average Cost Of Power Industrial power costs typically range from IDR 1,500.00 – 1,750.00/kWh as of September 2025. This competitive pricing makes running power-intensive compute and storage infrastructure more economical compared to other regional hubs. Indonesia's grid is heavily reliant on fossil fuels, with a growing but still small contribution from renewable sources like geothermal and hydro.

Power Grid Reliability The power grid serving Jakarta's main data center clusters is engineered for high availability. Major facilities are supported by redundant power feeds from separate substations, ensuring uptime aligns with modern enterprise expectations.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers are strategically located with easy access to the Jakarta Central Business District (CBD) and major industrial estates. This proximity provides low-latency connectivity for the country's financial, e-commerce, and media industries.

Regional Market Reach A presence in Jakarta provides effective access to over 275 million people across the Indonesian archipelago. It is the logical and necessary hub for any digital service targeting this vast and rapidly growing consumer market.

Tax Advantage For Data Centers The Indonesian government provides tax incentives for data centers operating within designated Special Economic Zones (SEZs). These programs can offer significant relief from import duties and income taxes, reducing capital expenditures and improving the business case for new deployments.

Natural Disaster Risk

Jakarta has a Moderate disaster risk profile, with an INFORM Risk score of 4.5 out of 10 as of September 2025. While the overall risk is manageable with modern engineering, a thorough review of specific threats is necessary for site selection.

Key natural hazards include:

  • Tsunami (9.3/10): A significant threat due to the region's seismic activity, requiring careful coastal site assessment.
  • Earthquake (8.9/10): The country sits on the Ring of Fire, making seismic resilience a non-negotiable facility requirement.
  • River Flood (8.4/10): Seasonal monsoons can cause significant riverine flooding in low-lying areas of the city.
  • Coastal Flood (8.1/10): Jakarta is experiencing land subsidence, increasing its vulnerability to coastal flooding.
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