Data Centers in Makassar
1 locations found
Need Help?
Tell us about your needs and our team of experts will help you find and choose the perfect Data Center and solution at the best price.
Explore Other Markets in Indonesia
Makassar – Strategic Connectivity for the Eastern Archipelago
Executive Summary
Makassar serves as the primary jumping–off point for organizations expanding into Eastern Indonesia. It provides a critical localized presence for enterprises requiring low–latency delivery to Sulawesi and Papua while maintaining a managed environment for high–availability workloads. Establishing infrastructure here offers a direct competitive advantage for reaching emerging regional markets with minimal lag.
Makassar: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Developing regional hub with rising subsea cable landing points. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest major cloud on–ramp hub is located in Jakarta. |
| Power Cost | $0.08–$0.11/kWh, as of September 2025 | Industrial rates utilize a high fossil fuel mix. |
| Disaster Risk | Moderate (4.5/10), as of September 2025 | Seismic and coastal risks require facility hardening. |
| Tax Incentives | Yes | Concessions available for data centers in designated zones. |
| Sales Tax | VAT 12%, as of September 2025 | Standard national value–added tax rate for services. |
Network & Connectivity Ecosystem
Makassar is an evolving regional hub hosting a concentrated group of carriers serving the eastern archipelago. The market is maturing, with neutral facilities allowing for flexible provider selection to ensure uptime for critical services.
- Carrier Density & Carrier Neutrality: Carrier count: over 5 – as of September 2025. Most facilities provide access to a mix of domestic and regional carriers. This environment supports reliable redundancy for local enterprises and service providers.
- Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions – as of September 2025. Local enterprises typically access cloud services via private network interconnects or dedicated wave services backhauling to major availability zones in Jakarta or Singapore.
- Internet Exchange Points (IXPs): Primary local peering is facilitated through regional exchanges that connect Sulawesi to the national backbone. Most high–volume peering for international content is handled via the nearest national hub in Jakarta.
- Bare Metal: High–performance hardware is available through global providers like Hivelocity or Latitude.sh as of September 2025. These options support workloads that require dedicated physical resources without hypervisor overhead.
Power Analysis
The power infrastructure in Makassar is built to support the city's role as a logistics and administrative center. Reliability is prioritized for designated economic zones to meet the continuous demands of modern colocation.
- Average Cost Of Power: Industrial electricity rates in the region fall within a range of $0.08–$0.11/kWh as of September 2025. The generation mix is approximately 81% fossil fuels and 19% renewables, primarily hydro and geothermal. These rates provide a stable foundation for compute operations.
- Power Grid Reliability: The local grid in major industrial corridors is supported by multi–substation redundancy. The infrastructure is engineered to maintain stability for high–density deployments in the city's key commercial districts.
Market Access, Business & Tax Climate
Makassar is the undisputed gateway to Eastern Indonesia, providing a direct digital link to the population centers of Sulawesi, Maluku, and Papua.
- Proximity To Key Business Districts: Data centers are positioned to serve the Makassar central business district and the growing logistics sector near the port. This proximity allows for rapid physical access and low–latency connectivity for financial and administrative sectors.
- Regional Market Reach: The city is the most effective location for reaching the eastern provinces. It serves as a regional aggregation point for traffic originating from a vast geography, making it a critical site for content delivery networks.
- Tax Advantage For Data Centers: The government provides specific tax concessions and regulatory relief for data centers operating within designated economic zones. These incentives lower the barrier to entry by reducing the tax burden on infrastructure equipment and facility operations.
Natural Disaster Risk
The overall risk profile for Makassar is Moderate (4.5/10) as of September 2025. As a coastal metropolitan area, seismic and water–related hazards are the primary concerns for facility operators.
- Tsunami: 9.3/10 (High) – as of September 2025
- Earthquake: 8.9/10 (High) – as of September 2025
- River Flood: 8.4/10 (High) – as of September 2025
- Coastal Flood: 8.1/10 (High) – as of September 2025
- Epidemic: 7.4/10 (Moderate) – as of September 2025
While the scores for coastal flooding and tsunami are high, specific site selection on higher ground or within reinforced structures can mitigate these regional risks. Other natural hazards, such as tropical cyclones, are considered minor for this location.
