Edgnex, a global digital infrastructure company backed by the Dubai-based Damac Group, is set to build a substantial AI-focused data center in Jakarta, Indonesia. This project represents a $2.3 billion investment and will position itself as one of the largest AI-dedicated centers in Southeast Asia. The site acquisition took place in March 2025, with construction now underway. The new data center is expected to reach a capacity of 144MW, focusing on AI applications using high-density racks, with phase one scheduled to go live by December 2026.
This development is timely, aligning with increasing AI technology adoption in Southeast Asia, and responding to the demand for advanced infrastructure in Indonesia. The country currently faces hindrances, including limited hyperscale data readiness, infrastructure gaps, and surging latency issues, marking Jakarta as a crucial hub for digital infrastructure investment, according to Edgnex.
Damac Group founder, Hussain Sajwani, highlighted that this project is part of a broader strategy to expand Edgnex’s reach across Southeast Asia, with commitments exceeding $3 billion in regional digital infrastructure investments. The approach includes developing more than 300MW operational capacity by 2026, including ongoing projects in Malaysia, Thailand, and elsewhere in the region.
Energy efficiency is a key component of this new AI facility, with a target power usage effectiveness (PUE) of 1.32. It follows the earlier announcement of a separate 19.2MW facility in Jakarta’s MT Haryono area—one of the city’s central data interconnection zones again aimed at cloud services, edge deployments, and AI workloads.
Recently, Edgnex acquired Hyperco, a Finnish data center developer, to expand its operations across the Nordics and Europe. This partnership strengthens Edgnex’s capability, enhancing its infrastructure footprint outside the ASEAN region. Although financial terms were undisclosed, the synergy aims to leverage Hyperco’s expertise in Nordic markets and develop world-class digital infrastructure.
