Infrastructure

LG Pioneers $72M AI Data Hub in Indonesia with Sinar Mas

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LG CNS, the IT solutions arm of LG Group, is poised to build Korea’s first overseas AI data center in Jakarta with an investment of $72 million. This initiative, in conjunction with Sinar Mas, marks a milestone for Korean companies venturing into international AI infrastructure. The partnership with Indonesia’s third-largest conglomerate aims to establish the largest AI data center in Indonesia by late 2026.

Spanning 11 stories and featuring over 100,000 servers, the data center will initially operate at 30 MW of power capacity, scalable to 220 MW. The scale and capacity underscore Jakarta’s potential as a regional digital hub, inviting attention from AI and GPU infrastructure enthusiasts.

Key to the center’s design is the “One LG” approach. Technologies from LG subsidiaries, such as cooling systems and battery solutions, are integrated within the facility. The focus on hybrid cooling systems reflects a commitment to sustainability while addressing the high-performance demands of AI applications. Furthermore, the facility promotes network neutrality, allowing tenants to select their preferred telecom providers.

Strategically located in Jakarta’s Menteng area, the center benefits from close proximity to crucial national infrastructure and submarine cables. This choice aligns with Hyun Shin-kyun’s vision, LG CNS’s CEO, to spread AI-driven data centers across Southeast Asia, including to Singapore and Malaysia.

Beyond this project, LG Uplus recently launched a verification project. In collaboration with LG Electronics and LG CNS, it aims to enhance data center cooling efficiency using AI and digital twin technology. This initiative seeks to cut energy usage by up to 10% through AI-based control systems and digital-twin technology in chillers and air conditioning units.

As part of this ambitious energy-saving endeavor, the project will unfold in phases. Initial efforts focus on optimizing cooling processes, followed by predictive maintenance, and a broader integration of power monitoring. Real-time data collection in a new test room at the Pyeongchon 2 Center will underpin these developments, with the new system expected to be implemented at the upcoming Paju Center.

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