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AWS' new Indonesia cloud region to add $11bn in national GDP contributions

The Amazon cloud business arm plans to invest around $5 billion in the local economy over the next 15 years to support the digitalisation of all sectors.

By João Marques Lima

Co-founder and Editor, The Tech Capital

3 Mins

December 15, 2021 | 6:00 AM GMT

Amazon Web Services, Inc., an Amazon.com, Inc. company (NASDAQ: AMZN) has launched the AWS Asia Pacific (Jakarta) Region increasing its cloud services provision in South East Asia as data production intensifies on both consumer and enterprise levels.

Developers, startups, entrepreneurs, and enterprises as well as government, education, and non-profit organisations are now able to run their applications and serve end users from data centres located in Indonesia.

AWS has also released an economic impact study (EIS) estimating that the company’s spending on the construction and operation of the new AWS Asia Pacific (Jakarta) Region will create 24,700 direct and indirect jobs with an estimated $5 billion (IDR$71 trillion) in planned investment in the local economy.

The Region will also add an estimated $10.9 billion (IDR$155 trillion) over the next 15 years to Indonesia’s Gross Domestic Product (GDP).

AWS first opened an office in Jakarta in 2018 to support its rapidly growing customer base across the country.

Prasad Kalyanaraman, Vice President of Infrastructure Services at AWS, said: “The cloud provides organizations of all types and sizes—from businesses to educational institutions to government agencies—opportunities to transform their operations and reinvent experiences for their customers and end-users.

“AWS is excited to announce our new Region in Asia Pacific and help Indonesian institutions, innovative start-ups, and world-leading companies deliver cloud-powered applications to fuel economic development across the country. Organizations across industries in Indonesia can now take advantage of the AWS Asia Pacific (Jakarta) Region to lower costs, increase agility, and drive innovation.”

Organisations across Indonesia that have moved their mission-critical workloads to the cloud include Adskom, Amartha, Anter Aja, ASEAN Foundation, Bhinekka, Bizzy, Bridestory, Bank Commonwealth Indonesia, Dinas Komunikasi dan Informatika Jawa Barat, Elevenia, FinAccel, Happyfresh, Haldin, Hara Token, Halodoc, Jawa Pos, Kumparan, Kompas, Lion Air, MNC Group, Mamikos, Optik Melawai, Optik Seis, Sayurbox, Sekolah.mu, Shipper, SiCepat, Simak Online, Sociolla, The Body Shop, Tokopedia, Traveloka, and XL Axiata.

Perry Warjiyo, Governor of Bank Indonesia, the nation’s central bank, added: “We expect that AWS’s cloud technology will help us achieve our vision and goals outlined in the Indonesia Payment Systems 2045 blueprint, fully digitalising the nation’s payment systems and integrating a multitude of stakeholders and economic activities under the guiding principles of security and data protection.”

With the launch of the AWS Asia Pacific (Jakarta) Region, AWS has 84 Availability Zones across 26 geographic regions globally, with announced plans to launch 24 more Availability Zones and eight more AWS Regions in Australia, Canada, India, Israel, New Zealand, Spain, Switzerland, and the United Arab Emirates.

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João Marques Lima

Co-founder and Editor, The Tech Capital

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