Indonesian data center investments divert to Johor, Malaysia due to competitive electricity prices, tax exemptions, and legal certainty.

Indonesian Minister of Communication and Information Budi Arie Setiadi highlighted that foreign investors favor establishing data centers in Johor, Malaysia, due to competitive electricity prices, tax exemptions, and legal certainty. A Maybank report projects investments in Johor's data centers to reach $3.8 billion this year. In contrast, Indonesia's sector struggles with less attractive incentives, prompting investors to choose Malaysia instead.

October 17, 2024
5 Articles