One of the top considerations for datacentre-related investments

The increase in demand for digital infrastructure is indisputable

According to IDC Asia/Pacific excluding Japan (APEJ) Datacentre Survey (2021), about one-third of organizations in Indonesia see sustainability as one of the key considerations when selecting a colocation provider. These organizations identify investments in renewable energy sources and green initiatives as the selection criteria.

“Sustainability is becoming an important issue across APEJ, having implications not only on enterprises but also on their entire supply chain,” says William Lee, Research Director at IDC Asia/Pacific.

Asia/Pacific is experiencing transformation from core to edge, with the emergence of sub-regional datacentre (clusters/hubs) and Jakarta is a top contender for Southeast Asia. As Indonesia marches towards the industry 4.0 revolution with its “Making Indonesia 4.0” program, the increase in demand for digital infrastructure including datacentre and cloud-related services is indisputable, as it is expected to be the foundation for the country’s digital transformation. Thus, the datacentre industry is challenged to address both the supply shortages issue and the market’s sustainability concerns through more sustainable initiatives.

IDC’s insights determine a shift of workloads to colocation in the Indonesia datacentre market in the coming years after relying on telco-provided resources’ support to deploy edge datacentres. However, with environmental trends disrupting the datacentre industry, about half of APEJ datacentre organizations, including colocation, needs immediate actions and changes to avoid significant impacts and to seize the opportunity. Moreover, innovation on more sustainable operations to mitigate carbon emissions is crucial for developed countries to reach climate goals.

“The datacentre industry is increasingly facing pressure from stakeholders, such as regulators and investors, to make operations more sustainable,” adds Lee.



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