Jakarta. Seattle-based tech giant Amazon will invest north of $2.8 billion in a data center for its cloud computing service in West Java, the province governor Ridwan Kamil said on Monday.
"One of the largest digital company in the world would invest between Rp 30 trillion and Rp 40 trillion [$2.1 billion to $2.8 billion] to build a data center," Ridwan said in a virtual meeting in the West Java Investment Summit 2020.
"I am very proud. West Java will have a data center backbone that is capable of serving digital companies across Southeast Asia," he said.
Amazon's data center would be one of the pinnacle projects that make up West Java's investment push in the next few years, the governor said.
The province, home to 50 million people or roughly half of Vietnam's population, has seen investment commitment rose by sixfold to Rp 360 trillion this year compared to last year.
Ridwan said West Java several advantages compared to other provinces. First, the province has better infrastructure compared to any other region in the archipelago.
"Next month, we will complete the first phase of the Patimban Port," he said. Then, in the next two years, West Java will operate the first fast train in Southeast Asia, connecting Bandung and Jakarta, which is now being constructed by Indonesia's and China's joint venture, Kereta Cepat Indonesia-China.
"Many toll roads are also assumed to be completed, and there is much more infrastructure," he said.
The second factor is related to human resources in the province, considered the most productive in Indonesia, Ridwan said. He said that recent studies put West Java's labor competitiveness on par with Thailand's and Vietnam's.
Ridwan, who would rule the province until 2023, said he committed to improving education, quality of infrastructure, socio-political stability, and bureaucratic reform to maintain the province's competitiveness in attracting investment.
Based on data from the Investment Coordinating Board (BKPM), West Java managed to attract Rp 28.4 trillion, or 13.6 percent, of Indonesia's total investment in the January to September period, higher than any other provinces.