Jakarta. Indonesian tech firm Dian Swastatika Sentosa has appointed LG Sinar Mas Technology Solutions, a joint venture with South Korea’s LG, to help build a cutting-edge data center in Jakarta in a deal worth Rp 1.23 trillion ($75 million).

The partnership will support the construction of SMX01, an AI-ready data center whose development officially began on March 6, Dian Swastatika said in a statement on Tuesday.

The project is backed by an overall investment exceeding $300 million.

The agreement covers a wide scope of work, including mechanical, electrical, and plumbing systems (MEP), long lead equipment (LLE), information and communication technology (ICT), security systems, and integrated management and control systems.

SMX01 will span nearly 15,500 square meters of white space and is scheduled to launch in the second half of 2026 with an initial capacity of 18 megawatts, scalable up to 60 megawatts.

The facility is being designed to cater to a broad range of clients -- from large enterprises to global hyperscale operators -- and will house up to 2,400 racks across nine separate data halls.

According to the company, SMX01 will include features tailored for high-performance computing (HPC) and power-intensive workloads, such as artificial intelligence (AI) and machine learning applications.

Dian Swastatika, part of the diversified Sinar Mas Group, said the data center will help position Indonesia as a regional hub for digital innovation and transformation in Southeast Asia.

“Our company began exploring the data center services business in 2023,” the company noted, highlighting the venture as part of its broader strategy to tap into Southeast Asia’s booming digital economy, which is forecast to reach $1 trillion by 2030.

The project also supports Dian Swastatika’s long-term revenue diversification efforts, as demand for digital infrastructure in the region continues to surge.