Summary:
1. EDGNEX Data Centers, a subsidiary of DAMAC Group, plans to invest $2.3 billion in a hyperscale facility in Jakarta for AI-centric infrastructure.
2. The facility will provide 144 MW of IT capacity, with the first phase expected to be operational by December 2026.
3. The expansion is part of EDGNEX’s strategy to increase its presence in Southeast Asia and meet the growing demand for data center services in the region.
Rewritten Article:
Dubai-based EDGNEX Data Centers, a subsidiary of the esteemed DAMAC Group led by Hussain Sajwani, has recently announced its ambitious plan to build a cutting-edge hyperscale facility in Jakarta, Indonesia. With a staggering investment of $2.3 billion, this project is set to be one of the largest AI-centric infrastructure developments in Southeast Asia. The facility, which will be EDGNEX’s second venture in Indonesia, is poised to deliver a substantial 144 MW of critical IT capacity once fully operational.
Land acquisition for the project was finalized in March 2025, and construction is already in progress. The first phase of the facility, with a capacity of 48 MW, is anticipated to be up and running by December 2026. EDGNEX is designing the racks to accommodate ultra-dense deployments suitable for generative AI training clusters, an area where Indonesia currently trails behind its regional counterparts in terms of power availability and network latency.
With a targeted power-usage-effectiveness rating of 1.32, the facility is expected to achieve high efficiency standards compared to other data centers in the region. EDGNEX plans to leverage liquid-ready cooling, high-voltage distribution, and renewable-energy certificates to reduce carbon intensity. Hussain Sajwani emphasized the necessity for a new class of infrastructure to meet the escalating demands of emerging AI workloads, citing Jakarta’s burgeoning cloud market and its strategic location near subsea cable landings as key factors driving the expansion.
This announcement comes on the heels of EDGNEX’s first Indonesian data center in the MT Haryono district, slated to be operational in the third quarter of 2026. Combined, the two Jakarta sites will boost the company’s committed Indonesian pipeline to over 160 MW, elevating its total investment in Southeast Asia to over $3 billion. EDGNEX is also actively pursuing additional projects in Bangkok and Johor.
Industry experts predict that Indonesia’s colocation market is on track to surpass 1 GW of installed capacity by 2028, fueled by government policies favoring cloud-first initiatives, the rapid growth of e-commerce, and widespread AI adoption. However, the readiness of hyperscale facilities remains a challenge, with average data center PUE exceeding 1.6 and lengthy power procurement processes lasting up to 36 months. EDGNEX’s upcoming facility, if completed as planned, is poised to be among the first in the country to achieve a PUE threshold of 1.35 at scale.
EDGNEX has set its sights on surpassing 300 MW of live capacity across Southeast Asia by 2026, positioning the brand as a prominent player in the region’s wholesale data center market. With a strong focus on cutting-edge technology and sustainable practices, EDGNEX is primed to meet the evolving needs of businesses in Southeast Asia and beyond.