Indosat Ooredoo Hutchison (IOH) has made a groundbreaking move in Indonesia’s digital sector with the announcement of a significant acquisition by BDx Indonesia. This acquisition, a joint venture involving Indosat, BDx Data Centers (BDx), and Lintasarta, is set to revolutionize Indonesia’s digital landscape. It entails acquiring a portfolio of carrier-neutral colocation and edge sites in key Indonesian cities such as Jakarta, Surabaya, Batam, Medan, Makassar, Bandung, and Semarang.
These data center sites are strategically connected to six domestic and five international subsea cables, enhancing their digital connectivity and expanding their reach.
The deal, valued at IDR 2,625 billion (over $168M), is supported by three Indonesian banks – BCA, Bank Permata, and Bank Bukopin, providing the necessary financial backing to BDx Indonesia. This acquisition builds on the collaboration between Indosat and BDx that began in 2022, aligning with the Indonesian Government’s Digital Roadmap and infrastructure objectives. It also demonstrates a commitment to utilizing technology for national advancement. FTI Capital Advisors acted as the financial advisor to Indosat in this transaction.
The acquisition will greatly enrich the interconnected ecosystem that BDx Indonesia is fostering. This network of data centers will facilitate connections between businesses and various digital entities such as cloud providers, content delivery networks (CDNs), and digital finance companies. This integration is made possible through Internet Exchanges (IXs), cloud onramps, and private interconnects involving multiple telecommunications providers. Such a network infrastructure is crucial for disseminating digitalization across Indonesia, accelerating hybrid digital transformations, and enhancing digital experiences for enterprises, technology companies, and internet users.
BDx Indonesia has been actively enhancing its digital infrastructure, with significant expansions in 2022 at four data centers in Jakarta and West Java. One site now supports high-density AI workloads using green hydropower and sustainable liquid cooling technology. The potential for further expansion is substantial, as most sites have available space in existing buildings and adjacent land. The Batam site is strategically positioned to accommodate overflow demand from Singapore. By adhering to global operating standards, BDx Indonesia offers enterprises, cloud providers, and content delivery networks the opportunity to deploy critical workloads closer to the network edge.
Following the acquisition, BDx Indonesia’s capacity will increase to over 150MW across ten operational carrier-neutral colocation facilities in major Indonesian cities. This includes a new 15MW facility near Jakarta, scheduled for completion by Q4 2024, and a 100MW hyperscale campus in East Jakarta’s Suryacipta. Moreover, carrier-neutral edge sites across Indonesia’s main islands are being developed with eco-friendly designs, promoting digitalization and benefiting a large portion of the population.
All BDx Indonesia data centers come equipped with IX facilities and private network interconnects, including various cloud onramps. This expansion not only meets the growing digital needs of customers but also aligns with BDx Indonesia’s dedication to driving the digital economy.
