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Microsoft Invests $1.7 Billion to Empower Indonesia’s Cloud and AI Sector

Microsoft, a giant in cloud computing, has taken a big step in artificial intelligence integration. Remarkably, it brought an AI chatbot to its search engine, Bing.

As mentioned in its latest earnings statement for the January-March period, the earnings of Microsoft soared by 20%. This growth makes the company a leader in using AI to improve workplace productivity.

Microsoft’s CEO Satya Nadella said that Microsoft plans to invest $1.7 billion in the next four years to master Cloud technology and artificial intelligence in Indonesia. This investment is Microsoft’s biggest single investment in 29 years in the country.

This new generation of AI is reshaping how people live and work everywhere, including in Indonesia,” said Nadella, in Jakarta on the first stop of a tour of Southeast Asia.

The investments we are announcing today – spanning digital infrastructure, skilling, and support for developers – will help Indonesia thrive in this new era,” he said.

Microsoft looks at Southeast Asia as a large growing market that would attract more investment in product research and development. Given the fact that AI is getting increased acceptance in the area, its economic structure is most likely to be affected in a significant way.

In a study conducted by Kearney, a global consulting company that pays attention to technology and the economy, AI is estimated to contribute USD 1 trillion to SouthEast Asian GDP by the year 2030, with Indonesia being a major beneficiary of the USD 366 billion growth.

The investments announced include AI training for 840,000 people and support for the fast-growing Indonesian technology developer community.

Indonesia provides a developer community of the third largest size in the Asia-Pacific region with more than 3.1 million users of GitHub owned by Microsoft. By 2026, it will take a place among the top five largest GitHub communities around the world. 

Apple CEO Tim Cook discussed the possibility of opening the company’s manufacturing plant during his meeting with Mr. Joko Widodo who is the President of Indonesia. 

Indonesia focuses on the development of the digital technology and information sector over the five years under the administration of Joko Widodo and accordingly connects it back to the Vision of the Golden Indonesia 2045.