Indonesia Data Center Buildout
Jume ◉@jume
−9.8%
since Oct 9
The idea
I believe Indonesia, anchored by Batam's role as Singapore's overflow site, is becoming one of Southeast Asia's real data center hubs as big campuses come online through 2027 and beyond. The portfolio pairs direct exposure, Telkom Indonesia, a broad Indonesia ETF, and GDS, with the global suppliers every campus needs: tropical-grade cooling, power and grid gear, chips, and fiber links to Singapore, plus the cloud giants running Jakarta regions for ballast. No single name dominates, and cash is held to absorb emerging market and currency swings while this plays out over years.
What it owns
- The few US-listed ways to own Indonesia's data center and digital growth itself. · Telkom IndonesiaIt owns NeutraDC, Indonesia's main domestic data center operator, making it the most direct US-listed way to own the country's buildout as long as NeutraDC keeps adding capacity., iShares MSCI Indonesia ETFIt tracks the wider Indonesian economy that must stay healthy for data center campuses to get built, including a steady currency and welcoming foreign policy., GDS HoldingsIt used to own DayOne, the operator building Batam's main Nvidia AI campus, so it earns a spot only while it keeps a meaningful stake in that value.23%
- The cloud giants running Jakarta regions are the biggest renters of Indonesian capacity and steadier holdings. · AmazonAWS runs a Jakarta region and is both a buyer of Indonesian data center space and a steadier counterweight to the bumpier local stocks in this take., MicrosoftIt runs a cloud region in Indonesia and is a customer for local campuses, making it a steadier holding than Indonesian-listed stocks in this take., AlphabetIt runs a cloud region in Jakarta and is one of the tenants Indonesia's buildout depends on, moving less than local stocks.21%
- Hot, humid sites like Batam need far more cooling, so cooling suppliers win on every campus built there. · Vertiv HoldingsIt sells the cooling and power equipment that keeps servers running, and hot humid sites in Batam and Jakarta need more of it than most regions., Modine ManufacturingIt makes chillers and cooling units for data centers, and tropical sites work that gear harder than campuses in cooler climates., Trane TechnologiesIt builds the large chillers that big campuses need to stay cool in Indonesia's heat and humidity., Johnson ControlsIt has a large cooling and building systems business across Asia and is well positioned to supply Indonesian data center campuses.18%
- The chips filling Batam's AI campuses and the fiber gear linking them to Singapore. · NVIDIAThe Firmus and DayOne campus in Batam is being built as an Nvidia AI factory, so its chips are what fill Indonesia's biggest new AI buildout., CienaIt sells the optical gear that runs fast links between Batam and Singapore, the connection that makes the whole location strategy work., CorningIt is one of the biggest makers of fiber optic cable, and every campus and every link back to Singapore runs on fiber.15%
- Every new campus needs switchgear, transformers and generation before it can open. · Eaton CorporationIt makes switchgear, transformers and backup power systems that every data center campus needs before it can switch on., GE VernovaIt makes the turbines and grid equipment utilities buy to supply the massive power demand that new data center campuses in Batam will need.13%
- Cash10%