The Zhitong Finance App learned that artificial intelligence (AI) cloud computing company CoreWeave (CRWV.US) is trying to enter the Asian market and will build the first batch of data centers in the region to expand this region where demand for computing power is growing rapidly.
CoreWeave said in a statement that it plans to build three new data centers in Indonesia with a total capacity of 360 megawatts. These data centers will target AI laboratories, startups, and large enterprise customers in Southeast Asia. The company said these data centers are expected to be put into operation in 2028, adding that the company will invest billions of dollars in the project, but is unable to provide a specific amount of investment.
Indonesia is gradually becoming an important hub for AI infrastructure construction. The driving factors include the rapid spread of cloud computing applications, increased regulatory requirements for data localization, and large-scale investments from US tech giants, such as Amazon (AMZN.US) and Microsoft (MSFT.US), which have invested billions of dollars to build related infrastructure.
According to Research and Markets, the Indonesian data center market is expected to more than double in size to reach US$6.08 billion by 2031. In 2021, Amazon promised to invest $5 billion in artificial intelligence and cloud infrastructure in Indonesia; Microsoft plans to invest $1.7 billion by 2028. The investment is expected to create tens of thousands of jobs and further enhance Indonesia's position in the regional digital economy.
CoreWeave said the company will set up a local team in Indonesia to operate the new data center, which will further promote the development of the local data center industry in Indonesia.
CoreWeave currently operates 49 data centers in North America and Europe, serving customers including OpenAI, Meta Platforms (META.US), and Microsoft. The company said it is currently using more than 1 gigawatt of electricity capacity and has signed a contract for an additional 3.5 gigawatts of power capacity. The company is working to expand the size of its data center to meet market demand for more Nvidia (NVDA.US) AI chip access capabilities while selling more profitable software and services to customers.
According to reports, Coreweave's AI computing power capacity has basically been sold out this year. The company is rapidly increasing capital investment and using financing solutions to accelerate the construction and launch of new data centers. At the same time, the company is also seeking to expand its customer range and is no longer limited to traditional technology enterprise customers.