The demand for data centre infrastructure in Indonesia is experiencing an unprecedented surge as artificial intelligence (AI) workloads escalate. Current projections indicate that server racks, which once required only 3 kilowatts of power in 2012, are now demanding an astonishing 120 kilowatts per rack. This trend is set to continue, with racks consuming 600 kilowatts expected to emerge this year, and the potential for that figure to rise to 1,000 kilowatts in the near future.
As the Indonesia Data Center Provider Organization (IDPRO) points out, these shifting power requirements necessitate a departure from traditional air-based cooling systems. The increasing computing density associated with AI workloads means that liquid cooling technology is now essential for maintaining operational reliability and preventing thermal throttling in high-density computing environments.
Future Projections and Current Capacity
IDPRO's chairman, Hendra Suryakusuma, estimates that Indonesia's total data centre capacity will reach around 1.6 gigawatts (GW) by the end of 2026. The total national IT load is projected to soar from 1,717 megawatts (MW) in 2026 to 4,145 MW by 2031, reflecting a compound annual growth rate (CAGR) of 19.27%. This growth is supported by Indonesia's burgeoning digital landscape, which boasts a population of approximately 286 million, with 230 million internet users and 331 million mobile connections anticipated by 2025.
Globally, the power consumption for AI workloads and supporting infrastructures is set to increase dramatically, rising from 4.3 GW in 2023 to between 13.5 GW and 18 GW by 2028. Additionally, AI's share of total data centre power consumption is expected to jump from 8% to between 15% and 20% within the same timeframe.
The Shift Towards Liquid Cooling
Ellya Cen, Schneider Electric Indonesia's business vice-president for data centres, notes the consequential impact of AI on data centre development. She states, "AI is pushing data centres into a new era. Infrastructure that was once measured primarily by space capacity and connectivity must now be prepared for much higher power requirements, more intense heat, and increasingly critical uptime demands." Schneider Electric has positioned itself to meet these demands with a range of liquid cooling solutions, designed to support GPU servers and high-density environments.
The company also integrates liquid cooling with air cooling in a hybrid system to effectively manage heat loads, enhancing efficiency. Since 2018, Schneider Electric has supported cooling capacities exceeding 400 kilowatts per rack and claims its portfolio meets around 90% of end-to-end data centre infrastructure requirements. In February 2025, the firm bolstered its capabilities by acquiring Motivair, a leader in liquid cooling technology with experience supporting some of the fastest supercomputers worldwide.
Indonesia's Potential as a Regional Hub
Despite these advancements, Suryakusuma emphasizes that Indonesia must enhance its regulatory framework and fiscal incentives to solidify its position as a data centre and AI hub in Southeast Asia. He asserts, "With adequate regulatory support and incentives, Indonesia has the potential to become the largest AI and data centre hub in the region." This vision hinges on the adoption of renewable energy sources and a rapid response to the evolving technological landscape.
As the demand for AI capabilities continues to rise, Indonesia stands at a crossroads. The country has the potential to lead in AI and data centre innovation, provided it can foster an environment conducive to growth and sustainability. Liquid cooling technology will play a key role in this evolution, ensuring that data centres can meet the rigorous demands of the future.
