Oracle plans to partner with DayOne Data Centers to establish its first cloud services center in Indonesia. The company will lease DayOne's data centers in Nongsa Digital Park on the island of Batam and be the sole tenant at plots that could support facilities with at least 120 megawatts of power. This move is part of Oracle's cloud push in Indonesia.
Oracle has quietly established a cloud presence in Indonesia by partnering with DayOne Data Centers Singapore. According to Bloomberg, Oracle will lease data centers operated by DayOne, which is situated at Nongsa Digital Park on the island of Batam [1]. This move is part of Oracle's broader strategy to expand its cloud services in Southeast Asia.
The Batam cloud region is listed as live on Oracle's website and is located in Nongsa Digital Park, a special economic zone granted status in July 2020. The park offers tax incentives for data center businesses and is home to several other data centers, including a facility established by Hong Kong private equity firm Gaw Capital Partners in February [1].
Oracle's expansion in Indonesia comes at a time when the country's data center market is rapidly growing. Microsoft and Google already operate cloud regions in the country, while colocation giant Digital Realty recently formed a joint venture with Bersama Digital Infrastructure Asia for an expansion [1]. Most of Indonesia’s data centers are clustered around Jakarta, which is located on the island of Java.
The partnership with DayOne is significant as the company counts TikTok owner ByteDance as its largest customer, with Oracle taking the second spot [2]. DayOne's data centers in Batam are expected to support facilities with at least 120 megawatts of power, a capital investment of at least $1.2 billion [3].
Oracle's move into Indonesia follows a $30 billion deal to provide cloud services to OpenAI, indicating a strong commitment to the AI and cloud computing sectors [1]. This expansion aligns with Oracle's broader strategy to invest in AI infrastructure globally, including its Stargate initiative with partners like SoftBank Group Corp. [3].
This development is part of a broader trend where major tech companies are building data centers across Asia to support the growing demand for AI services. Oracle's investment in Malaysia, where it plans to spend over $6.5 billion to establish a public cloud region, underscores this trend [2].
References:
[1] https://www.datacenterdynamics.com/en/news/oracle-establishes-cloud-presence-in-indonesia/
[2] https://seekingalpha.com/news/4466357-oracle-plans-to-team-up-with-dayone-for-cloud-services-in-indonesia
[3] https://www.bloomberg.com/news/articles/2025-07-10/oracle-said-to-move-ahead-with-cloud-services-plan-in-indonesia
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