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Indonesian Government Intensifies Development of Semiconductors and Artificial Intelligence as Key to Future Technology


  1. In the Indonesian Academy of Sciences (AIPI) Seminar themed "Semiconductors and AI as Drivers of the Future Technology Revolution" in Jakarta, Wednesday (15/01), Coordinating Minister for Economic Affairs, Airlangga Hartarto, said that Indonesia's commitment to innovation must continue to be improved. Currently, Indonesia is ranked 54th in the Global Innovation Index (GII) 2024, which shows an increase of 7 ranks compared to the previous year.

  2. Airlangga explained the importance of the role of semiconductors and AI in the development of future technology. Based on a McKinsey report, global demand for semiconductors in 2030 is estimated to reach USD1 trillion, most of which will be met by the data center sector (33%), wireless communications (26%), and automotive (14%).

  3. As global demand increases, the need for semiconductors in Indonesia is also increasing. The government is targeting the production of four-wheeled electric vehicles (EV) of 600 thousand units by 2030 and the production of mobile phones and tablets to reach 40.2 million units by 2022. However, Indonesia is still highly dependent on semiconductor imports, with imports estimated to reach around USD22.31 billion by 2045.

  4. The government is exploring cooperation with foreign universities, such as Arizona State University and Purdue University, as well as facilitating internship programs in the field of IC design and semiconductor research funding. This initiative aims to develop competent human resources and support the national semiconductor industry.

  5. The Government's vision is to make Indonesia a major producer in the global semiconductor supply chain, as well as develop research and innovation capacity in the field of AI. To realize this, cooperation from all parties is needed to create a smarter, more productive and prosperous future for Indonesia.


 
 

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