[K-Tech] LG CNS will build Indonesia's largest AI data center

A visual concept of Indonesias AI datacenter LG CNS is to construct Courtesy of LG CNS — A rendering of Indonesia's AI datacenter LG CNS will construct. Courtesy of LG CNS

SEOUL, August 6 (AJP) - LG CNS said Wednesday it had secured a contract to build Indonesia’s largest artificial intelligence data center, marking the first time a Korean firm will construct such a facility abroad.

The project, located in Jakarta, involves the development of an 11-story hyperscale AI data center with a power capacity of 30 megawatts and a total floor space of roughly 46,000 square meters.

Construction is slated for completion by the end of 2026. Once operational, the facility will house more than 100,000 servers and is estimated to cost around 100 billion won, or about $75 million.

The company said it sees the project as a strategic foothold for entering key regional markets such as Singapore and Malaysia, where demand for AI infrastructure is rapidly accelerating.

LG CNS signed the construction deal on Monday through its joint venture, LG Sinarmas Technology Solutions, with Indonesia’s Sinar Mas Group — the country’s third-largest conglomerate.

The client, Kuningan Mas Gemilang (KMG), is a joint venture between Sinar Mas and Korea Investment Real Asset Management. The company plans to increase the facility’s power capacity to 220 megawatts in later development phases.

KMG tapped LG CNS as its construction partner after the Korean firm completed consulting and design services for the project in 2024.

To accommodate the demands of AI workloads, the facility will employ a hybrid cooling system that combines conventional air-based cooling with advanced liquid cooling technologies — necessary for handling the extreme heat produced by high-performance GPUs.

The data center will also support high-density racks with power demands of up to 130 kilowatts each — more than 20 times that of typical racks — and will be equipped with dual power systems to ensure uninterrupted operations.

Cooling solutions will be supplied by LG Electronics, and energy storage systems will come from LG Energy Solution.

“This project demonstrates our ambition to be a global leader in AI data infrastructure,” said Hyun Shin-gyoon, chief executive of LG CNS. “We will leverage our expertise to deliver a next-generation AI data center that creates exceptional value for our client and expands our presence across Southeast Asia.”

Kim Dong-young davekim0807@ajupress.com