APPD Market Report Article
Batam
August 21, 2025
Day One has made 5 MW capacity operational and expand further with increasing power facility
- Batam is rising as a critical alternative to space-constrained Singapore for data centre development, attracting hyperscale operators seeking locations for cloud, e-commerce, and AI infrastructure.
- Batam has 80 MW under various stages of development out of a planned 250 MW at Nongsa Digital Park, with only about 6 MW fully utilised.
One of the hyperscalers has made significant pre-commitment in the Nongsa digital park
- As Indonesia’s second-largest data centre hub, key developments include DayOne’s investment and Gaw Capital/Sinar Primera’s phased project implementation.
- Demand is primarily driven by hyperscale deployments but are yet to get operational.
Gaw Capital and Sinar Primera launched a 5.2 MW data centre in Batam with plans for 20 MW more
- Power constraints will limit growth until 2026-27, with land banking occurring as operators anticipate future availability. Service response times are managed through Singapore-based technical support.
- Power constraints will limit growth until 2026-27, with land banking occurring as operators anticipate future availability. Service response times are managed through Singapore-based technical support.
Outlook
- For Users
• Hyperscale pre-commitments to dominate demand.
• AI developments to influence enterprise decisions.
• Lease rentals rates to remain stable. - For Providers
• To emerge as preferred location for inference workloads.
• Stable growth driven expected due to connectivity hub status.
• Availability of power to become key parameter while planning expansion.






