AWS Indonesia’s Country Leader Talks on Data Sovereignty and Investment in the Region

Gunawan Susanto revealed the "cloud computing" industry challenges, Indonesia's data center to be finalized in 2021

Bintoro Agung - 23 October 2019

Digital service development should not be separated from supporting services such as cloud technology. Amazon Web Services (AWS) as one of the cloud computing service providers in Indonesia revealed to DailySocial on the landscape of cloud business in the country and its challenges.

The cloud services are getting popular since conventional business shifted to digital. However, for several reasons, Indonesia’s adoption of cloud technology is relatively slow. AWS Indonesia’s Country Leader, Gunawan Susanto said, one of the reasons is that business practitioners’ lack of understanding on the importance of public cloud technology.

Susanto said, it was seen from the way digital service providers see how cloud computing works. Some people said the cloud infrastructure requires advance payment with a minimum contract for a few years that once violated can be subject to penalties.

“Cloud computing by definition doesn’t work like that. The system used is to pay as you go,” he said.

Another challenging factor is the quality of talents that haven’t met market demands. He shows concern about the low dissemination of information technology, particularly in the cloud business, affecting the public’s understanding of how important this service is.

AWS investment for the digital ecosystem

Dealing with these various challenges, AWS invests in various kinds of forms. Some of those include the AWS Training Certification program as free digital training for IT workers, including machine learning, artificial intelligence, also big data analysis; AWS Educate as a cloud computing training in educational institutions; AWS Activate as a place of consultation for startup engineers in the country.

He also said the training was mandatory to equally adjust HR skills, especially towards cloud computing. Even so, he admitted the investment was not enough that required a longer commitment.

“Is that enough? No, we want more. We also involved in Bekraf program as speakers in developer day, providing tech materials, collaborated with ITB for training, hackathon, and partnership with local partners and communities to extend cloud skills,” he added.

In another aspect, AWS reiterated their investment commitments in building cloud computing infrastructure in Indonesia. Gunawan explained that they’re soon to have a Region in Indonesia consisting of 3 Availability Zones.

Previously, Amazon has promised $1 billion investment or around Rp14 trillion in September 2018. It was for the next 10 years, said Amazon representative while visiting President Joko Widodo.

Local data center in the late 2021

As a cloud computing service provider, the security level has become the main concern. Susanto said the company focused on building a system for user’s data to stay secure. The plan is to build a local data center by the end of 2021 or early 2022

The important role of a local data center is affecting some businesses to doubt moving to the public cloud. By having data center in the country, they’ll be less insecure due to the protection of government regulations.

“The principle is to always have conversations on all regulations in each country. Therefore, we’ll keep helping our customers to comply with the current regulation. After all, by having data center in Indonesia, AWS customers should have easier access, particularly in the highly regulated industry,” Susanto said.

Regarding this issue, the government has prepared a revision of the Government Regulation No. 82 of 2012 on the Implementation of Electronic Transactions and Systems (PSTE). The latest news said the revised version has signed by the President. There’s one article said that overseas data storage allowed in Indonesia.

Original article is in Indonesian, translated by Kristin Siagian is a news portal for startup and technology innovation. You can be a part of`s startup community and innovation members, download our tech research and statistic reports, and engage with our innovation community.

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