Indonesia Must Embrace AI to Accelerate Digital Transformation: Meutya
Jakarta. Communication and Digital Affairs Minister Meutya Hafid said on Thursday that Indonesia must actively engage in artificial intelligence (AI) development to keep pace with the world’s major powers, which are competing to dominate the technology.
She noted that China’s rapid advancements in AI are reshaping the global digital economy, highlighting the emergence of DeepSeek, an AI chatbot developed by young Chinese researchers.
Speaking at the 2025 Beritasatu Economic Outlook in Jakarta, Meutya pointed out that DeepSeek’s successful debut has challenged US dominance in AI technology, leading to a $969 billion drop in market value for top American tech companies.
DeepSeek distinguishes itself by offering a more affordable AI solution through its open-source generative AI model, making advanced AI technology accessible to a broader audience.
AI as a Key Driver of Economic Growth
Meutya stressed that AI will play a crucial role in supporting Indonesia’s digital economy and driving national economic growth.
"The current global competition is not only about military capabilities but also digital technology. Developing AI and embracing the digital economy is now an urgent priority for every nation, including Indonesia," she said.
She added that Indonesia’s digital transformation must be inclusive, empowering, and reliable, ensuring that technological advancements deliver tangible benefits to the people.
"Technology adoption must add value to society and bring real, measurable outcomes," she added.
Indonesia’s Digital Economy on the Rise
According to data from the Ministry of Communication and Digital Affairs, Indonesia attracted $21.9 billion in digital investment in 2024, making it the second-largest recipient of digital investment in ASEAN.
The country’s digital economy and online retail sector are expanding rapidly, with gross merchandise value (GMV) reaching $90 billion last year.
Additionally, Indonesia’s ranking in the World Digital Competitiveness Index has seen significant improvement, climbing from 56th place in 2019 to 43rd in 2024, reflecting the country’s growing digital capabilities and global competitiveness.
Tags: Keywords:Related Articles
Nvidia Eyes ‘AI Supercomputer’ in Every Home With New PC Chip
Nvidia unveiled its RTX Spark superchip, bringing advanced AI capabilities to Windows PCs and challenging Intel and AMD.
How to Prepare for an AI-Led Job Interview
AI-powered interview bots are becoming common as recruiters handle a surge in job applications.
Indonesia Weighs AI Royalty Agency to Protect Creators’ Rights
Indonesia is considering a collective royalty body that would require AI firms to compensate creators whose works are used in AI training.
Indonesia Plans Phone Verification for Social Media Users to Curb Anonymous Accounts
Indonesia plans mandatory phone verification for social media users to reduce fake accounts, hoaxes, and cybercrime.
Communications Ministry Denies Sharing Citizens’ Data with US
Indonesia denies sharing citizens’ data with the US under a new trade pact despite backlash over cross-border data rules.
Indonesia’s Top Telecom Operators Compete in Key 5G Spectrum Auction
Indonesia’s biggest telecom operators compete for strategic 5G spectrum to expand high-speed internet nationwide.
Roblox Joins Google in Rolling Out Indonesia’s Child Safety Safeguards
Google tightens child safety rules in Indonesia, with Roblox aligning through age checks, chat limits, and parental controls.
Indonesia Says YouTube, Roblox Yet to Comply with Age Limits
The government warned that YouTube and Roblox have a three-month deadline to submit self-assessment reports on their risk profiles.
Indonesia Summons Meta, Google Over Non-Compliance With Child Protection Rules
Indonesia summons Meta and Google over non-compliance with new child protection rules, requiring safer access for underage users online.
Indonesia Praises X, Bigo Live for Enforcing Child Age Limits on Social Media
Indonesia praises X and Bigo Live for enforcing age limits, warning other platforms to comply with strict child protection rules.The Latest
W. Jakarta Immigration Chief Detained in Probe Into Foreign Residency Permit Corruption
The Corruption Eradication Commission has detained an immigration chief as it investigates alleged corruption in foreign residency permits.
Jakarta Stocks Plunges 5% Midday as Rupiah Hits Record Low at Rp 17,900
JCI plunged nearly 5% after the rupiah hit a record low against the US dollar, triggering a broad market selloff.
Rupiah Hits Rp 17,926 Against US Dollar Amid Oil Surge and Geopolitical Risks
Rupiah fell to Rp 17,926 per US dollar as rising oil prices, Middle East tensions, and strong dollar demand weighed on sentiment.
Indonesia to Cut Royalty Income Tax for Writers to 1.5%
The tax cuts will be available for authors who publish work with a clear International Standard Book Number (ISBN).
Shinhan Bank Indonesia Launches Flazz Top-Up Feature on SOL Indonesia Application
Shinhan Bank Indonesia enables seamless Flazz top-ups via the SOL Indonesia mobile banking app.Most Popular
