Jakarta (ANTARA) - The government is seeking to advance the competitiveness of the domestic artificial intelligence (AI) industry to help Indonesia emerge as a major player in the sector in ASEAN.

“With its large population, Indonesia has the potential to become a main player in the AI industry. The ASEAN region has the potential to become a global AI powerhouse,” Deputy Minister of Communication and Digital Affairs, Nezar Patria, said in a statement released here on Friday.

He noted that ASEAN’s digital economic potential is estimated to reach US$120 billion by 2027, with Indonesia projected to contribute up to 40 percent to this potential.

Therefore, the Indonesian government is striving to build the strength of the domestic AI industry, starting with the establishment of strategic hubs in industrial areas such as Batam city in Riau Islands province.

The government is projecting that, given its strong position as a center for technology and manufacturing industries, Batam could become a hub for the development of the national AI ecosystem.

“We know that Batam is one of the leading industrial areas, a flagship for our nation in producing several devices, services, and generating telecommunications industry revenue,” Patria said during a discussion with industry players and academicians in Batam on Thursday.

However, he noted that Indonesia is still facing significant challenges in providing digital infrastructure, competent personnel, and research support to strengthen the AI industry.

In this regard, the Ministry of Communication and Digital Affairs is collaborating with the Ministry of Industry to build supporting infrastructure for the development of the AI industry.

It is also preparing the AI Talent Factory in collaboration with universities, industry, and research institutions to develop digital talents who are skilled in AI.

Related news: Indonesian govt to submit draft AI regulation by August

Related news: Indonesian ministries team up to boost AI, semiconductor sectors

Related news: Indonesia opens AI Center of Excellence to boost digitalization