Building Indonesia’s Data Center: Toto Sugiri’s Journey

The Story of Toto Sugiri: Building Indonesia’s Data Center Industry to a Global Standard

Before Indonesia had Tier 4 data centers and today’s strong digital infrastructure, there was one person who had long envisioned how this nation could stand on a solid technological foundation. That figure is Toto Sugiri, an engineer who fell in love with mathematics at a young age and is now known as the father of Indonesia’s data center industry.

In this episode of Podcast Nusantara, hosted by Farazia Basarah — Country Head, JLL Indonesia, Toto shares his decades-long journey in building Indonesia’s digital backbone, including the challenges, failures, and big strategies that helped position Indonesia as a global player.

This article summarizes the most important insights from the discussion—from personal milestones to Indonesia’s data center industry roadmap.

Key Episode Takeaways

  • Indonesia has a strong opportunity to become the data center hub of Southeast Asia, but ecosystem coordination among government, industry, and utilities remains a major challenge.
  • Achieving zero downtime requires full alignment between technology, operations, and organizational culture.
  • AI-ready data centers will define the future, and Indonesia must prepare from the perspectives of talent, energy, and technology.

Indonesia’s Ambition to Become a Regional Data Center Hub

Indonesia possesses strategic advantages that position it to become a major data center hub:

  • Largest digital market: 160 million internet users, the highest in Southeast Asia, creating massive demand for reliable digital infrastructure.
  • Abundant natural resources: Electricity, water, and land are available in sufficient quantities for large-scale facilities.
  • Green energy potential: Opportunities for solar, hydro, and other renewable sources can support sustainable data center growth.
  • High data growth: Approximately 40% of regional data originates from Indonesia, emphasizing the need for world-class infrastructure.

However, Indonesia must improve infrastructure quality, accelerate permitting processes, and strengthen collaboration between government, PLN, and private operators to fully capitalize on these advantages.

Toto Sugiri’s Journey and Motivation

Toto’s career illustrates how long-term vision can shape a national industry.

Timeline of Toto Sugiri’s career milestones: IndoNet, DCI Tier 4 data center, zero downtime, and AI-ready JK6 development.

1. Early Career: Software & Internet (1980s–1990s)

During the 1980s and 1990s, Toto returned to Indonesia in 1981 with a strong interest in mathematics and technology. He developed banking software following the 1989 banking deregulation and went on to found IndoNet in 1994, Indonesia’s first ISP, significantly expanding public internet access.

2. The 1998 Crisis and the Birth of Data Centers

The 1998 economic crisis became a turning point. Seeing the urgent need for stable digital infrastructure, Toto began building data centers for banks and corporate clients, laying the foundation for Indonesia’s modern digital backbone.

3. DCI Indonesia & Tier 4 Standard (2011–present)

  • DCI became the first Tier 4 data center in Indonesia.
  • Operational since 2013 with zero downtime, surpassing global standards.

His motivation has always been clear:
Indonesia must have world-class digital infrastructure, and national data must be stored domestically.

Global-Grade Quality, Powered by Indonesian Work Ethic

Toto emphasizes that the combination of world-class technology and Indonesian work culture creates a unique advantage:

  • Service-oriented culture: Friendly, responsive, and highly dedicated staff.
  • Operational discipline: Preventive and predictive maintenance using IoT sensors and machine learning.
  • 24/7 monitoring: Thousands of sensors track infrastructure in real time, ensuring minimal human error.

How Can Local Data Centers Compete Globally?

Toto identifies three critical success factors for Indonesian data centers:

  1. Quality & Reliability: Adherence to Tier 4 standards and zero downtime.
  2. Deployment Speed: Facilities must be modular, scalable, and quick to build to meet growing demand.
  3. Cost Efficiency: Lower capital expenditure per megawatt to remain competitive with international players.

Innovations such as liquid cooling and automation will become major differentiators in the coming years.

Competition with Johor Bahru & the Regional Landscape

Singapore’s moratorium turned Johor Bahru into an investment magnet due to attractive tax incentives, strong energy commitments, and fast permitting.

For Indonesia to seize similar momentum, it must:

  • Improve ease of doing business
  • Strengthen collaboration between government, PLN, and industry stakeholders
  • Ensure stable and abundant power supply

Sustainability: The Future of Indonesia’s Data Centers

Sustainability is no longer optional; it’s a fundamental requirement. DCI targets PUE ≤ 1.3, among the most efficient in the region.

Other initiatives include:

  • Collaborating with PLN for renewable energy integration
  • Reforestation and mangrove restoration
  • Smart grid planning to secure long-term green energy supply

Addressing the Talent Gap

Over the next five years, demand for skilled data center professionals is expected to rise sharply. DCI’s approach includes:

  • Hiring fresh graduates and vocational students
  • Intensive training with global consultants
  • Adoption of AI & IoT automation
  • Emphasizing learning-by-doing as a core growth culture

This approach aligns with Nusantara Data Center Academy (NDCA)’s mission to develop future industry leaders.

The New Era: AI-Ready Data Centers

Data center needs are no longer measured by land area, but by power density per rack, which can reach up to 100 kW.

Key technologies include:

  • Direct-to-Chip Liquid Cooling
  • Immersion Cooling
  • AI-powered monitoring systems

DCI is developing JK6, an AI-ready data center with 36 MW capacity and next-generation cooling technologies.

Lessons for Young Professionals & Aspiring Entrepreneurs

Toto shares three essential messages:

  1. Build businesses that create real impact for society.
  2. Believe in the nation’s capabilities.
  3. Never give up — persistence is key.

Conclusion

Toto Sugiri’s story shows how vision, resilience, and innovation can elevate Indonesia to global prominence in the data center industry. With world-class quality, cutting-edge technology, and continuous talent development, Indonesia is on the right path to becoming the digital hub of Southeast Asia.

In the fast-growing AI era, collaboration among the government, PLN, data center operators, and educational institutions like Nusantara Data Center Academy (NDCA) will be crucial in building Indonesia’s digital future.

For more details, listen directly to the podcast on YouTube Nusantara Academy and don’t forget to register for training by contacting https://wa.me/6285176950083

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