Indonesia, Arm partnership targets faster mastery of chip technology

Jakarta (ANTARA) - Indonesia aims to accelerate mastery of strategic technologies through a partnership between state investment and sovereign wealth manager Danantara and British chip designer Arm, witnessed by President Prabowo Subianto in London on Monday. 

Cabinet Secretary Teddy Indra Wijaya said the deal would speed up Indonesia’s control of core technologies underpinning modern digital innovation, as the government seeks to boost productivity, competitiveness, and technological self-reliance. 

"Through this cooperation, Indonesia targets faster mastery of strategic technologies that form the foundation of modern digital innovation,” Teddy said in a statement issued in Jakarta on Wednesday. 

Arm controls about 96 percent of global automotive chip technology and nearly 94 percent of chip designs for data centers and artificial intelligence, making the partnership crucial for Indonesia’s ambitions in semiconductors and advanced manufacturing. 

Under the agreement, Indonesia will train 15,000 engineers within Arm’s ecosystem to develop chip design capabilities, while expanding cooperation into next-generation semiconductor development, Teddy said. 

The partnership follows President Prabowo’s directive to strengthen national technological independence and aligns with the government’s broader agenda to build food and energy security and deepen Indonesia’s role in the global supply chain. 

"This strategic partnership marks Indonesia’s shift from a technology consumer to a high-value producer in the global supply chain,” Teddy said. 

The framework agreement was signed by Danantara, represented by Chief Executive Rosan Perkasa Roeslani, who also serves as investment and downstreaming minister and head of the Investment Coordinating Board, and witnessed by senior ministers, including Coordinating Minister for Economic Affairs Airlangga Hartarto and Minister of Energy and Mineral Resources Bahlil Lahadalia. 

Airlangga said the partnership reinforced Indonesia’s push for technological self-reliance and long-term industrial resilience, supporting sustainable economic growth and global competitiveness.