The GSMA is calling for a sharper, investment-driven push to accelerate Indonesia’s digital transformation, warning that without targeted action the country risks falling behind regional leaders in infrastructure readiness, innovation and AI-enabled growth.
Presenting insights from the GSMA Digital Nations 2025 and ASEAN Consumer Scam 2025 reports at the Digital Nation Summit in Jakarta, the organisation outlined an investment programme aimed at unlocking private capital and speeding deployment across 5G spectrum, rural coverage, fibre backhaul and AI-ready data-centre capacity.
New GSMA Intelligence data shows that Indonesian enterprises have some of the strongest digital ambitions in the region. A survey of more than 580 ASEAN companies found firms in Indonesia plan to allocate an average 10 per cent of revenues to digital transformation between 2025 and 2030, outpacing the global average. Two-thirds of respondents ranked AI among their top three areas of investment, and more than half identified 5G-enabled IoT as essential to future competitiveness and national security.
The GSMA notes that the next wave of 5G investment could unlock an additional US$41 billion in GDP for Indonesia between 2024 and 2030. Mobile operators have already invested close to US$29 billion in networks and services since 2015, with a further US$16 billion expected by 2030 under the right investment conditions.
Julian Gorman, Head of Asia Pacific at the GSMA, said Indonesia has the scale and momentum to join the region’s top tier of digital nations but must prioritise targeted infrastructure investment. “Indonesia’s scale, entrepreneurial energy and young, connected population give the country a strong opportunity to lead. The priority now is investment where it counts: affordable, predictable spectrum; resilient backhaul; and AI-ready, sustainable data centres paired with visible consumer protections. With clear policy signals and cross-sector execution, Indonesia can innovate by crowding in private capital, hardening defences against scams and accelerating inclusive growth across the archipelago.”
The Digital Nations report places Indonesia in the middle tier of Asia Pacific economies across infrastructure, innovation, data governance, security and people. The research highlights strengths in digital skills and cybersecurity but points to delays in mid-band spectrum allocation, uneven rural coverage and limited AI-ready infrastructure as barriers to advancement.
Consumer trust also remains under pressure. Indonesian findings from the ASEAN Consumer Scam Report 2025 show that 45 per cent of adults have been victims of scams at least once, with 68 per cent losing money. Scam attempts are notably mobile-first in Indonesia, with OTT messaging (50 per cent) and voice calls (44 per cent) both above the ASEAN average. Encouragingly, 81 per cent of Indonesians support telcos sharing minimal, purpose-bound network signals—such as SIM-change or number-verification checks—to stop fraudulent transactions, enabling broader use of GSMA Open Gateway anti-fraud APIs.
The GSMA outlined several priorities for Indonesia’s next phase of digital development. More than 100 million people in Asia Pacific still live outside a mobile-broadband footprint, with rural communities disproportionately affected. Meanwhile, CBRE projects a 15–25 GW data-centre capacity gap in the region by 2028. Indonesia is positioned to benefit from sustainability-linked financing models that can attract institutional capital for modern, energy-efficient data centres.
The GSMA also highlighted Indonesia’s recent progress in telecom-led scam prevention. Telkomsel, Indosat Ooredoo Hutchison and XL Axiata have formed an alliance to deploy Open Gateway APIs—including SIM Swap, Device Location Verification and Number Verification—to protect user accounts and secure high-risk digital transactions. Expanding commercial use of these APIs across banks and digital-wallet providers could significantly reduce scam losses.
To accelerate its progress toward becoming a leading digital nation, the GSMA is urging Indonesia to:
-
Publish measurable targets for rural 4G/5G coverage, fibre-backhaul expansion and AI-ready data-centre capacity
-
Use time-bound subsidies and blended-finance instruments to derisk rural sites and next-generation data-centre builds
-
Confirm multiband spectrum timelines and adopt assignment mechanisms that prioritise long-term network investment
-
Extend anti-fraud APIs across the financial and digital-services ecosystem, with measurable outcomes
-
Harmonise data, cybersecurity and digital-trade frameworks to lower compliance burdens and unlock new market opportunities
The GSMA says decisive action in these areas will allow Indonesia to strengthen digital resilience, reduce scam losses and position itself as one of Asia-Pacific’s leading technology-driven economies.
You can read the full report here.
