Indonesia is positioning itself as Southeast Asia's dominant AI computing hub through a massive $1 gigawatt platform called Zankore, backed by Ooredoo Group, NVIDIA, and Nokia, while American cities like Nashville are using legal tools to block similar projects over noise and environmental disruption concerns. The contrast reveals a fundamental tension shaping global AI infrastructure: developing regions racing to capture computing demand versus established communities pushing back against the physical costs of powering artificial intelligence.

What's Driving the Rush to Build AI Data Centers in Southeast Asia?

Zankore by Indosat represents one of the largest coordinated AI infrastructure investments in the region, with Ooredoo Group committing $800 million over five years as the lead investor with a 49 percent stake. The platform aims to deliver approximately 200 megawatts of AI capacity by the first half of 2027, powered by NVIDIA's latest GB300 NVL72 graphics processing units (GPUs), with expansion toward the full 1 gigawatt target over the next three years.

The venture is forecast to generate around $13 billion in revenue and $9 billion in cumulative earnings before interest, taxes, depreciation, and amortization (EBITDA) over five years, with Ooredoo's proportionate contribution expected to reach approximately $600 million. This financial scale reflects the region's explosive demand for AI computing power. According to Wood Mackenzie research cited in the sources, Southeast Asia's data center power demand is projected to quadruple from 2.6 gigawatts in 2025 to 10.7 gigawatts by 2035, driven primarily by artificial intelligence workloads.

Indonesia specifically offers advantages that make it attractive for this infrastructure boom. The country has ample land availability, diverse power sources including natural gas and hydroelectric generation, and forward-looking regulatory frameworks. KPMG forecasts that Indonesia's digital economy will exceed $130 billion by 2030, with intensifying demand for AI-ready data centers. Jakarta has already established itself as the primary cloud and hyperscale data center hub in the country, home to Amazon Web Services, Google Cloud, and Microsoft, with major operators aggressively expanding their pipelines.

"Indonesia has the potential to serve not only its own needs, but also the broader region. With Indonesia's rich resources and talent, combined with global expertise and strategic partnerships, we can accelerate the development of a sovereign AI infrastructure that benefits both businesses and society," said Aziz Aluthman Fakhroo, Group CEO of Ooredoo.

Aziz Aluthman Fakhroo, Group CEO, Ooredoo Group

How Does NVIDIA's Power Optimization Technology Change the Economics of AI Data Centers?

A critical innovation enabling Zankore's efficiency is NVIDIA's DSX MaxLPS technology, which dynamically optimizes power consumption across the GPU fleet. This system is designed to recover what engineers call "stranded power," essentially unused capacity within the facility's total power envelope, enabling up to 40 percent more compute capacity within the same power budget. For a platform operating on tight margins and constrained by available electrical infrastructure, this efficiency gain directly translates to higher revenue per megawatt and faster return on investment.

The platform will use NVIDIA DSX, a reference architecture and ecosystem playbook for designing and operating AI factories that brings together accelerated computing, networking, power, cooling, and operations as an integrated system. This holistic approach maximizes useful AI output from every available megawatt, addressing one of the industry's most pressing challenges: the sheer energy consumption required to train and run modern large language models (LLMs) and other AI systems.

Why Are American Cities Fighting Data Center Expansion?

While Southeast Asia races to build AI infrastructure, the United States is experiencing a backlash against data center projects, with cities deploying legal mechanisms to block development. Nashville's Metro Council voted 27-5 to authorize Mayor Freddie O'Connell to use eminent domain to acquire a 23-acre property planned for a $700 million data center campus by developer DC Blox, located adjacent to the Nashville Zoo at Grassmere.

The zoo, which opened in 1990 and expects to receive two million visitors annually by 2027, became the focal point of community opposition. Zoo officials raised concerns about noise and light pollution disrupting animal habitats and behavior, launching an online petition that garnered more than 500,000 signatures by late July, with support from celebrities including Brad Paisley, Sheryl Crow, and Jack White.

These concerns are not hypothetical. Multiple documented incidents across the United States have highlighted the real environmental costs of data center operations. Residents in Michigan have complained for approximately two years about 24/7 noise from neighboring data centers, comparing the sound to a vacuum cleaner running continuously in a living room. Some residents also report infrasound, which consists of high and low-frequency vibrations that do not register on standard decibel meters but can be felt and potentially cause adverse health effects. A Microsoft data center in Wisconsin is facing a lawsuit due to noise and extreme light pollution.

Steps Cities Are Taking to Manage Data Center Growth

• Eminent Domain Authority: Nashville's city council approved legislation allowing the government to acquire property for public use rather than permit private development, demonstrating how municipalities can use legal tools to block projects they deem harmful to community interests.
• Environmental Impact Assessment: Zoo officials and residents documented specific concerns about noise, light pollution, and infrasound effects on wildlife, creating a factual basis for opposing the development rather than relying on general opposition.
• Community Mobilization: The petition garnering over 500,000 signatures and celebrity endorsements created political pressure on elected officials to take action, showing how public engagement can influence municipal decision-making on infrastructure projects.

The eminent domain process does not automatically grant Nashville ownership of the property. The city must first negotiate with DC Blox to determine fair market value, and if the parties cannot agree, a judge or jury will determine the final amount. DC Blox could also challenge the eminent domain claim in court, potentially extending the legal process.

There is broader concern about how eminent domain authority could be weaponized. Georgia Power used eminent domain to acquire 30 residential properties to expand the power grid, with 70 to 80 percent of the electricity traveling through the resulting substation expected to serve data centers. Although the utility company stated it was not in the data center business, the move effectively prioritized data center infrastructure over residential property rights. Nashville's case demonstrates that the same authority can also be used defensively to block data center projects, creating a new legal frontier in infrastructure disputes.

What Does This Divergence Mean for Global AI Infrastructure?

The contrast between Southeast Asia's aggressive infrastructure buildout and American communities' resistance reveals a fundamental asymmetry in how different regions are approaching AI's power demands. Indonesia and its partners are positioning the country as a sovereign AI hub, emphasizing economic opportunity and regional competitiveness. The Zankore platform is designed to serve not just Indonesia but the broader Southeast Asian region, with future expansion planned for Malaysia, Singapore, and Thailand, which are beginning to experience power constraints.

Meanwhile, American cities are grappling with the immediate, tangible costs of data center operations: noise pollution affecting quality of life, light pollution disrupting ecosystems, and the consumption of scarce resources like water and power. These communities are not opposing AI development in principle but rather demanding that the infrastructure serving it not be concentrated in their backyards.

"AI infrastructure is becoming a fundamental layer of the digital economy, and we believe the greatest opportunities will be created by investing early, at scale and with the right partners," said Ulf Ewaldsson, Chief Executive Officer of Zankore by Indosat.

Ulf Ewaldsson, Chief Executive Officer, Zankore by Indosat

The Zankore platform's success will depend not just on technical execution but on Indonesia's ability to manage the environmental and social impacts of massive data center expansion. The country's advantage lies partly in having ample land and diverse power sources, reducing the zero-sum competition for resources that characterizes American markets. However, as the platform scales toward 1 gigawatt of capacity, questions about water consumption, noise management, and local community impact will inevitably emerge.

For now, the divergence is clear: Southeast Asia is racing to build the infrastructure that will power the next generation of AI applications, while American communities are drawing lines in the sand, using every legal tool available to ensure that growth does not come at the expense of their quality of life. Both approaches will shape how AI infrastructure develops globally over the next decade.