No Tesla factory? Satellites will do for now as Indonesia pivots ties with Elon Musk

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No Tesla factory? Satellites will do for now as Indonesia pivots ties with Elon Musk
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The billionaire launched internet service Starlink in Indonesia on May 19.

JAKARTA – The launch of billionaire Elon Musk’s internet service in Indonesia is the culmination of the archipelago’s multi-year courtship of the Tesla founder, which has seen its focus shift from electric vehicles to satellites and sustainability.

Indonesia is the third country in Asean to which Starlink has extended its operations, after Malaysia in 2023 and the Philippines in 2022. He attended the summit virtually instead, and so far there has been no concrete announcement between Tesla and Indonesia. “Greater connectivity, which can uplift the lives of the Indonesian people, will likely enhance the domestic political support for the government of the day. For Mr Musk, Indonesia is a huge consumer market that, tapping it through Starlink, can generate massive profits for his company.”

Microsoft chief Satya Nadella visited Indonesia less than two weeks later, on April 30. His visit, which also included an audience with Mr Widodo, came with an announcement that Microsoft would be investing US$1.7 billion in new cloud and artificial intelligence infrastructure in Indonesia.

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