The extractivist logic haunts the AI data center rush in Indonesia, Malaysia
Behind the promise of Southeast Asia’s AI revolution lies a destructive reality: an old-school scramble for power, land and minerals that is reviving fossil fuels and pushing fragile ecosystems to the brink.
Southeast Asia is witnessing an artificial intelligence data center boom, despite concerns over ecological risks and social fallout. Neighboring Singapore and Thailand are cautious, while Indonesia and Malaysia are welcoming the expansion. In Indonesia, proposed facilities in Batam and Jatiluhur have faced resistance and suspensions due to environmental concerns.
Meanwhile, in Malaysia, Penang's Silicon Island, a massive land reclamation project, continues despite criticism over its impact on water and power supplies. Malaysian Prime Minister Anwar Ibrahim acknowledged the strain on national resources while limiting non-AI projects. The push for AI data centers is framed as an inevitable wave, but some argue for stronger regulations.
However, this approach overlooks the fundamental issue: should the region embrace this digital gold rush, given its roots in raw material extractivism?
Written by urgent.news from The Jakarta Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
