Today : Aug 26, 2025
Technology
25 August 2025

Indonesia And UAE Forge Ahead In Global AI Race

Major new partnerships and government initiatives in Indonesia and the UAE signal a push to expand AI, digital exports, and innovation across their economies.

In a week marked by bold moves in digital transformation across two major economies, Indonesia and the United Arab Emirates (UAE) have each taken significant steps to position themselves at the forefront of the global technology race. From Jakarta to Abu Dhabi, new partnerships and government initiatives are reshaping the way these nations approach artificial intelligence (AI), digital exports, and the future of their knowledge economies.

On August 22, 2025, Telkomsel, Indonesia’s largest telecommunications provider, inked a landmark Memorandum of Understanding (MoU) with OpenAI, the U.S.-based AI research and deployment company, in a bid to supercharge Indonesia’s AI capabilities. According to reporting by DigitalSiber.id, this collaboration is not just about technological prowess—it’s about integrating AI solutions into everyday digital platforms and developing enterprise applications that harness OpenAI’s cutting-edge technology.

The partnership is ambitious in scope. Telkomsel plans to deploy ChatGPT Enterprise, OpenAI’s powerful AI assistant, to enhance customer service and streamline AI integration across its operations. The company will also share data and insights gleaned from its vast network and customer base, aiming to optimize AI applications for the unique needs of Indonesia’s diverse population. In a country where internet access can be uneven, especially in remote regions, the goal is clear: build a digital ecosystem that reaches millions, ensuring that the benefits of AI are not confined to urban centers but extend to the nation’s farthest corners.

But Telkomsel’s vision doesn’t stop with OpenAI. The company simultaneously announced new partnerships with SCSK, a Japanese IT solutions provider, and PERTAABI, an Indonesian digital association. Through SCSK, Telkomsel seeks to deliver robust network solutions that combine reliable hardware, connectivity, and managed services—laying down the digital infrastructure needed for Indonesia’s next wave of innovation. Meanwhile, the collaboration with PERTAABI is designed to accelerate the digital transformation of Indonesia’s business ecosystem, offering connectivity and managed services that boost operational efficiency for member organizations across the country.

As Telkomsel CEO Ririek Adriansyah put it, "This collaboration aims to create real impact across industries, from improving customer service to data-driven innovation, all supported by OpenAI technology." The company believes that by widening access to advanced AI tools, it can play a pivotal role in preparing Indonesia for the demands of a digital-first future.

While Indonesia is betting on partnerships with global tech leaders, the UAE is setting its sights on becoming a powerhouse in technology exports. On August 25, 2025, the UAE Ministry of Labor and Advanced Technology unveiled the "From Innovation to Export" initiative for the 2025-2026 period—a sweeping program designed to transform the nation’s burgeoning tech sector into a major driver of economic growth.

The initiative, as reported by Al-Ittihad, is built around a simple but ambitious idea: develop the national economy by supporting the export of advanced technology products and services, with a special focus on digital and AI technologies. The UAE government plans to roll out a series of events and programs aimed at promoting knowledge transfer, spurring innovation, and attracting investment into the technology sector.

At the heart of this initiative is a drive to boost the UAE’s global competitiveness in technology exports. The focus is not just on building new tech products, but on creating an environment where digital transformation, AI, and smart services can thrive and reach international markets. The Ministry emphasized the critical role of regulatory frameworks and digital infrastructure—such as streamlined electronic transactions and robust intellectual property protections—in making this vision a reality.

Collaboration with the private sector is a cornerstone of the UAE’s approach. By working closely with local and international companies, the government hopes to enhance the export capacity of advanced technology products and services. The Ministry stated, "The initiative will foster public-private partnerships to ensure that innovation is translated into real economic value for the nation."

These efforts are not happening in isolation. The UAE’s focus on digital transformation dovetails with its broader ambitions to become a global leader in smart services and AI-driven solutions. By nurturing a vibrant technology ecosystem and encouraging homegrown innovation, the country aims to diversify its economy and secure a competitive edge in the rapidly evolving global market.

Both Indonesia and the UAE recognize that the road to digital leadership is paved with more than just cutting-edge technology. It requires building robust infrastructure, fostering talent, and creating regulatory environments that support innovation and protect intellectual property. In Indonesia, Telkomsel’s collaboration with OpenAI and other partners is expected to extend AI literacy and productivity to its workforce, while also empowering millions of Indonesians through improved digital access.

Meanwhile, the UAE’s "From Innovation to Export" initiative underscores the importance of aligning government policy with the needs of the private sector, ensuring that the country’s tech sector can compete on the world stage. The Ministry’s emphasis on knowledge transfer and investment signals a recognition that sustainable growth comes from continuous learning and adaptation.

For both countries, these moves represent more than just strategic business decisions—they are statements of intent. Indonesia is signaling its readiness to leapfrog into the next era of digital transformation, leveraging global partnerships to bridge the gap between aspiration and reality. The UAE, on the other hand, is positioning itself as a hub for technology exports, betting that innovation and smart regulation will drive its future prosperity.

As the world watches these developments unfold, one thing is clear: the race to lead in digital transformation and AI is well underway, and both Indonesia and the UAE are determined to be at the front of the pack. Their stories offer a compelling glimpse into how nations can harness technology not just for economic gain, but to empower their people and shape the future of entire regions.