Minister encourages semiconductor, AI development to propel RI's tech

Jakarta (ANTARA) - Minister for Higher Education, Science, and Technology Satryo Soemantri Brodjonegoro encouraged the development of semiconductors and artificial intelligence (AI) as key drivers of future technology.

In the ministry’s statement here on Thursday, he presented the National Medium-Term Development Plan for 2025 to 2029 and the government’s nine priority investment sectors, which include semiconductors.

He noted that Indonesia possesses a favorable environment for semiconductor development, citing its rich deposits of raw materials such as silica, bauxite, gold, and quartz sand.

“We have an abundant reserve of quartz sand, with approximately 27 billion tons available and another 330 million tons spread across 23 provinces,” he remarked.

The minister noted that this raw material can be processed into silicon, which is the primary component of semiconductor chips.

Brodjonegoro also highlighted the significant market potential of semiconductors, currently valued at US$592 billion.

To develop this industry in Indonesia, the minister stressed the importance of preparing the necessary regulations.

“We need to prepare the regulations and talent development programs for AI and semiconductors, increase research and development investment, and support deep-tech and high-value-added industries,” he emphasized.

In addition to semiconductors, he drew attention to how AI can address various current matters such as food security, green economy initiatives, healthcare advancements, digitalization, and creative industries, thereby driving sustainable economic growth and technological innovation.

The minister invited experts to collaborate and seek innovative solutions to existing problems, with the aim of delivering tangible benefits to society.

“Innovation should focus on addressing real-world problems,” he remarked.

He also noted that Indonesia is currently striving to break out of the "middle-income trap.”

“If this is not handled well, we may face more disadvantages than benefits,” he cautioned regarding low productivity in some sectors in Indonesia.