Batam, Indonesia, Xweb.biz.id – In a move set to redefine Indonesia’s manufacturing landscape, global tech giant Pegatron has officially launched its cutting-edge smart factory in Batam, powered by advanced 5G connectivity and artificial intelligence (AI). The facility, operated under Pegatron’s subsidiary PT Pegaunihan Technology Indonesia, marks a pivotal step in the company’s ongoing digital transformation, bringing state-of-the-art automation and technology to Southeast Asia.
The smart factory, which embraces the latest in AI and automation technology, will significantly streamline production processes and improve operational efficiency. As part of its commitment to innovation, Pegatron has partnered with Telkomsel, Indonesia’s first 5G network provider, to implement a Private 5G Network Standalone (SA) at the facility. This partnership ensures that the Batam factory is equipped with a robust, high-speed network capable of supporting thousands of interconnected devices, sensors, and machines in real-time.
Telkomsel’s role in this initiative includes the provision of 1,200 SIM cards for Internet of Things (IoT) devices, enabling seamless integration with the factory’s smart manufacturing system. This infrastructure supports real-time monitoring of machinery, predictive maintenance, and optimized production processes, paving the way for a more agile and efficient manufacturing environment.
Revolutionizing Indonesia’s Manufacturing Sector
Gary Cheng, CEO of Pegatron, highlighted the importance of this collaboration in bringing the latest technology to Indonesia. “The launch of our smart factory in Batam, supported by Telkomsel’s reliable 5G infrastructure, accelerates our digital transformation while also contributing to Indonesia’s position as a leader in technology-driven industries,” Cheng stated.
The initiative has garnered praise from Indonesian government officials, who view it as a major step toward modernizing the country’s manufacturing sector. Setia Diarta, Director-General of the Ministry of Industry’s Metal, Machinery, Transportation Equipment, and Electronics Industry, applauded the move, emphasizing that such technological advancements are crucial for boosting Indonesia’s global competitiveness. “The adoption of 5G, AI, and IoT is essential to ensuring that Indonesia’s manufacturing sector remains competitive on the world stage,” Diarta remarked.
Adis Alifiawan, Director of Spectrum Planning at the Ministry of Communications and Information, also praised the development, calling it a significant milestone in Indonesia’s journey to becoming a global player in the technology sector. “Indonesia’s vision is to be not only a market but also a producer and innovator in the global technology industry,” Alifiawan said.
5G: The Key to the Future of Manufacturing
The adoption of 5G technology in the manufacturing sector is rapidly gaining momentum, and Telkomsel’s role in this transformation cannot be understated. According to Telkomsel, over one-third of industrial producers are planning to implement 5G technology within the next three years. The benefits of 5G in manufacturing include ultra-low latency, high-speed data transfer, and the ability to connect thousands of IoT devices and machines in real-time.
Wong Soon Nam, Director of Planning & Transformation at Telkomsel, noted that the partnership with Pegatron was a direct result of a Memorandum of Understanding (MoU) signed at the 2025 Mobile World Congress in Barcelona. “We are committed to strengthening Indonesia’s manufacturing ecosystem and driving technological progress across the country,” Wong said.
A Stronger Position in the Global Supply Chain
The launch of the smart factory is not just about enhancing operational efficiency; it is also about positioning Indonesia as a key player in the global supply chain. With the integration of AI, 5G, and IoT, Pegatron’s new facility is set to revolutionize production processes in Southeast Asia, driving technological innovation and attracting more investment in the region.
Andy Hsieh, Director of Pegaunihan Technology Indonesia, expressed optimism about the long-term impact of the facility, stating that it would help strengthen Indonesia’s role in the global supply chain. “We hope this initiative will foster technology transfer and further establish Indonesia as a leader in global manufacturing,” Hsieh said.
As the manufacturing sector continues to embrace digitalization, Pegatron’s smart factory in Batam stands as a symbol of Indonesia’s commitment to innovation, industrial growth, and global competitiveness. With 5G technology paving the way for future advancements, the factory represents a new chapter for both Pegatron and the Indonesian tech ecosystem.
