Softbank pledges to invest in Indonesia’s new ‘smart capital’
Masayoshi Son, CEO of Japanese conglomerate SoftBank Group, revealed plans to invest in Indonesia’s new capital and to bring the latest technology and “a lot of artificial intelligence” to the smart city project planned in Borneo.
He made the remarks after a meeting with President Joko Widodo on January 10, following his announcement in July last year to invest a further $2 billion over five years in Indonesia through funds already invested in Grab, the Singapore-based ride hailing company, to support the use of electric vehicles.
“We don’t discuss the details yet, but a new smart city, newest technology, a clean city with a lot of artificial intelligence, that’s what I’m interested in supporting,” Son said.
Son added that the amount of the fresh investment has not been decided, but noted it will be separate from the $2-billion pledge.
Indonesia is set to begin construction of the new capital on Borneo island as Widodo seeks to ease pressure on the congested and sinking current capital Jakarta.
Environmental-friendly, smart city with open spaces and gardens
The new city will be dotted with world-class educational institutions, modern hospitals, botanical gardens, lush parks and backed by an environmentally-friendly transportation system with only electric vehicles, according to officials. Investors from China, the Middle East and the US have already shown interest in developing the city, the government said, but SoftBank is the first foreign company to announce such a move.
The government has identified about 256,000 hectares of land on Borneo for the yet-to-be-named capital – about four times the size of Jakarta. The city is to cost $33 billion, 19 per cent of which is to be covered by the state budget. The government wants to involve the private sector as much as possible, with around 55 per cent of the funding expected to come from public-private partnerships and 26 per cent from direct investment by state-owned enterprises and the private sector.
Plans are to begin construction of the new city by the end of 2020 and relocate the current capital in phases starting from 2024.
Masayoshi Son, CEO of Japanese conglomerate SoftBank Group, revealed plans to invest in Indonesia's new capital and to bring the latest technology and “a lot of artificial intelligence” to the smart city project planned in Borneo. He made the remarks after a meeting with President Joko Widodo on January 10, following his announcement in July last year to invest a further $2 billion over five years in Indonesia through funds already invested in Grab, the Singapore-based ride hailing company, to support the use of electric vehicles. “We don’t discuss the details yet, but a new smart city, newest technology, a...
Masayoshi Son, CEO of Japanese conglomerate SoftBank Group, revealed plans to invest in Indonesia’s new capital and to bring the latest technology and “a lot of artificial intelligence” to the smart city project planned in Borneo.
He made the remarks after a meeting with President Joko Widodo on January 10, following his announcement in July last year to invest a further $2 billion over five years in Indonesia through funds already invested in Grab, the Singapore-based ride hailing company, to support the use of electric vehicles.
“We don’t discuss the details yet, but a new smart city, newest technology, a clean city with a lot of artificial intelligence, that’s what I’m interested in supporting,” Son said.
Son added that the amount of the fresh investment has not been decided, but noted it will be separate from the $2-billion pledge.
Indonesia is set to begin construction of the new capital on Borneo island as Widodo seeks to ease pressure on the congested and sinking current capital Jakarta.
Environmental-friendly, smart city with open spaces and gardens
The new city will be dotted with world-class educational institutions, modern hospitals, botanical gardens, lush parks and backed by an environmentally-friendly transportation system with only electric vehicles, according to officials. Investors from China, the Middle East and the US have already shown interest in developing the city, the government said, but SoftBank is the first foreign company to announce such a move.
The government has identified about 256,000 hectares of land on Borneo for the yet-to-be-named capital – about four times the size of Jakarta. The city is to cost $33 billion, 19 per cent of which is to be covered by the state budget. The government wants to involve the private sector as much as possible, with around 55 per cent of the funding expected to come from public-private partnerships and 26 per cent from direct investment by state-owned enterprises and the private sector.
Plans are to begin construction of the new city by the end of 2020 and relocate the current capital in phases starting from 2024.
