Enviro News Asia, Arizona — Indonesia is advancing international cooperation to strengthen its semiconductor industry through partnerships with the Institut Teknologi Bandung, Arizona State University, and Arm Holdings. The collaboration aims to develop Indonesia’s semiconductor ecosystem, including chip design, talent development, curriculum integration, and training programs for semiconductor assembly, testing, and packaging.
The initiative was announced by Indroyono Soesilo after meetings with leaders of Arizona State University and Arm Technology in Tempe and Phoenix, Arizona, on 21 May 2031.
The partnership focuses on strengthening ITB as Indonesia’s national hub for chip design and semiconductor talent. Arizona State University and Arm Technology will support the effort through integrated curricula, accelerated master’s programs, dual-degree schemes, and semiconductor research collaborations.
Arizona State University currently plays a major role in the United States semiconductor ecosystem as an implementer of the Global CHIP Act and collaborates with major global semiconductor companies including TSMC, Intel, Microchip Technology, and Arm. The university is also supported by Freeport-McMoRan, which has operated in Papua for nearly six decades.
The cooperation is expected to help Indonesia move beyond being a technology user and become a designer and value creator within the global semiconductor supply chain.
At the technical level, ITB has established an IC Design Center focused on integrated circuit design and semiconductor talent development. The center aims to produce microchips for applications ranging from ICT infrastructure to medical devices. ITB is also involved in downstream research on silica processing into silicon wafers for photovoltaic and semiconductor industries.
Semiconductors are materials with electrical conductivity between conductors and insulators, making them essential for producing chips, processors, sensors, memory systems, and solar panels that power modern digital devices. The global semiconductor industry is valued at hundreds of billions of dollars and is projected to surpass US$1 trillion by 2030.
Arizona has emerged as one of the main semiconductor manufacturing centers in the United States due to massive federal and private investments in chip factories. Meanwhile, Indonesia’s domestic semiconductor market is projected to reach approximately US$2.79 billion in 2025, with strong potential in chip assembly and testing supported by its large market, workforce, and strategic geographic position. (*)
