TEMPO.CO, Jakarta - Minister of Industry Agus Gumiwang revealed Apple's plan to establish a research and development (R&D) center in Indonesia. According to Agus, Indonesia will become the first country in Asia to have an Apple R&D software center.

"Until now, Apple has only built R&D facilities in America, with Brazil being the only country outside of America. So, we will be the second country outside of America and the first in Asia to have an Apple R&D," said Agus at the Ministry of Industry office, in Jakarta, on Wednesday, February 26, 2025. He stated that the government directs the R&D center to develop software.

He mentioned that the R&D center will be built in the Special Economic Zone (SEZ) of BSD Tangerang, Banten. Apple has agreed to establish R&D center as an investment of Rp2.62 trillion to obtain the Domestic Component Level (TKDN) certificate, a certificate of recognition. The TKDN certificate will be valid for 2023-2028, which will be the basis for Apple's marketing of its products, including the iPhone 16 in Indonesia.

He stated that leading universities in Indonesia will be involved in the establishment and practice of the R&D center, including the Bandung Institute of Technology (ITB), University of Indonesia (UI), Gajah Mada University (UGM), and Surabaya Institute of Technology (ITS). "We have combined 15 major campuses, referred to as the Indonesia Chip Design Collaborative Center (ICDEC). Later, ICDEC will be involved in  Apple's R&D journey in Indonesia," he said.

In addition, Apple is also committed to establishing the Apple Software Innovation and Technology Institute, the Apple Professional Developer Academy, and continuing the Apple Academy program. Previously, Agus stated that he had signed a memorandum of understanding with Apple and agreed on a cash investment of US$160 million.

With an investment agreement in the innovation scheme, he ensured that Apple's Domestic Component Level (TKDN) certificate could be issued soon. He claimed that the TKDN certificate will be issued during Ramadan 2025.

However, the authorization for the circulation of Apple's latest product, iPhone 16, lies within the authority of the Ministry of Communication and Digital. "As soon as possible, as soon as possible," Agus said when asked if the iPhone 16 could be circulated in the domestic market before Eid al-Fitr 1446 Hijriah.

After signing a MoU with the Ministry of Industry, Apple announced its latest plan to enter the Indonesian market legally. "We are delighted to expand our investment in Indonesia and are eager to bring all of Apple's innovative products, including the iPhone 16 series and the latest iPhone 16e, to our consumers here," said an Apple representative when confirmed by Tempo on Wednesday afternoon.

Previously, the Ministry of Industry offered two investment schemes to Apple Inc. Based on the Minister of Industry Regulation Number 29 of 2017 concerning Provisions and Procedures for Calculating the Domestic Components Level of Cellular Telephone Products, Mobile Computers, and Tablet Computers, three schemes can be used to calculate the TKDN value.

First, the manufacturing scheme obliges companies to produce goods domestically. Second is the application scheme, companies must develop used applications for the products domestically. And last, is the innovation development scheme, where companies encourage innovation to be carried out domestically. Industry Ministry offered only schemes 1 and 3. In this case, Apple chose scheme 3 with innovation investment, instead of building mobile phone, mobile computer, and tablet (HKT) factories in Indonesia.

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