Australian AI infrastructure provider Firmus Technologies has entered a strategic partnership with Nvidia to deliver Nvidia-powered cloud services to AI startups and other customers, leveraging a large-scale GPU deployment planned in Indonesia starting 2027.
- Firmus to deploy 170,000 Nvidia GPUs in Indonesia from 2027 to 2028.
- Partnership aims to ease computing power access for smaller AI firms.
- Deal could earn up to $30 billion in revenue over six years.
What happened
Firmus Technologies, an Australian AI infrastructure company, announced a strategic partnership with Nvidia to purchase Nvidia hardware and sell Nvidia-powered cloud services targeted at 'AI Native' customers and other emerging AI companies. This deal involves deploying 170,000 Nvidia GPUs in a new data center located in Batam, Indonesia, scheduled to operate from early 2027 through the start of 2028.
This agreement provides Nvidia with product revenue from the hardware sales and a share of cloud revenue generated by Firmus. Nvidia has also made financial investments in Firmus through previous capital raisings. Firmus recently raised $1.35 billion, reaching a $5.5 billion valuation, and is reportedly exploring an initial public offering.
Why it matters
The strategic partnership addresses a critical challenge in the AI ecosystem: high infrastructure costs, which have traditionally favored large companies with stronger credit profiles. Firmus aims to close this gap by offering cost-effective cloud computing resources to smaller and developing AI businesses, leveling the competitive playing field and fostering innovation.
By facilitating access to powerful Nvidia GPUs, the deal could accelerate the growth of emerging AI ventures, promote technological advancement, and create significant revenue streams. The arrangement also underscores the growing demand for specialized AI infrastructure outside traditional tech hubs, leveraging locations like Indonesia to expand regional capabilities.
What to watch next
Monitoring Firmus’ execution of the GPU deployment in Indonesia and its ability to attract and retain AI customers will be important to gauge the impact of this partnership. The scale of GPU integration and customer adoption will directly influence the forecasted $30 billion revenue potential over the next six years.
Additionally, Firmus’ potential IPO and how this partnership strengthens its valuation and market appeal should be watched. Nvidia's role as both supplier and investor might deepen, potentially leading to further collaborative efforts supporting AI infrastructure expansion in Asia-Pacific and beyond.