ASU Partners with Indonesia to Advance Semiconductor Industry and Workforce Development

Arizona State University (ASU) and Indonesia have formalized a strategic partnership through the signing of a memorandum of understanding (MOU) aimed at advancing workforce development, education, research, and faculty and student exchanges. This collaboration, part of the International Technology Security and Innovation (ITSI) Project, is set to strengthen Indonesia’s role in the global semiconductor supply chain and support its growing industry.

The agreement was signed by Deputy Minister Edi Prio Pambudi, leader of Indonesia’s Semiconductor Task Force, and ASU President Michael Crow, with Kevin McGinnis, ASU Vice President of Strategic Technology Initiatives, as co-signatory. Witnessed by Minister Airlangga Hartarto, the ceremony followed an industry roundtable led by the US-ASEAN Business Council.

“The semiconductor industry is a priority for Indonesia, and international cooperation with America’s most innovative and top semiconductor university, ASU, will be our key strategic partner to work with the Semiconductor Task Force to achieve a semiconductor industry that is part of the global semiconductor supply chain, namely preparing human resources and attracting investments simultaneously,” said Minister Hartarto.

The ITSI Project, funded by the U.S. Department of State through the CHIPS and Science Act of 2022, focuses on diversifying global semiconductor supply chains and addressing critical workforce shortages in key regions. ASU’s partnership with Indonesia through ITSI supports these goals by enhancing workforce development and advancing assembly, testing, and packaging (ATP) capabilities.

ASU has also collaborated with Indonesia through the USAID Higher Education Partnership Initiative (HEPI), a $6 million program funded through 2027. HEPI has strengthened STEM education and fostered partnerships between U.S. and Indonesian universities, government agencies, and industries. While distinct from ITSI, HEPI has laid the groundwork for capacity-building initiatives that complement Indonesia’s efforts to develop its semiconductor ecosystem.

Since 2020, Arizona has become a global semiconductor hub, attracting over 40 industry expansions, $102 billion in investments, and creating more than 15,700 jobs. ASU, ranked as the most innovative university in the U.S., has played a central role in this growth. Its leadership in public-private partnerships and workforce development makes it uniquely positioned to support ITSI’s mission and Indonesia’s ambitions.

Jeffrey Goss, Associate Vice Provost for Southeast Asia at ASU, underscored the importance of this partnership, stating that it represents an expanded collaboration between ASU and Indonesia’s government, academic institutions, and private sectors. “This agreement builds capacity for Indonesia’s Semiconductor Task Force while fostering critical connections with Arizona’s vibrant semiconductor industry,” he said.

Indonesia now joins other ITSI partner nations, including Costa Rica, Vietnam, and the Philippines, in efforts to strengthen assembly, testing, and packaging (ATP) capabilities and train tens of thousands of individuals for semiconductor workforce roles. Costa Rica has already launched a program targeting 9,000 participants, while Vietnam and the Philippines are each set to upskill more than 16,000 workers. Indonesia’s inclusion in ITSI marks a significant milestone, furthering its efforts to become a vital player in the global semiconductor ecosystem.

“This new MOU is part of a larger vision to secure a resilient semiconductor future,” said Goss. “Through initiatives like ITSI, we are laying the groundwork for a sustainable and diversified global supply chain, one that benefits both the United States and trusted international partners like Indonesia.”

With its participation in ITSI, Indonesia takes a significant step toward building a competitive semiconductor industry, supported by ASU’s expertise and Arizona’s thriving semiconductor ecosystem.