Oracle Corp is in discussions with Indonesia's government to establish a cloud services center in the country's Batam Island, Bloomberg News reported on Friday, citing people familiar with the matter.

Oracle Corp. is in discussions with Indonesia’s government to establish a cloud services center in the country, people familiar with the matter said, as the US technology giant looks to expand its data center footprint in Southeast Asia.

Oracle is considering expanding to an Indonesian island that already hosts several other data centres at Nongsa Digital Park.

Oracle (NYSE:ORCL) is reportedly in talks with the Indonesian government to establish a cloud services center on the Batam Island. Citing people familiar with the matter, Bloomberg News reported on Friday that Nongsa Digital Park in Batam is being favored as a location given its "free trade zone" status and proximity to city-state of Singapore and

Nongsa Digital Park in Batam is favoured as a location considering there are several other data centres there, according to sources.

Oracle may be planning to develop a new cloud region in Indonesia. Citing people familiar with the matter, Bloomberg reports Oracle is in discussions with the Indonesian government to establish a cloud data center within the country, with the company focused on the island of Batam.

In early October, Oracle had said it planned to invest more than $6.5 billion to set up its first public cloud region in Malaysia.