Microsoft invests $3.2Bn in Australian AI
WASHINGTON, UNITED STATES — Microsoft has announced a historic A$5 billion ($3.2 billion) investment to expand its cloud computing and artificial intelligence capabilities in Australia.
This marks Microsoft’s largest ever investment in the country over its 40 years of operations there.
The tech giant plans to increase its data center locations from 20 to 29 across Canberra, Melbourne, and Sydney over the next two years. This expansion will boost Microsoft’s computing capacity in Australia by around 250% to meet the growing demand for cloud services.
To support the new data centers and prepare Australians for tech jobs, Microsoft is launching the Microsoft Datacenter Academy in partnership with TAFE NSW. Starting in early 2024, the academy will offer training for various operational roles in the data centers. This supports the tech industry’s goal of filling 1.2 million tech jobs in Australia by 2030.
Additionally, Microsoft is teaming up with the Australian Signals Directorate on the Microsoft-Australian Signals Directorate Cyber Shield initiative to strengthen cybersecurity protections against escalating threats.
The new data centers will incorporate sustainability features like low-carbon materials, renewable energy, advanced water cooling, and reduced diesel fuel use. This aligns with Microsoft’s goals to be carbon negative, water positive, and produce zero waste by 2030.
Microsoft’s multibillion-dollar investment coincides with Australian Prime Minister Anthony Albanese’s U.S. visit, demonstrating the countries’ joint commitment to digital transformation and cybersecurity.
The firm recently reported a 29% year-over-year increase in cloud revenue this quarter, driven by higher-than-expected AI demand.
Microsoft currently operates in over 100 countries and had revenues of $198 billion globally in 2022. The company employs over 221,000 people worldwide.
