Microsoft — Australia AI Expansion
Sydney, Melbourne, Canberra, New South Wales, Victoria, ACT, Australia
Microsoft is executing a A$5 billion (US$3.2 billion) investment in Australia, its largest ever in the country, scheduled for completion by 2026. This project focuses on increasing the number of data center sites from 20 to 29 across Sydney, Melbourne, and Canberra to support the surging demand for AI and cloud computing. A flagship component of this expansion is a 190 MW hyperscale campus in Kemps Creek, Western Sydney, specifically optimized for generative AI workloads. Total computing capacity is projected to increase by 250% over the two-year build period. The facilities utilize advanced water-cooling systems and are integrated with the Microsoft-Australian Signals Directorate Cyber Shield (MACS) to enhance national cybersecurity and threat intelligence.