Microsoft has announced a $25 billion investment in AI infrastructure, commerce, security and skills in Australia. It will be Microsoft’s largest ever investment in Australia.
By the end of 2029 the company will invest $18US billion ($A25 billion) in new digital infrastructure, along with a commitment to improve national cyber defence capabilities and commence workforce skilling programs.
Microsoft chairman and chief executive officer, Satya Nadella, made the announcement alongside Australian Prime Minister Anthony Albanese.
“Australia has an enormous opportunity to translate AI into real economic growth and societal benefit,” said Satya Nadella, Chairman and CEO, Microsoft.
“That is why we are making our largest investment in Australia to date, committing A$25 billion to expand AI and cloud capacity, strengthen cybersecurity, and expand access to digital skills across the country.”
Australian Prime Minister Anthony Albanese welcomed the move.
“We want to make sure all Australians benefit from AI. Our National AI Plan is all about capturing the economic opportunities of this transformative technology while protecting Australians from the risks,” said Prime Minister Anthony Albanese.
“Microsoft’s long-term investment in our national capability will help deliver on that plan – strengthening our cyber defences and creating opportunity for Australian workers and businesses.”
This investment comes after Microsoft committed $5 billion in October 2023 to grow its data centre presence in Australia to 29 sites across three Azure regions.
It was also at that time that the company established the Microsoft ASD Cyber Shield and trained more than one million Australians with digital and AI skills.
This comes at an opportune time with Australia looking to become a leader in AI-driven innovation.
The new $25 billion investment will fund capital and operational expenditure and will expand Microsoft’s Azure AI infrastructure across the country, improve local AI supercomputing capacity, and deploy advanced AI processes to form the foundation of the next generation of AI innovation, data and applications.
Despite the size of the investment the Australian government is expecting Microsoft to meet the government’s recently released list of expectations of data centres and AI infrastructure developers.
These include supporting Australia’s national interest, driving the transition to clean energy, using water sustainably, investing in Australian skills and jobs, strengthening local research and innovation capability.
Microsoft will build on the Microsoft Australian Signals Directorate Cyber Shield (MACS) which was established in 2023.
The MACS program will be extended to protect more federal agencies and deliver even more secure configurations and threat visibility across existing Microsoft technology investments.
More than 38,000 government accounts have already been secured in the programme and identified 35 previously unknown vulnerabilities.
Microsoft is also committed to training more than three million Australians with Workforce Ready AI skills by 2028.
This is the largest commitment of its kind ever made in Australia.
“This is a global gamechanger for Australia and exactly the kind of investment we need to capture the economic opportunity of the AI era. Microsoft’s $25 billion commitment to infrastructure and cyber security will support jobs, lift productivity and contribute to long-term economic growth,” says Bran Black, Chief Executive of Business Council Australia.
“This shows how Australia can be a leader in AI and the scale of the economic opportunity that comes with it.”
Microsoft’s support will be also felt in our classrooms with Microsoft Elevate for Educators launching in Australia today.
This is a free programme that can help teachers and school leaders build confidence and use AI responsibly.
