26th October 2023, Kathmandu
In a groundbreaking announcement, Microsoft is set to invest a staggering A$5 billion in Australia’s digital infrastructure (Microsoft’s A$5 Billion Investment), signaling a pivotal move towards harnessing the power of artificial intelligence (AI) and bolstering the nation’s economic competitiveness.
This monumental investment is not only the largest in Microsoft’s forty-year history in Australia but also one that could reshape the country’s digital landscape in numerous ways.
Key highlights of this historic development include:
1. Cloud Computing and AI Infrastructure Expansion:
Microsoft plans to significantly expand its hyperscale cloud computing and AI infrastructure over the next two years, increasing its computing capacity by approximately 250 percent. This expansion is in response to the growing demand for cloud computing services, which are projected to nearly double from A$12.2 billion in 2022 to A$22.4 billion in 2026.
2. Datacentre Growth:
The expansion will also see Microsoft grow its local data center footprint from 20 sites to a total of 29, distributed across Canberra, Melbourne, and Sydney.
3. Skilling Initiatives:
In a bid to equip Australians with the capabilities needed to thrive in a cloud and AI-enabled economy, Microsoft is launching a Microsoft Datacentre Academy in collaboration with TAFE NSW. Furthermore, they have committed to support an additional 300,000 Australians through global skills programs, aiming to fill 1.2 million tech-related jobs across the country by 2030.
4. Cybersecurity Collaboration:
To bolster the nation’s cyber defenses, Microsoft is collaborating with the Australian Signals Directorate (ASD) on the Microsoft-Australian Signals Directorate Cyber Shield (MACS) initiative. This partnership will focus on developing next-generation cybersecurity solutions to protect Australian residents, businesses, and government entities from the growing threat of cyberattacks.
5. Sustainability Commitment:
Microsoft is committed to ensuring that its new data centers in Australia align with their sustainability goals, aiming to be carbon-negative, water-positive, and zero waste by 2030. This includes using low-carbon materials during construction, renewable energy, advanced water-cooling features, and reducing diesel fuel use during operation.
The combined impact of these initiatives is poised to enable Australia to seize the opportunities presented by AI technology and enhance the country’s economic and technological competitiveness. Furthermore, it will contribute to the nation’s preparedness in countering the escalating challenges of cyber threats.
Microsoft’s A$5 Billion Investment
Microsoft’s historic investment was announced during Australian Prime Minister Anthony Albanese’s state visit to the United States, where he was joined by Microsoft Vice Chair and President Brad Smith and Microsoft Australia and New Zealand Managing Director Steven Worrall.
This momentous development reflects a powerful commitment to Australia’s digital future and has the potential to reshape the nation’s technological landscape for years to come. Stay tuned for more updates as this transformative journey unfolds.