Amazon Invests AU$20B to Boost AI and Cloud Infrastructure in Australia
Amazon Web Services (AWS) has announced an investment of AU$20 billion over five years, set to accelerate the growth of AI capabilities and cloud infrastructure in the country.
The investment will fund the expansion, operation, and maintenance of AWS data centers in Sydney and Melbourne, marking the largest global technology investment in Australia's history. The expansion is designed to meet the growing demand for cloud computing and artificial intelligence (AI), which are poised to drive economic growth and innovation in Australia.
This announcement follows AWS's commitment to enhancing AI adoption and modernizing local organizations of all sizes, aligning with the Australian Government’s vision to promote AI innovation as a key driver of productivity.
According to the Department of Industry, Science and Resources, AI and automation are expected to contribute up to AU$600 billion annually to Australia's GDP by 2030.
Renewable Energy Investment to Power AWS Operations
Supporting the new cloud infrastructure, Amazon has also committed to investing in three new solar farms in Victoria and Queensland. These projects, totaling over 170 MW of capacity, will help power AWS’s operations, including its data centers.
The renewable energy projects aim to generate 1.4 million megawatt-hours of carbon-free energy annually, powering around 290,000 Australian homes.
The move to invest in solar and wind energy aligns with AWS's sustainability goals, with the company already being the third-largest corporate purchaser of renewable energy in Australia and the largest globally.
In total, Amazon’s 11 renewable energy projects in Australia are expected to further reduce carbon emissions, enhancing the country’s clean energy efforts.
Also read: Amazon Debuts AI Breakthroughs to Transform Logistics & CX
Driving AI Innovation and Local Economy
Amazon's AU$20 billion investment will provide local industries with the infrastructure necessary to scale AI solutions, enabling them to innovate and improve productivity.
Matt Garman, CEO of AWS, said, “This planned investment deepens our long-term commitment to supporting the growth and development of Australian organizations of all sizes and helping them harness the enormous opportunity that generative AI offers.”
He added, “We’re proud to be expanding our world-class data center infrastructure, bringing more renewable energy projects online, and supporting the country’s vision to be a global AI leader. AI is a once-in-a-generation transformation, and Amazon is pleased to be empowering all Australians to innovate at scale through this investment.”
AWS is boosting Australia’s AI ecosystem through its Generative AI Accelerator for startups and the AI Launchpad for business adoption. It’s also advancing workforce skills via its Work-Based Learning and AI Ready programs, aiming to train 2 million people globally by 2025. Major firms like ANZ, Canva, Telstra, and Optus are already leveraging AWS AI tools.
Commitment to Upskilling the Workforce
AWS is helping build Australia’s AI-ready workforce through its Work-Based Learning Program and AI Ready initiative, which aims to train two million people globally by 2025. Partnering with government and industry, AWS supports AI skills development, with major firms like ANZ Bank, Canvamazon, Telstra, and Optus already using its AI services.
