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US tech firms eye Australia for AI data centers

Sydney-based AirTrunk, a data-center operator, said large US tech firms including Google, Apple, Meta, Amazon, and Microsoft have shown stronger interest over the past six to eight months in building data centers in Australia, citing renewable power, land availability, and proximity to Asia.

The shift comes as AI demand strains established US data-center markets, and local opposition has slowed some projects.

In the US, concerns about pressure on power grids, water use, and household electricity bills have led some jurisdictions to temporarily halt data-center projects.

In Australia, Canberra is planning national standards for data centers. Large facilities could be required to underwrite their own power generation as the country tries to use data-center investment to help fund new renewable electricity while retiring coal plants.

The Australian Energy Market Operator said 84% of the 9 gigawatts of proposed data-center capacity seeking transmission connections on Australia’s main grid was still at the application stage in the June quarter, with none commissioned.

AirTrunk said delays in grid connections and approvals could push back projects.

🔗 Source: Bloomberg

Recent AirTrunk developments

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