Amazon Australia unveils record $13B AI & cloud expansion investment

Amazon Australia is making history with a game-changing $13 billion investment aimed at expanding its artificial intelligence (AI) and cloud infrastructure footprint across the nation.

According to officials, this is not only Amazon Australia’s largest local investment to date, but also  the biggest tech commitment ever made by a global company in the country.

Amazon Australia is setting its sights on national transformation through this strategic deployment of capital, with projects spanning ultra-modern AWS data centers, renewable energy development, and AI capability scaling.

Amazon Australia investment to redefine national tech landscape

Amazon will inject AU$ 20 billion (approx. $13.4 billion USD) into the economy through this initiative by 2029.

The investment focuses on the operation, maintenance, and expansion of Amazon Web Services (AWS) data centers in Australia, setting the stage for cutting-edge AI, cloud services, and supercomputing capabilities.

“This is the largest investment our country has seen from a global technology provider,” said Prime Minister Anthony Albanese.

“It’s an exciting opportunity for Australia to build AI capability using secure, resilient infrastructure.”

This strategic move by Amazon Australia comes amid a broader push to position the country as a competitive hub for AI development and cloud innovation, especially in the Asia-Pacific region.

Renewable energy projects powering Amazon Australia’s AI future

As part of its commitment to sustainable development, Amazon is also investing in three new solar farms in Victoria and Queensland. These projects will expand the company’s renewable portfolio to 11 total initiatives in the country.

The new solar sites are projected to generate approximately 1.4 million megawatt-hours of clean energy annually, enough to power nearly 290,000 Australian homes.

From 2020 to 2022, Amazon Australia had already invested over $312 million in renewable energy projects. This latest initiative positions the tech giant as not just a digital powerhouse but a serious player in clean energy innovation.

Amazon Australia: From Sydney to a national AI supergrid

Amazon Australia’s journey began in 2012 with the launch of AWS’s Asia Pacific region in Sydney. Since then, the company has strategically scaled its infrastructure, most notably partnering with the Australian government in July 2024 to launch a “Top Secret” AWS cloud for national security and defense use cases.

These initiatives underscore how deeply embedded Amazon Australia is becoming in the fabric of national infrastructure and innovation.

And the momentum isn’t slowing. Just days before this announcement, AWS also signed a deal with Talen Energy in the U.S. to power AI data centers with nuclear energy through 2042, hinting at a global pattern of energy-resilient tech investment.

According to the Department of Industry, Science and Resources, AI and automation are projected to contribute a staggering $400 billion annually to Australia’s GDP by 2030. This aligns perfectly with Amazon Australia’s long-term strategy.

By expanding its AI infrastructure and cloud capabilities, Amazon Australia is placing itself at the center of this economic boom, offering the tools and services necessary for both startups and enterprise-level clients to thrive in a data-driven economy.

Experts applaud Amazon Australia’s forward-thinking strategy

Tech analysts and economists have praised Amazon Australia’s investment, viewing it as a bold signal to both local and international markets.

“Amazon isn’t just building infrastructure—they’re creating a digital backbone for Australia’s future economy,” said Lisa Tang, senior tech advisor at Pacifica Consulting.

With AU$20 billion on the table, Amazon is not just upgrading its tech stack—it’s transforming the country’s digital and energy landscape.