Amazon Pours $13 Billion into Australian AI and Cloud Infrastructure Expansion

Amazon Web Services (AWS) just announced that it will invest approximately A$20 billion (nearly US$13 billion) to expand its data-center infrastructure in Australia by 2029. This marks the company’s largest technology investment in the country to date.

AWS will use this funding to grow server capacity and support generative AI workloads. The expansion includes building or upgrading multiple sites in Sydney and Melbourne. At the same time, Amazon will launch three new solar farms, located in Victoria and Queensland. This will help them secure over 170 megawatts of clean energy. These projects align with existing renewable efforts across New South Wales, Victoria, and Queensland to power data centers and AWS fulfillment facilities.

Prime Minister Anthony Albanese called the commitment “a huge vote of confidence in the Australian economy,” asserting it will drive productivity, innovation, and job creation. AWS has trained more than 400,000 Australians since 2017 through upskilling programs tied to cloud and generative AI .

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This development follows similar AWS investments: US$20 billion in Pennsylvania, US$10 billion in North Carolina, and US$5 billion in Taiwan. Upcoming cloud regions in Chile, New Zealand, and Saudi Arabia reflect Amazon’s ongoing global AI and cloud strategy.

As AI models place increasing pressure on global power grids, AWS CEO Matt Garman noted that renewable and nuclear options will be evaluated to meet growing energy needs. The new Australian solar farms join eight existing projects to produce over 1.4 million megawatt-hours annually enough to power around 290,000 homes.

Amazon’s announcement highlights how major technology firms are racing to establish local cloud and AI infrastructure worldwide. That means faster services for customers, secure data storage, and a significant economic impact in regions they choose to scale.

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