Microsoft will invest A$25 billion (US$18 billion) in Australia by the end of 2029, in what the company describes as its largest commitment in the country to date.

The funding will go towards expanding Azure AI supercomputing and cloud infrastructure, increasing Microsoft’s Australian cloud footprint by more than 140% by 2029, and supporting cyber defence and workforce skills programmes.

“We want to make sure all Australians benefit from AI. Our National AI Plan is all about capturing the economic opportunities of this transformative technology while protecting Australians from the risks,”

said Prime Minister Anthony Albanese.

“Microsoft’s long-term investment in our national capability will help deliver on that plan, strengthening our cyber defences and creating opportunity for Australian workers and businesses.”

“Australia has an enormous opportunity to translate AI into real economic growth and societal benefit,”

said Satya Nadella, Microsoft Chairman and CEO.

“That is why we are making our largest investment in Australia to date, committing A$25 billion to expand AI and cloud capacity, strengthen cybersecurity, and expand access to digital skills across the country.”

Microsoft said it will work with the Australian AI Safety Institute on testing and evaluating advanced AI systems.

It will also expand its Cyber Shield partnership with the Australian Signals Directorate to cover more government agencies.

In addition, it will deepen collaboration with the Department of Home Affairs on national resilience and critical infrastructure.

It also plans to train three million Australians in AI skills by 2028 through initiatives including Elevate for Educators, an AI Career Coach programme with youth platform Anyway for up to 1,000 schools, and Elevate for Changemakers for non-profit organisations.

The investment builds on a A$5 billion commitment in 2023, which expanded Microsoft’s data centre presence across three Azure regions.

Featured image credit: Microsoft press release