Australia AI Data Center Capacity Surges to 23 Gigawatts

Commonwealth Bank of Australia reports that planned AI compute capacity in Australia surged from 6 gigawatts in February 2026 to approximately 23 gigawatts by October. This rapid expansion positions the country as a primary destination for data center development.

The growth is driven by competitive rental rates and land availability. In Sydney, rental rates are currently half those found in Singapore. Additionally, Australian cities offer significantly more available space than crowded urban hubs such as Hong Kong and Tokyo, making the region more attractive for large-scale infrastructure projects.