Amazon Unveils Record Investment in Australia
Amazon Web Services will invest AU$20 billion from 2025 to 2029 to expand its local cloud operations. This investment marks the largest technology funding ever made by a foreign firm in Australia. The announcement confirms AWS’s strategic focus on Australia as a growing hub for digital services and artificial intelligence.
Cloud Infrastructure Growth Across Regions
AWS began operations in Australia in 2012 with its Sydney cloud region. It expanded in 2023 with the launch of the AWS Asia Pacific (Melbourne) Region. In the same year, the company launched the first Australian AWS Local Zones in Perth. These zones allow businesses to run applications that require low latency in Western Australia.
AWS said the new investment will support local businesses and public sector agencies using cloud computing and AI. The expanded infrastructure will help modernise operations, improve security, and enable innovation across Australian industries.
Anthony Albanese with Amazon Web Services CEO Matt Garman
Government Partnership Strengthens National Security
In July 2024, AWS signed a major agreement with the Australian Government to build a “Top Secret” AWS Cloud. This classified infrastructure will support national defence and intelligence capabilities. The deal aims to improve cybersecurity, data sovereignty, and resilience across government systems.
The partnership forms part of Australia’s broader push to adopt advanced technologies across federal agencies. AWS continues to collaborate with government, industry, and research institutions to deliver secure digital infrastructure.
Launch of Generative AI Platform in Sydney
In April 2024, AWS launched Amazon Bedrock in the Sydney region. This fully managed AI service allows businesses to build and scale generative AI applications. The launch enables local organisations to use foundation models through simple APIs.
Amazon Bedrock supports advanced AI tools like text generation, image creation, and code assistance. It offers flexibility to customise AI systems without managing infrastructure or fine-tuning large models.
AWS had earlier launched Amazon Bedrock in the Sydney region back in April 2024
Sustainability Push with Solar Farms
Amazon’s AU$20 billion investment includes major clean energy projects in Victoria and Queensland. Three new solar farms will be developed and operated by European Energy, a renewable energy firm. Amazon has agreed to purchase over 170 megawatts of capacity from these solar facilities.
This expansion builds on Amazon’s existing eight solar and wind projects in New South Wales, Victoria, and Queensland. The company’s renewable portfolio powers data centres, offices, and fulfilment centres across the country.
Renewable Projects to Power 290,000 Homes
Once operational, Amazon’s 11 renewable energy sites will generate 1.4 million megawatt hours each year. That output could power approximately 290,000 Australian homes annually. The projects support Amazon’s global commitment to power operations with 100 per cent renewable energy by 2025.
In Australia, these investments reduce the company’s carbon footprint and support national energy transition goals. The solar farms also create local jobs in construction and long-term energy management.
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Supporting Australia’s Tech Ambitions
AWS’s expanded footprint underscores Australia’s rising role in the Asia-Pacific digital economy. The AU$20 billion outlay supports the federal government’s economic strategy to boost productivity through technology. It also helps Australian firms accelerate digital transformation, improve efficiency, and compete in global markets.
AWS has grown its customer base across sectors like banking, media, retail, and public services. The firm provides scalable cloud services that support data analytics, software development, and machine learning.
Commitment to Long-Term Investment
AWS said the AU$20 billion will be used to build, operate, and maintain new and existing data centres. The infrastructure growth will ensure AWS can meet increasing demand from customers across the country. The investment includes capital spending, operational costs, and employment associated with cloud operations.
Amazon continues to invest in Australian skills through training programs and local partnerships. These initiatives help build a cloud-ready workforce and support long-term digital growth.
A Strategic Move for Australia and Amazon
The investment represents a major milestone in Australia’s digital infrastructure landscape. It also signals Amazon’s long-term commitment to expanding its services and presence in the region. AWS will continue supporting public and private sector growth through secure, scalable, and sustainable technologies.
