OpenAI Raises $4.6B Date Center in Australia: The Next AI Destination

OpenAI is expanding its global infrastructure footprint with a major new partnership in Australia, teaming up with Brisbane based data centre operator NextDC to build a multibillion dollar AI campus in western Sydney.

The agreement, structured around a memorandum of understanding and long term collaboration on planning, development, and operations, is designed to deliver the kind of compute capacity that advanced AI systems increasingly require as demand for high performance computing accelerates worldwide (Digwatch).

At the centre of the plan is a large scale “supercluster” of graphics processing units, the specialized processors widely used to train and run modern AI models. NextDC says the campus will house a major supercluster to support advanced AI workloads, positioning the site as a cornerstone of Australia’s next generation digital infrastructure and a practical foundation for broader AI adoption. In plain terms, the project is not just about building another data facility. It is about creating the heavy duty computing backbone that lets researchers, engineers, and businesses develop and deploy more capable AI tools at scale (YahooFinance).

The Australian government has placed the project’s value at A$7 billion, roughly US$4.6 billion, and is framing it as both an economic and strategic investment. Officials expect thousands of direct and indirect jobs during construction, followed by ongoing roles spanning technical work, engineering, manufacturing, and operations once the campus is running. Treasurer Jim Chalmers has emphasized that initiatives like this reflect confidence in Australia’s talent base, clean energy potential, and policy settings, while also helping to boost skills and spread AI adoption across the economy (DailyTimes).

Investor reaction has been immediate. Reports noted NextDC shares rising about 4.1 percent in trading after news of the partnership, a signal that markets see meaningful long term value in hosting and operating AI focused infrastructure at this scale (DailyTimes). The move also underscores the growing role of specialist data centre operators as AI reshapes where capital is flowing, with compute and energy access becoming as decisive as software innovation itself (YahooFinance).

Sustainability is a prominent part of the pitch. The project is expected to rely on long term power purchase agreements tied to new renewable energy sources, and it is planned to incorporate “next generation” cooling solutions that do not require drinking water, addressing a key concern as AI data centres grow in size and resource intensity. If delivered as described, the campus would aim to meet rising compute demand while reducing pressure on potable water supplies and aligning with Australia’s broader push to strengthen technological capability through cleaner, more resilient infrastructure (Digwatch).

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Works Cited

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$4.6 Billion AI Hub in Australia.” Daily Times, 5 Dec. 2025, https://dailytimes.com.pk/1412986/openai-launches-4-6-billion-ai-hub-in-australia/. 

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Swinhoe, Dan. “NextDC Seeks Partner for 850 MW Data Center JV in Sydney, Australia.” Data Center Dynamics, 2 Sept. 2025, https://www.datacenterdynamics.com/en/news/nextdc-seeks-partner-for-850mw-data-center-jv-in-sydney-australia/. 

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