NVIDIA expands Australia AI capacity with 8 partners

NVIDIA announced on Sept. 9 that it is working with eight Australian infrastructure providers on an AI factory buildout targeting up to two gigawatts of capacity by 2027.

• NVIDIA and eight Australian partners plan up to two gigawatts of AI capacity by 2027.
• Australian providers will operate the AI factories while NVIDIA supplies computing, networking, software and support.
• Sharon AI plans to deploy up to 68,000 NVIDIA GPUs using DSX infrastructure in Australia.
• IREN's planned Bundey campus in South Australia is designed for 800 megawatts of capacity overall.
• Australia currently has 1.6 gigawatts of computing capacity, according to published Data Centres Australia estimates.

The planned expansion involves Firmus, Sharon AI, IREN, Megaport, ResetData, CDC, NEXTDC and AirTrunk. According to NVIDIA's official announcement, the partners will develop land, power and powered-shell capacity capable of hosting multiple generations of NVIDIA DSX infrastructure.

NVIDIA will provide accelerated computing systems, networking equipment, software and technical support. The participating companies will operate the facilities. That structure means the two-gigawatt figure represents a collective capacity target, rather than a single NVIDIA-owned data center.

The proposed buildout would be larger than Australia's existing data center computing capacity. Australia currently has about 1.6 gigawatts, according to Data Centres Australia and market researcher DC Byte, figures cited by Reuters.

Eight partners will divide infrastructure responsibilities

Sharon AI plans to deploy up to 68,000 NVIDIA GPUs connected through NVIDIA Quantum InfiniBand and Spectrum-X Ethernet networking. The company said the systems would serve Australian startups, enterprises, government agencies and research organizations requiring locally hosted computing capacity.

IREN will combine NVIDIA's DSX reference architecture with its experience in power, land, data centers and GPU operations. Its contribution includes the planned 800-megawatt Bundey campus in South Australia. IREN has historically operated Bitcoin mining infrastructure but has increasingly expanded into AI cloud services and high-performance computing.

That shift reflects a wider overlap between cryptocurrency mining and AI infrastructure. Both businesses require access to large power supplies, cooling systems and computing facilities. In related coverage, crypto.news examined why AI chips are increasingly being compared with scarce digital assets as demand for computing capacity grows.

CDC said it operates more than 550 megawatts across Australia and New Zealand, with another 800 megawatts under construction. The company also claims its facilities use renewable electricity and zero-water cooling systems. Those environmental statements are company claims and have not been independently verified across every proposed site.

NVIDIA DSX connects facilities with AI software

NVIDIA describes DSX as a full-stack AI factory platform covering facility design, computing, networking, software and reference architecture. The system is compatible with CUDA and is designed to support later generations of NVIDIA hardware without requiring operators to redesign every infrastructure layer.

The company said expanded capacity would give Australian organizations greater access to NVIDIA Nemotron open models. Healthcare technology company Heidi is using Nemotron tools for clinical applications, while Atlassian is applying NVIDIA technology to semantic search and other features within its Rovo AI platform.

However, NVIDIA did not disclose the expected cost of the Australian buildout, individual investment commitments or how much of the targeted capacity already has financing, planning approval or grid connections. The two-gigawatt target should therefore be treated as a forward-looking plan rather than completed infrastructure.

Power access will determine whether the target is reached

The scale of the proposal brings power availability, grid connections and cooling requirements into focus. Data centers consume electricity continuously, and high-density GPU clusters can require more advanced cooling than conventional computing facilities.

NVIDIA said additional capacity could support new power-generation projects, but it did not identify specific generation assets or electricity contracts. Australian authorities and infrastructure operators will need to assess network connections, construction approvals and local environmental requirements for individual projects.

NEXTDC separately announced plans to raise A$1.1 billion through convertible notes to support its expanding AI infrastructure portfolio, Reuters reported. The financing is broader than the NVIDIA collaboration and should not be treated as funding solely for DSX facilities.

The next measurable developments will be site approvals, power agreements, construction milestones and GPU delivery schedules. NVIDIA and its partners have not published a shared timetable showing how much capacity should become operational during each stage before 2027.

NVIDIA also cautioned that its infrastructure projections remain subject to demand, partner execution, regulation and technology availability. Investors can monitor those risks through the company's SEC filings, alongside future announcements from the eight Australian partners.