The Economic Value of Australia’s Data Centres
Data centre growth is often measured in megawatts. But its economic impact extends far beyond the facilities themselves, into Australian businesses, skilled employment and new opportunities to serve global markets.
The August 2026 report, The Economic Contribution of the Data Centre Industry in Australia, prepared by Mandala for Data Centres Australia, examines this broader contribution. Its findings reveal an industry that is not only supporting digital transformation, but building economic capability across the country.
From Infrastructure Investment to Lasting Economic Value
Australia’s operational data centre capacity is forecast to more than double, from 1.6 GW to 3.9 GW by 2030, requiring around A$42 billion in investment to build the additional capacity.
Mandala estimates that constructing this pipeline will contribute A$19.8 billion in economic activity through 2030. Once operational, Australia’s expanded capacity could generate A$5.6 billion annually, supporting 23,040 ongoing jobs across the industry and its supply chain.
The distinction matters. Construction delivers an initial economic contribution, while operating facilities sustain demand for energy, maintenance, security and specialist services throughout their working lives.
Building Capability Beyond the Data Hall
Behind every facility is a network of businesses designing, manufacturing, installing and maintaining critical infrastructure.
The report highlights Drac Mechanical, which has grown from a one-person generator installation business into a manufacturer employing more than 100 people across three Victorian facilities. Its development has also supported local suppliers, including steel fabricators, painting contractors and transport providers.
The benefits extend to workforce capability. Another case study, Erilyan, shows how data centre demand is supporting specialist training in liquid cooling and advanced chip cooling. Together, these examples illustrate how infrastructure investment develops Australian expertise alongside physical capacity
Building Infrastructure. Enabling Economic Growth
NEXTDC’s role extends beyond delivering data centre capacity. It helps provide the infrastructure foundation on which businesses operate, digital services scale and AI capabilities develop. The report underscores the importance of this role: colocation accounts for 87 per cent of Australia’s operational data centre capacity, supporting services used by enterprises, government agencies, start-ups and communities.
The economic contribution works on two levels. Data centres support customers’ digital operations, while their construction and ongoing operation generate demand for Australian engineering, manufacturing, energy and specialist services. For operators such as NEXTDC, bringing infrastructure to market therefore means more than adding capacity. It helps establish the conditions for growth across both the digital economy and the local businesses supporting it.
The report highlights NEXTDC’s 2025 memorandum of understanding with OpenAI to co-develop a proposed A$7 billion AI campus in Sydney. This illustrates how NEXTDC is helping connect global demand for AI with the development of Australian infrastructure, creating a pathway for international investment to support local capability.
Realising that opportunity requires turning demand into operational infrastructure. Mandala explains how customer commitments can strengthen project viability and unlock financing for new developments. NEXTDC’s enabling role sits at this connection between demand, investment and delivery, helping build the physical foundation from which broader economic benefits can flow.
Australian Compute. Global Opportunity.
The next opportunity extends beyond meeting domestic needs.
AI model training and batch inference can operate further from end users than time-sensitive applications. This creates a potential market for Australian infrastructure to serve international customers, provided the necessary power, connectivity and workforce are available.
Mandala estimates that capturing this export opportunity could generate up to A$4.1 billion in additional annual economic activity by 2030, above the contribution from the projected domestic capacity. The report also identifies the potential to export the value of renewable energy through the computing services it powers.
These outcomes are not guaranteed. Realising them depends on energy availability, workforce capability, investment and infrastructure delivery. But the report’s central message is clear: the value of data centre growth reaches beyond compute capacity, into the businesses, skills and industries that develop around it.
Download the Report. Talk to NEXTDC. Get AI-Ready.
Want to see how your infrastructure stacks up?
- Download the full report to explore the forecasts, Australian industry case studies and AI export opportunities shaping the sector.
- Speak with the NEXTDC team to discuss the infrastructure supporting your AI, cloud and mission-critical ambitions.
- Use the NEXTDC AI Ready Checklist to assess your infrastructure across power, cooling, density, connectivity, and location
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