Joint media release with Dr Andrew Charlton MP, Assistant Minister for Science, Technology and the Digital Economy.

The Government has today signed a new Memorandum of Understanding (MoU) with Microsoft which builds on the work of the National AI Plan launched in late 2025. 

The Albanese Government welcomes AI investment – on terms that work for Australians and in the national interest. 

The Albanese Government also welcomes the announcement of a $25 billion investment from Microsoft to strengthen Australia’s AI-enabled economy and train three million Australian workers. 

This investment into Australian digital infrastructure, workers and national cyber security will make Australia more competitive, more productive and more resilient. 

This is the National AI Plan at work – capturing the opportunity, spreading the benefits and keeping Australians safe.  

The Government welcomes the commitment by Microsoft in the MoU to align any future Australian operations with the Australian Government’s Expectations of Data Centres and AI Infrastructure Developers released in March. 

The Expectations have been supported by the Australian Council of Trade Unions, the Smart Energy Council, the Water Services Association of Australia, with commitments from both Microsoft and Anthropic to align future operations. 

The MoU supports Australia’s leadership in trusted AI and reinforces Australia’s position as an attractive destination for global AI investment.

Microsoft has operated in Australia for more than 40 years and has made significant investments in Australian digital infrastructure and AI capability over that time.

This MoU outlines how Microsoft will back increased investment in Australia’s tech infrastructure and safer adoption of AI, including working closely with the Australian Government through:

• Continued investment in Australian AI and cloud capability, building on the $5 billion investment announced in 2023.
• Collaboration with Government including the AI Safety Institute, National AI Centre and the Future Skills Organisation to strengthen Australian’s safety and workforce capability.
• Understanding future infrastructure needs to support Australia as a trusted regional hub.

You can read the MoU in full here: industry.gov.au/MOUMicrosoft

Quotes attributable to Minister for Industry and Innovation and Minister for Science Tim Ayres:

“I look forward to working closely with Microsoft to ensure AI delivers real economic and social benefits for Australians while keeping safety front of mind.

“This MoU outlines how the Australian Government and Microsoft will work together to strengthen AI infrastructure, improve safety measures and encourage adoption across the economy.

“This arrangement will progress the work of the National AI Plan to help drive productivity, support skilled jobs and strengthen Australia’s position as an attractive place to invest.” 

Quotes attributable to Assistant Minister for Science, Technology and the Digital Economy, Dr Andrew Charlton:

“The Albanese Government welcomes the commitment from Microsoft to the Commonwealth’s Expectations of Data Centres and AI Infrastructure Developers.

“By partnering with responsible global AI leaders like Microsoft, Australia is setting the regional benchmark for safe, secure and inclusive AI, and improved energy and water security.

“Labor will always work to ensure that technology works for Australians, and not the other way around.”