OpenAI, NextDC to build $4.6 billion AI hub in Sydney

Home News OpenAI, NextDC to build $4.6 billion AI hub in Sydney
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<p>Sam Altman, co-founder and CEO of OpenAI.</p><p>“><figcaption class=Sam Altman, co-founder and CEO of OpenAI.

ChatGPT maker OpenAI and an Australian data centre operator have agreed to develop a multibillion-dollar AI centre in Sydney. Brisbane-headquartered NextDC said Friday it signed a memorandum of understanding with OpenAI to develop an artificial intelligence campus and a “supercluster” of graphics processing units.

The two firms will collaborate on planning, development and operation of the AI infrastructure partnership in western Sydney, NextDC said in a statement.

NextDC shares were up 4.1 percent in early afternoon trade.

Australia’s government said the Aus$7 billion (US$4.6 billion) development would create thousands of direct and indirect jobs during its construction, and ongoing technical, manufacturing, engineering and operational roles.

The project would use long-term power purchase agreements for new renewable energy sources and “next generation” features not requiring drinking water for cooling, the government said.

  • Published On Dec 6, 2025 at 04:00 PM IST

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