Sydney taps into global AI gold rush with new mega hub
A groundbreaking AI super hub is rising in Sydney’s north west which promises to create hundreds of jobs and transform NSW into Australia's artificial intelligence powerhouse.
New South Wales is moving to stake its claim in the global AI data-centre boom, as a new purpose built mega AI facility was topped out today in Sydney’s Macquarie Park.
NSW Treasurer Daniel Mookhey joined Macquarie Technology Group chief executive David Tudehope on Tuesday to pour the final concrete at the company’s IC3 Super West site, a 47-megawatt, purpose-built AI facility rising in Sydney’s north-west.
The project - the ASX-listed company’s largest capital investment to date - forms a major plank in NSW’s push to become a national hub for AI infrastructure as businesses scramble for compute power.
“This facility will deliver hundreds of direct tech jobs and support the state and the national economy,” Mr Tudehope said ahead of today’s ceremony for the facility due to open in September 2026.
Mr Mookhey said “Companies like Macquarie Data Centres keep investing, keep expanding, and keep believing that NSW can be a global home for high-tech infrastructure.”
“In the years ahead, thousands of businesses will run smarter because this building exists. Research will accelerate because this building exists. AI capability will expand because this building exists. And NSW will be more competitive – globally competitive – because this building exists.”
Macquarie Data Centres’ Group Executive, David Hirst, added “IC3 Super West is the next data centre in our pipeline of sites planned to add circa 200MW of AI and cloud capacity in Sydney.”
“Demand for high-density AI infrastructure is the most significant megatrend we’ve seen in our 25 years in the data centre industry. IC3 Super West, opening in Q3 2026, is purpose-built for the high-density power and liquid cooling demands of new AI technology. Sovereign data centres keep Australia competitive in the global market and are the foundation of our AI future.”
Construction of IC3 Super West has involved 2,400 jobs through the design and build phases, with Mr Tudehope promising “hundreds” more once operational.
Located within the company’s 65MW Macquarie Park campus, IC3 Super West will be one of the first data centres in Australia engineered specifically for high-performance AI workloads.
Mr Tudehope said the centre “breaks from traditional data-centre design”, incorporating liquid-cooling capability from day one to support the extreme density required for modern AI systems.
“In the new world, you’re actually introducing liquid into the data hall,” he said.
“Designing for that from the outset means much higher density and efficiency — you don’t need to leave every second rack empty to cope with the heat.”
Older data centres use central processing units similar to those used in personal computers and laptops – like your computer, they use air to cool. AI data centres differ from older facilities because they use GPU chips that run hotter and require water or other liquid cooling systems.
Phase one of the project, a roughly $350 million investment, delivers the core and shell plus an initial 6MW of IT load. Power for the full 47MW has already been secured, giving Macquarie a significant advantage as grid capacity becomes a choke point for future developments.
Mr Tudehope said concerns about data centre energy usage were overblown, however.
“I think the challenge with a lot of the power studies that have been done is that they significantly overstate the power needs of data centres because they double count, triple count and sometimes count even more than that the same power requests.”
The milestone lands as corporate Australia rushes to deploy the new technologies along with the federal government releasing its AI roadmap today.
“It’s exciting the way AI is now arriving in Australia,” Mr Tudehope said.
“We’re targeting customers who want to deploy at scale with established businesses and significant datasets.”
The company said domestic, sovereign-grade infrastructure has become critical as government and industry seek to keep sensitive data onshore.
Mr Tudehope stressed IC3 Super West was fully privately funded, saying: “This is a market-driven project.”
The rise of liquid-cooled, high-density AI centres is changing the types of workers needed, with demand growing for specialised cabling, electrical and plumbing trades, said Mr Tudehope.
“These data centres are creating jobs of the future — not just for software developers and IT staff, but highly skilled trades.”
He was dismissive of concerns that Macquarie Park’s industrial focus could change under the state government’s push to rezone the district to address Sydney’s housing shortage.
“There’s a large number of technology companies based here and these are exciting jobs. People want to work near where they live.”
He said Macquarie Park is fast emerging as one of Sydney’s strongest tech employment zones. “It’s an exciting place – they’re creating jobs of the future, close to where people live in a 30-minute city.”
Originally published as Sydney taps into global AI gold rush with new mega hub
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