A vast solar energy project in Australia’s Northern Territory could become a major hub for artificial intelligence infrastructure, as Google explores a potential partnership with SunCable, the renewable energy company backed by Atlassian co-founder Mike Cannon-Brookes.
The proposed development would combine large-scale solar power generation with a data centre campus designed to meet the enormous electricity demands of advanced computing and AI services. If realised, the facility could become one of the largest data centre developments in Google’s global network.
SunCable’s plans mark a significant shift in the company’s strategy. Previously, its flagship project focused on generating solar electricity in Australia and transmitting it to Singapore through a 4,200-kilometre subsea cable. The company is now pursuing an alternative approach that would use the region’s abundant sunshine to supply energy directly to energy-intensive digital infrastructure.
The proposed site, between Elliott and Tennant Creek, offers extensive land for development and access to existing high-capacity fibre-optic connections. SunCable has identified more than 60,000 hectares of potentially developable land across the wider project area, providing room for a substantial solar and data centre precinct.
The project is designed to attract major technology companies, known as hyperscalers, which operate the large-scale computing and cloud infrastructure underpinning digital services worldwide. SunCable has reportedly held discussions with Google and AI company Anthropic about potential involvement.
The opportunity reflects a growing challenge for the technology industry: AI systems require increasingly large amounts of electricity, and companies are under pressure to secure reliable energy supplies while reducing their environmental footprint. Locating data centres alongside major renewable energy projects could help address both the demand for computing capacity and the need for lower-carbon power.
For Australia, the proposed development could create a new role for the Northern Territory in the global digital economy. Beyond renewable energy generation, a major data centre precinct could attract investment in digital infrastructure, telecommunications and supporting services.
However, significant hurdles remain. SunCable has yet to secure all the investment required to advance its ambitious plans, and the project has not begun construction. Google has also not confirmed a final partnership, describing its approach as ongoing discussions with companies around digital infrastructure and clean energy technologies.
The proposal also raises broader questions about how future AI infrastructure will be powered. Large data centres require not only substantial electricity but also careful planning around land, water, transmission and environmental impacts. Delivering a project of this scale will depend on balancing commercial ambition with reliable energy provision and responsible development.
If the partnership progresses, SunCable’s vision could illustrate how renewable energy projects are being reimagined to serve the fast-growing AI economy. The outcome will depend on whether the company can secure the funding, customers and approvals needed to turn the proposal into a functioning development.
Source: The Australian | ABC News — Why AI companies are looking to Australia’s Northern Territory
