AirTrunk in India
Australian data centre giant AirTrunk’s $7 billion push into India is being seen as a major expansion into one of the world’s fastest-growing markets. It is an early signal of where the next layer of global technology infrastructure is being built, and a signal for other Australian companies to take note and move with urgency.
What’s unfolding in India is not just another growth story. India is positioning itself as a serious player in AI infrastructure, emerging as a third major region alongside the United States and China. Data centre capacity, typically measured in megawatts of power, is expected to grow from around 1.5 gigawatts in 2025 to close to 10 gigawatts by 2030, based on Deloitte estimates. This expansion is being backed by unprecedented capital commitments, with industry and government collectively targeting more than US$200 billion in AI infrastructure investment over the coming years.
That scale is already attracting large-scale global capital and partnerships. Google has committed US$15 billion towards AI and digital infrastructure in India over the rest of the decade, while Amazon Web Services (AWS) has announced plans to invest US$12.7 billion in cloud infrastructure over a similar timeframe. OpenAI is partnering with the multi-billion dollar Indian conglomerate Tata Group to develop 100 megawatts of AI capacity, with plans to scale to 1 gigawatt. In practice, this means build-out of large-scale data centre campuses, supported by dedicated power, advanced cooling and the high-speed connectivity required to run AI workloads at scale.
This is exactly where the opportunity lies for Australian companies. The build-out of AI infrastructure at this scale requires capabilities that go well beyond the construction of data centres. It involves reliable power systems, advanced cooling, high-speed connectivity and the operational expertise needed to run large-scale infrastructure efficiently and securely.
These are areas where Australian capability is well established. From infrastructure investment and project delivery to renewable energy integration and enterprise-grade systems, Australian firms have experience operating at global standards. This combination of capabilities is critical to delivering and operating AI infrastructure at scale.
If that opportunity is to be realised, it will require a shift in how Australian companies engage with India. Three priorities stand out.
First, move beyond exporting services and establish a long-term presence in India. This means partnering with local players that are already committing significant capital to AI infrastructure, including large industrial and energy groups building integrated data centre platforms. Joint ventures, co-investment and on-the-ground teams will be critical to navigating the market and participating meaningfully in the build-out.
Second, leverage Australia’s strength in energy and sustainability. As AI infrastructure scales, energy is emerging as the primary constraint globally. India’s approach is already integrating data centre expansion with renewable energy and long-term power strategies. Australian expertise in renewable integration, energy efficiency and grid management positions its companies well to contribute to the development of sustainable AI infrastructure at scale.
Third, make better use of policy and institutional pathways to support commercial engagement. India’s push into AI infrastructure is being driven not just by private capital, but by coordinated national ambition, reflected in large-scale investment commitments and government-led initiatives. Engaging through bilateral forums, industry platforms and channels such as Austrade and DFAT can help Australian firms build relationships, navigate regulatory environments and position themselves early in the market.
AirTrunk’s move is an early signal of where this is heading. The larger question is whether more Australian companies are prepared to follow with the same level of conviction. The build-out of AI infrastructure will define the next phase of the global technology economy. The opportunity for Australia is real, but it will not remain open indefinitely. The time to act is now.
Nikhil Kulkarni is a Sydney-based AI product leader with experience across Australia and India, and an active contributor to technology and business collaboration between the two countries.
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