Unleashing growth: Australia's AI investment blueprint

Artificial intelligence (AI) is swiftly establishing itself as the engine of a new industrial revolution, reshaping economies, industries and societies worldwide. Global investment in AI is accelerating toward AU$3 trillion by 2026. Australia has invested just over AU$300 million over the last five years, while other governments have invested more than 10 times the amount.

To capture the AI opportunity, the Australian government should focus on six priority AI enablers that will drive the biggest economic impact:

• National AI talent pipeline
• Population-scale AI training
• Purpose-built AI compute facilities
• Specialised AI models and national datasets
• AI standards and regulations
• Regional AI factories

With the initiatives proposed in this report, AI could lift Australia’s GDP by 6% to 8% over the next decade, adding up to AU$160 billion to AU$235 billion to the economy in 2034, with the potential of a substantial additional upside if AI unlocks breakthrough innovations in areas such as healthcare, biotechnology, or robotics.