Anthropic signs massive AI data center lease in Queensland

Anthropic has secured a lease for one of the largest data centers under construction in Australia, marking a major investment in the country’s AI infrastructure. The agreement, reported by the national news service, covers a facility near Dalby in Queensland’s Western Downs region, about 250 kilometers west of Brisbane. The center, being developed by Singapore-based Zerra DC, will have a peak power capacity of 2.16 gigawatts, enough to supply 1.5 million Australian homes.
The project carries a total cost of A$32 billion (around $22.8 billion), making it a landmark deal for Queensland. The state government owns the power grid, and the site sits near three gas-fired plants, giving it access to a stable energy supply. Earlier this year, federal officials relaxed renewable energy requirements for data centers in Queensland and the Northern Territory, allowing the use of fossil fuels—a shift that cleared the way for the Anthropic deal.
Anthropic plans to use the facility primarily to run its AI assistant Claude, not for training models. The company expects to begin operations in 2027, though the site remains largely undeveloped, with local reports describing it as a barren plain where cattle grazing is still common. The development application was only filed with the local council a few weeks ago, showing the project’s rapid progression.
The lease requires approval from Australia’s Foreign Investment Review Board, a standard step for large-scale foreign investments. If approved, the deal would inject nearly five times the public funding allocated for the 2032 Brisbane Olympics and Paralympics, positioning Queensland as a key player in global AI infrastructure.
Queensland Premier David Crisafulli has framed the agreement as a victory for the state’s economic strategy. The federal government’s decision to allow non-renewable energy sources for data centers in Queensland and the Northern Territory was a critical factor, as the state’s centralized power grid and proximity to gas plants made it an attractive location. The move also reflects broader tensions in Australia over energy policy, with some regions pushing for flexibility amid high demand for computing power.
Anthropic’s lease is part of a larger trend of tech firms seeking outback locations for data centers. Remote sites offer lower costs, abundant space, and fewer regulatory hurdles than urban areas. The Dalby facility, however, stands out for its scale and the speed with which it has moved from planning to lease agreement, a reflection of both Australia’s growing appeal as a tech hub and the global race to build AI infrastructure.