- AirTrunk has purchased a new site in Melbourne’s north-west for its second major data centre, MEL2, committing over AUD 5 billion in investment.
- The expansion will grow the company’s total deployable capacity in Melbourne to more than 630 MW and generate thousands of jobs during construction.
What happened: AirTrunk doubles down on Melbourne’s AI and cloud capacity
AirTrunk has acquired a site in Melbourne’s north-west for development of MEL2, a hyperscale data centre with more than 354 MW of capacity. This additional facility will lift the group’s total capacity in the city to over 630 MW, accounting for both the existing MEL1 campus and the new MEL2 site. Across Australia, AirTrunk will operate five campuses — three in Sydney and two in Melbourne — delivering a combined capacity of more than 1.2 GW.
The AUD 5 billion investment in MEL2 boosts AirTrunk’s total commitment to Melbourne’s digital infrastructure to more than AUD 7 billion, making it one of the largest direct technology investments in the state. During multi-phase construction, the project is expected to create over 4,000 jobs, with more than 200 ongoing roles once operational. In addition, AirTrunk anticipates over 1,000 supply-chain jobs from contractors and local partners supporting its campuses.
AirTrunk’s founder and CEO, Robin Khuda, said the expansion responds to escalating demand for AI-ready infrastructure and cloud services. He highlighted Australia’s ambitions to become a global hub for artificial intelligence, adding that Melbourne’s strategic location and strong business ecosystem make it an ideal base for growth.
Also Read: stc, Humain and Center3 advance AI-ready data centre
Also Read: Datacloud Global Awards 2026 open for entries as industry seeks recognition
Why it’s important
The MEL2 development signals how hyperscale data infrastructure is now central to digital economies. As enterprises and cloud providers deploy AI, machine learning and large-scale computing workloads, proximity to high-capacity data centres becomes a competitive advantage. AirTrunk’s expanded footprint enhances Melbourne’s appeal to global technology firms and supports national digital transformation goals.
The investment also aligns with broader public policy, including Australia’s National AI Plan, which emphasises infrastructure, skills development and responsible adoption of advanced technologies. By increasing local capacity, the state of Victoria strengthens its position as a digital hub in the Asia Pacific region.
Moreover, the project’s size and job creation potential underscore how data centre investments can boost economic growth beyond traditional sectors. The facility’s capacity will support cloud, AI and enterprise workloads while contributing to a more distributed and resilient digital infrastructure landscape.
