The Cost of Compute: AI, Data Centres, Energy, and Australia's Future

We sat down with Dr. Sue Keay, Director of the UNSW AI Institute, to explore the physical infrastructure underpinning the artificial intelligence boom. We break down what "hyperscalers", “NeoCloud Providers” and "tokens" are, as well as the energy and water they require. Dr. Keay argues for the urgent need to build Australia's sovereign compute capabilities by supporting local, tax-paying providers, rather than giving away resources for a short-term sugar hit of foreign investment. The conversation highlights the stark regulatory double standard between physical AI (robotics) and unregulated non-physical AI, the impact of AI on the future of the Australian workforce, and why the country desperately needs to increase its R&D spending. Finally, Dr. Keay shares how AI can be used to solve environmental issues, and what she thinks the next 10 years could look like.