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AI Displacing Human Workers and Driving Record Data Centre Growth

Australian Financial Review

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Date Published
5 May 2025
Priority Score
2
Australian
Yes
Created
6 May 2025, 01:57 pm

Authors (1)

Description

Artificial intelligence will displace more and more people and replace offshoring as the low-cost workforce option, the data centre operator predicts.

Summary

The article examines the impact of artificial intelligence on employment and its role in expanding data center operations. Craig Scroggie, CEO of NextDC, suggests that AI agents will increasingly replace human workers and reduce the need for offshoring in cost-cutting measures. This trend symbolizes a significant shift in workforce dynamics, leading to unprecedented growth in AI-driven infrastructure, such as data centers. Although the article highlights AI's transformative potential in business operations, it does not explicitly address catastrophic AI risks or existential threats, focusing instead on economic aspects and employment implications.

Body

TechnologyAIPrint articleAmelia McGuireBusiness reporterMay 6, 2025 – 8.00pmSaveLog inorSubscribeto save articleShareCopy linkCopiedEmailLinkedInTwitterFacebookCopy linkCopiedShare via...Gift this articleSubscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber?LoginAll businesses will soon look to deploy artificial intelligence rather than hire a human, says the chief executive of $8.75 billion ASX-listed data centre operator NextDC, adding that demand for AI agents is driving record growth in orders.Craig Scroggie pointed to a recent directive from Shopify boss Tobi Lukte who demanded his staff first prove that what they want done can’t be done by AI before attempting to hire.Loading...Amelia McGuirecovers technology from the AFR's Sydney newsroom. She was previously the aviation, tourism and gambling reporter for The Sydney Morning Herald and The Age.Connect withAmeliaonTwitter.EmailAmeliaata.mcguire@afr.com.auSaveLog inorSubscribeto save articleShareCopy linkCopiedEmailLinkedInTwitterFacebookCopy linkCopiedShare via...Gift this articleSubscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber?LoginLicense articleFollow the topics, people and companies that matter to you.Find out moreRead MoreAINEXTDCShopifyNvidiaFetching latest articlesBishop stares down critics: ‘I turn down many more roles than I take on’Myriam RobinThis restaurant has New York buzz. You’ll never guess where it isThe watch brands courting women with dazzling designsThis public servant founded a $4b company. He never wanted to be an entrepreneurSally PattenHow to deal with a difficult managerThe CEO who doesn’t look at her phone until she gets to the officeWhen modern furniture meets medieval armour-makingStephen ToddFinding serenity on a new walking tour in southern ItalyA boom in hospitality hubs is shaking up how we dineDubai’s Arada rescues Roberts Co with $20m cash injection52 mins agoMichael BlebyLiberman-backed Monark buys $44m infill site in Melbourne’s northAtlassian’s AI plans fail to stop $15b value plunge