Microsoft nabs national security deal with $25bn AI pledgeMicrosoft’s record-breaking investment in Australia has secured it as the country’s top cyber security partner.Joseph Olbrycht-Palmerless than 2 min readApril 23, 2026 - 1:15PMNewsWireMicrosoft says it will pump $25bn into boosting Australia’s supercomputing and artificial intelligence capacity by decade’s end in what will be the biggest investment in the country’s history and solidify the tech giant’s role in national security.The investment unveiled on Thursday would go into expanding Microsoft’s Azure AI supercomputing and cloud infrastructure while working with the AI Safety Institute, the company said in a statement.It said the commitment would also deepen co-operation with Australia’s national security agencies to protect government departments from cyber threats.Announcing the investment, Anthony Albanese spruiked his government’s National AI Plan as being “all about capturing the economic opportunities of this transformative technology while protecting Australians from the risks”.Prime Minister Anthony Albanese says Microsoft’s investment will bolster cyber defences. Picture: NewsWire / Nikki Short“Microsoft’s long-term investment in our national capability will help deliver on that plan – strengthening our cyber defences and creating opportunity for Australian workers and businesses,” the Prime Minister said.Microsoft chairman and chief executive Satya Nadella said Australia had “an enormous opportunity to translate AI into real economic growth and societal benefit”.“That is why we are making our largest investment in Australia to date, committing $25bn to expand AI and cloud capacity, strengthen cyber security and expand access to digital skills across the country,” he said.The Microsoft-Australian Signals Directorate Cyber Shield (MACS) is a high-level security partnership aimed at bolstering Australia’s cyber defences by combining Microsoft’s global threat intelligence with the ASD’s local expertise.Microsoft’s investments will extend MACS’ coverage to other federal agencies.More related storiesHiTechMusk’s massive call on our robot futureThe world’s richest man Elon Musk has made a huge call on the future of human-like robots and it’s set to have a big impact on us all sooner rather than later.Read moreMotoringAlbo in great fuel ‘rip off’: PortelliAussie billionaire Adrian Portelli claims our PM tried to take him and his new business for a ride when it came to a big money fuel deal.Read moreMotoring NewsSafety cops slam Aussie car ‘dumping ground’Australia will become a dumping ground for unsafe cars, experts have warned, as Europe leaves us in their dust.Read more