Weekend Edition: The AI race. Build fast. Build big.

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NAB Morning Call 23 min 1 speaker 8 chapters transcribed 18 days ago
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Why is AI driving a massive surge in data‑center demand?

Phil Dobbie 0:01
It is a massive growth area. There's no denying it. AI is on a trajectory like we've never seen before. And with it, the demand for data centres with massive processing power, sucking up more energy in a world that's wanting to cut emissions and reach net zero. Are those objectives compatible? And who is building for this future? Well, let's talk to one Australian company set up to meet that demand. The morning call from NAD. It's Phil Dobby.
Prashant Murthy 0:28
The weekend edition.
Phil Dobbie 0:30
Things are certainly moving fast in the cloud, are they? And in the AI world, which does mean more data centers or data centers and more powerful data centers as well, everywhere, which in turn means more power. It's a massive infrastructure transformation that's taking place. One company rising to that challenge, a relative newcomer, having been around just for ten years, is AirTruck, headquartered in North Sydney with offices in Singapore and Japan. Japan. Their focus is on building hyperscale data centers quickly. You transform tomorrow, we'll build it today is the tagline on their website, which kinda says it all. Carly Wishart is their managing director, corporate and international. Prashant Murti is uh their managing director for capital and strategy.
Phil Dobbie 1:13
So in a nutshell, I mean you are building data centers. Is is that basically the business or is there a bit more to it than that?
Prashant Murthy 1:19
There's a little bit more than just just building the data centers. Uh, you know, we we we really see ourselves as partners to our to our customers in in the design, development and operations of these critical infrastructure facilities for the benefit of our customers who who are distributing public cloud and AI solutions to their own customers around the world and in particular into Asia.
Phil Dobbie 1:41
And the hyperscale element of that, I mean, is that what sets you apart? 'Cause I can imagine everybody'd be thinking right now, Well, we've got to build big, we've got to build fast and we've got to build everywhere.
Carly Wishart 1:52
And you're right, hyperscale is is is I guess one of the one of the things that sets this business. You know, we have hyperscale and tier one markets right throughout the region. And y you think about it, we've got a platform that that spans across twelve campuses, seven cities, five markets. um in Australia, Singapore, Hong Kong, Japan and and and Malaysia. So I think that's That's one element.

How does AirTrunk define its hyperscale strategy and why is it different?

Carly Wishart 2:17
And I think from from that, you know, we work hand in hand with our You know, some of the large just technology providers So I think there's a there's a few elements that set us apart and then Um, you know, alongside that We we innovate th whether it's through financing, whether it's through our design, whether through our decarbonisation efforts. So I think you package all that up. And and I think there's a number of things that sets this business and and asha said, seen this grow really quickly.
Phil Dobbie 2:45
Right. But we are in a obviously a a high growth environment and you're not the only ones who've seen this opportunity. So what is the even if you are doing it better than anybody else, th there's still that danger, isn't there, of overbuild where everyone uh thinks they're gonna get a particular slice of the market and you you know you think you're gonna get more than you actually do, and we end up with uh too much capacity and too much we get over investment. How do you s how do you prevent that overbuilding? Build from happening.
Prashant Murthy 3:11
Sure, Phil. It's a look, it it's a very fair question, especially in this space that's moved so quickly in in such a short space of time. And maybe for the listeners, maybe just to provide a little bit more context on AirTrunk first as well. We're a business that's exactly 10 years old now this year. Um and and and and and as you rightly pointed out, we've really been a business focused on two things: hyperscale, which for us really means building at scale for a certain set of customers and really APAC because we really see this as a market, an opportunity that has so much uh potential for our customers and and an opportunity really for Air Trunk to position itself um to to really deliver solutions in the best possible way.

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