Sharon AI signs USD $373 million cloud deal in Australia

Sharon AI has signed a five-year AI cloud services agreement worth USD $373 million with a global artificial intelligence platform, increasing the share of its AI Factory capacity contracted to customers.

The Australian cloud infrastructure provider said the agreement covers the deployment of cloud computing services across its AI infrastructure in Australia. It expects revenue from the contract to begin in the first quarter of 2027.

The deal lifts Sharon AI's contracted customer capacity to 120 megawatts out of a total AI Factory capacity of 132 megawatts. It also plans to increase the number of Nvidia graphics processing units across its AI Factory platform to 64,000 by mid-2027, from 62,000.

An initial deployment under the contract is expected to use 2,048 Nvidia Blackwell Ultra B300 GPUs. Further deployments could follow during the five-year term, depending on customer requirements and the contract terms.

Capacity build-out

Sharon AI is positioning its Australian infrastructure as a base for AI computing demand in the Asia-Pacific region. The latest agreement leaves only 12 megawatts of its current AI Factory capacity uncontracted, highlighting the pace at which operators are seeking reserved access to data centre infrastructure designed for AI workloads.

The increase in GPU numbers points to a broader hardware build-out tied to customer demand. Nvidia chips remain central to the AI infrastructure market, and the inclusion of Blackwell Ultra B300 systems suggests Sharon AI is aligning its fleet with newer-generation processors sought by model developers and enterprise customers.

The customer was described only as a global AI platform. Sharon AI did not identify the counterparty or disclose where in Australia the initial deployment would take place.

It said the agreement would support the domestic expansion of AI computing resources and linked the contract to broader efforts to strengthen local AI infrastructure and attract regional investment into Australia.

Executive comments

James Manning outlined the significance of the agreement for the company's sales and infrastructure pipeline.

"This agreement represents an important milestone in the continued expansion of Sharon AI's customer base and contracted AI infrastructure capacity. As organisations increasingly seek access to sovereign, high-performance AI compute, we remain focused on delivering scalable infrastructure that supports the evolving needs of AI platforms, enterprises and governments.

"We continue to see strong demand for AI infrastructure in Australia and across the Asia-Pacific region, and this agreement reflects our strategy of securing long-term customer commitments as we expand our AI Factory platform," said James Manning, Co-founder and Chief Executive Officer of Sharon AI.

The contract adds to evidence of sustained demand for AI-focused data centre services in Australia, where operators are racing to secure electricity supply, data centre space and specialist chips. Long-term agreements have become increasingly important in the sector because they can support financing for large infrastructure deployments.

For Sharon AI, the contract also provides a clearer picture of near-term utilisation. With 120 megawatts now committed to end customers, most of the capacity currently available in its AI Factory estate has been contracted, while the company plans a modest increase in GPU count over the next year.

The company operates in a market where customers are seeking local hosting for AI training and inference systems, particularly where data residency, latency and access to domestic infrastructure matter. That has helped support demand for operators offering Australian-based AI cloud services rather than relying entirely on offshore computing resources.

Sharon AI said the agreement would help expand AI computing availability within Australia while serving international AI platforms through infrastructure located in the country. The initial deployment is expected to use 2,048 Nvidia Blackwell Ultra B300 GPUs.