Australia to legislate on AI data centres and copyright

Australian Prime Minister Anthony Albanese said on 15 July 2026 that his government would introduce laws to regulate artificial intelligence data centres and protect creative copyright.

In a speech at the University of Sydney, Albanese said AI could be adopted in a way that served Australia's national interest. He said he would meet state and territory leaders next month to discuss the proposed laws, which would be introduced next year. He said the aim was to build trust in AI and protect national security.

Albanese said Australia had already led other countries in limiting social media use by children, but that shaping AI in Australia's interest was a larger challenge. He said allowing others to set AI rules would amount to handing control over national sovereignty and security to foreign monopolies. He also said Australia should be more than a storage site for AI products made overseas.

The speech followed reports this week that US startup Anthropic had lobbied Australian officials to change copyright laws to help train AI models while it considered investing in data centres in Australia. Musicians, writers and publishers have urged the government to resist that pressure and protect their work.

Albanese said Australian creative content was not available for unrestricted use. He said the new laws would give strong protection to Australian artists and media. He said companies should not use Australian books, music, art or news to build or train AI without the artist controlling the use, price and value of the work.

The proposed standards would set legal obligations for large data centres. Albanese said they would be required to put more power into the electricity grid than they take out, so that AI does not raise electricity prices for Australians. They would also be required to minimise water use and avoid competing for land with housing.

Government figures said investment in data centres was the largest contributor to Australia's economic growth in the three months to March, although most of the equipment was imported. Albanese said Australia should not rely only on a short-term construction and capital spending boom.

Albanese also said government data had not yet shown the effect of AI on the jobs market. He said AI should be used to create good jobs rather than treated only as a threat to them.

The government will create a dedicated office in the prime minister's department to oversee AI policy. Albanese said clearer rules, faster approvals and a streamlined compliance process would help attract international investors.