Australia Must Seize the AI Opportunity to Drive Productivity
CANBERRA, 30 JULY 2025 — Today at an address to the National Press Club of Australia, Scott Farquhar, co-founder of Atlassian and Chair of the Tech Council of Australia, called on national leaders to take urgent action to harness the transformative potential of artificial intelligence.
Describing AI as the defining technology of our time, Farquhar urged government and industry to work together to ensure Australia doesn’t miss the chance to lead in the next industrial revolution.
“What was once hard becomes easy,” Farquhar said. “AI is doing for knowledge work what engines did for physical labour and the nations that act early will reap the rewards.”
Farquhar’s speech placed AI at the centre of Australia’s productivity challenge, the same topic that will be the focus of next month’s Productivity Roundtable, where he will join the Treasurer and other national leaders to look at how to unlock productivity gains for the Australian economy.
He warned that without urgent investment in digital infrastructure, skills, and policy reform, Australia risks becoming a passive consumer of global technologies, rather than an active contributor.
“What we needed was for government to get out of the way. Today we need to partner with government to pave the way.”
“Because the scale of the opportunity and the risks of missing out demand a new kind of partnership, one that moves at the speed of technology, not at the speed of bureaucracy.”
“We have everything we need to succeed – but we need to act now.”
The Tech Council of Australia welcomed the address and echoed the call for a stronger national focus on AI and productivity.
“AI is not just a tech issue – it’s a national economic priority,” said Damian Kassabgi, CEO of the Tech Council of Australia.
“We know that productivity growth is the biggest driver of higher wages and long-term living standards. AI is the most powerful tool we have to drive that growth in the decade ahead – but we must act with urgency.”
“As Scott highlighted, Australia has the raw ingredients, energy, world-class researchers, and a strong services sector. But we need to translate those advantages into action, through a clear national strategy, investment in infrastructure, and stronger partnerships between government and industry.”
Farquhar also noted that countries are already moving rapidly to build the infrastructure and workforce required to lead in AI and that Australia cannot afford to fall behind.
Key Asks of Government:
- Make Australia the data centre of Southeast Asia Establish a national strategy to fast-track approvals, attract investment, and host “digital embassies” to position Australia as a regional AI hub.
- Fix outdated copyright laws
Align Australia’s copyright settings with global norms to enable AI model training — unlocking billions in investment and ensuring Australian values are represented in AI systems. - API-enable all government services
Mandate machine-readable interfaces (APIs) across services like courts, licensing and permitting to automate workflows and remove bottlenecks for business. - Create fast-track digital apprenticeships
Partner with unions to deliver 6–12 month qualifications in high-demand areas like data centre construction, battery installation, and other clean tech roles. - Lead by example on AI adoption
Encourage daily AI use by ministers, departments and agencies; redesign back-office systems; and treat AI as core economic infrastructure, not just a tech issue
Mr Farquhar’s remarks are part of a broader national conversation about how to secure Australia’s economic future through long-term investments in innovation, skills and digital capability.
About the Tech Council of Australia
The Tech Council of Australia (TCA) is Australia’s peak industry body for the tech sector. The Australian tech sector is a pillar of the Australian economy, contributing $167 billion per annum, and employing 861,000 people. This makes the tech sector equivalent to Australia’s third largest industry, behind mining and banking, and Australia’s seventh largest employing sector. The TCA represents a diverse cross-section of Australia’s technology sector, including data-driven local and global companies and venture capital funds with investments in data-driven enterprises.
Media enquiries:
Kate Lord, Akin Agency 0432 448 248 kate@akinagency.com.au
