The idea gained urgency after OpenAI’s recent breach of the Medicare website and because Australian AI firms struggle to obtain enough high‑performance computing power for cutting‑edge projects.

Under the proposal, companies such as Anthropic and OpenAI would have to hand over a share of their data‑centre compute capacity. They might also pay an “AI capability contribution” to fund people, software and infrastructure needed to use that compute.

Prime Minister Anthony Albanese said the government will engage constructively with internationally based companies about the levy, stressing that Australia wants a fair return for hosting their technology.

The levy is not aimed at building massive frontier models. Instead, it would support smaller, Australia‑specific AI systems that keep jobs at home and ensure local organisations benefit from the technology.