Opinion piece - Communications sovereignty - it is time to lead

Melissa McIntosh MP
Shadow Minister for Communications
Shadow Minister for Women
Federal Member for Lindsay

Opinion piece

15 September 2025

COMMUNICATIONS SOVEREIGNTY – IT IS TIME TO LEAD

Australia’s communications sovereignty is at a fork in the road - where we continue to let big international tech giants rule over our data, our skies, and the information we receive, or we start prioritising our nation and our citizens. The world is increasingly being defined by invisible infrastructure, our digital borders are as contested as physical ones. Our national security, our national resilience and our national sovereignty are all wrapped up in the decisions we make now about our communications future, and we must take more control.

Our data is in foreign servers

Australia’s communications sovereignty begins at the data source. Around 59 per cent of Australian businesses use cloud technology, including the storage of personal records and business transactions. Much of this data is stored offshore. This means it is subject to foreign laws that allow foreign authorities access, even though we may legally own it.

Australians have a right to know where their personal data is going, how it is being stored, and the protections in place to keep it safe. Right now, most of us are in the dark about where our information is, and that is scary.

In an era of escalating geopolitical tensions, where cyber espionage, data theft and manipulation, and digital coercion are tools of statecraft, this is not a minor concern.

The solution? We need to be building more data centres here in Australia. We are slowly catching up, with 264 operational data centres nationwide and more planned over the next five years including in Western Sydney. What do data centres use a lot of? Power.

The cloud needs reliable energy

Australian data centres consume around 5 per cent of the nation’s electricity, a figure expected to rise to 8 per cent by 2030. A single data facility can use as much energy as 50,000 homes.

These centres run around the clock, requiring non-stop electricity to power servers and cooling systems. Cooling alone can account for up to 40% of a data centre’s energy use. Most data centres rely on a blend of electricity from the local grid, gas, batteries, and diesel to maintain uptime and reliability. Overseas, global tech companies are now investing in small modular nuclear reactors to meet the power demand.

A pragmatic energy strategy is what it will take to keep Australian data safely at home. We need more than just renewables to power Australian sovereignty.

We are outsourcing our AI brain

Attached to every data centre is artificial intelligence. And once again, Australia is giving it away.

Most Australian companies rely on offshore AI models, with processing typically occurring in the United States. This means that every time we use AI to analyse health data, automate logistics, or personalise education, we’re not just giving our information away, but we are outsourcing the computation, and the control.

In a world where AI is becoming a geopolitical battleground, with nations racing to dominate foundation models, regulate algorithms, and secure intellectual property, Australia is already getting left behind – this is a theme. Sovereign AI infrastructure is not just about innovation, it’s about autonomy. It’s about ensuring that our data is processed under Australian law, with Australian values of democracy and privacy applied, and for the benefit, not detriment, of our citizens. AI companies must be prepared to adhere to our copyright laws, and be fair when it comes to respecting Australian intellectual property. For too long our precious intellectual property has been ripped off by foreign players, across multiple industries.

Foreign satellites are filling our nation’s skies

When you look up at the Southern Cross on a clear night, you’ll see an increasing amount of star-like traffic. The low earth orbit satellites may be in our Australian skies, but they are not Australian-made nor Australian-owned.

There is no getting away from it, satellites are the future of telecommunications, especially for regional and remote communities. But we are barely on the start line of this new space race.

The Australian Government has invested in Amazon’s Project Kuiper, which will deliver satellite broadband to over 300,000 premises. Elon Musk’s Starlink already serves over 200,000 Australians. These systems promise speed and reach, but they are foreign owned.

Strategically, global powers are also rapidly militarising space, securing orbital lanes, and embedding communications infrastructure into defence strategy. Sovereignty in space is highly contested.

At home, Optus is leading a sovereign satellite project, partnering with Australian universities and defence agencies to launch a low earth orbit satellite by 2028. This is a slow but important step toward national capability in space-based communications.

Australian media is at the heart of our sovereignty

And finally, whether it be television, radio or online, we must protect one of the most essential elements of our democracy and fundamentals of our communications sovereignty - our media.

A strong democracy depends on fair, balanced and independent journalism. Media is not only a reflection of a nation, it is a compass. It shapes public discourse, holds power to account, and amplifies voices that might otherwise be silenced.

In the age of misinformation, algorithmic echo chambers, and the real-life threat to free speech, fair and balanced journalism is a must, taught first in our universities, and reflected first and foremost in our public broadcasters. As a former journalism student who was educated in an era when unbiased reporting mattered, this is an issue I am deeply passionate about.

Whether hidden in the cables beneath our seas, or shining amongst the stars of our skies, communications sovereignty is not a luxury for our nation, it is a necessity. For our security, our economy, our culture, and our democracy. We need to stop playing catch up. It is time to lead.