What is a neo cloud provider?

A neo cloud provider is a cloud company built specifically around GPU compute for artificial intelligence and high-performance computing workloads. Unlike hyperscalers such as AWS, Azure and Google Cloud, which offer hundreds of general-purpose services, neo clouds focus on deploying tightly integrated GPU clusters, high-bandwidth memory, low-latency networking and efficient cooling to deliver AI training and inference at lower cost and faster deployment times. They are sometimes referred to as NVIDIA Cloud Partners (NCPs) within the NVIDIA ecosystem

Which neo cloud providers operate in Australia?

As of Q1 2026, five neo cloud operators are actively building or operating capacity in Australia: Firmus Technologies (Project Southgate, 1.6 GW pipeline across six cities), Sharon AI (Nasdaq: SHAZ, live at NEXTDC M3 Melbourne and S3 Sydney), Polaris Data Centre (Brisbane, branded NeoCloud platform), Nscale (UK-headquartered, APAC expansion) and Vultr (Florida-based, Australian GPU instances). Macquarie Data Centres has also identified neo cloud as a target use case for its IC3 Super West facility in Sydney.

How much neo cloud capacity exists in Australia today?

The CertifiedStrategic NeoCloud Index estimates approximately 172 MW of operational neo cloud capacity in Australia as of Q1 2026, with a committed pipeline of approximately 1,650 MW. Around 40% of operational capacity sits within HCF Certified Strategic facilities. Melbourne accounts for roughly 55% of current capacity, followed by Tasmania (20%) and Sydney (12%). Five distinct operators are active and four diverse high-capacity connectivity corridors link neo cloud metros.

What role does connectivity play in neo cloud infrastructure?

Connectivity is a binding constraint for distributed AI workloads. Training and inference across multiple GPU clusters require high-bandwidth, low-latency, resilient links between facilities. In Australia, SUBCO's SMAP hypercable addresses this by providing more than 400 Tb of diverse inter-capital capacity across Perth, Adelaide, Melbourne and Sydney, with neo cloud providers confirmed among its anchor customers. Without diverse connectivity corridors, operators running distributed GPU clusters across multiple cities face single-point-of-failure risks that sovereign workloads cannot tolerate.

NeoCloud Providers: The New Hyperscaler Tier | Australia Data Centre Index

A new class of GPU-first cloud operator is signing multi-megawatt leases across Sydney, Melbourne and Perth, competing directly with hyperscalers for power, space and connectivity. With more than 1,600 MW of committed pipeline and at least five active operators, Australia's neo cloud sector has moved from concept to capital deployment in under 18 months.

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