Investors are flocking to data centre operators in the Asia Pacific region, driven by the growing demand for AI services and robust market valuations. Major transactions, like Blackstone’s $15.58 billion acquisition of Australia’s AirTrunk, have set high benchmarks for the sector. Industry experts predict that the region’s data centres will continue to see strong valuations due to their nascent stage and promising growth, despite concerns about insufficient infrastructure in some areas.
Several notable investment opportunities have surfaced, such as the sale of stakes in Indonesian data centre NeutraDC and Telkom’s data centre arm, which could be valued at over $1 billion. These deals reflect a broader trend of investors seeking high-growth opportunities in the region. NeutraDC’s expansion plan, which aims to increase capacity to 500 megawatts by 2030, has made it an attractive target, with valuations potentially exceeding 20 times core earnings.
The Asia Pacific region has become a leader in global data centre mergers and acquisitions, surpassing half of the world’s total transactions this year. This surge is attributed to the booming AI demand, with companies rapidly expanding their data processing capacity. However, some investors warn that the sustainability of these high valuations will depend on overcoming challenges like power shortages and the reliable delivery of new infrastructure projects.
While the long-term outlook for Asia Pacific’s data centre market remains positive, experts predict that growth may slow slightly as new capacity is brought online. Investors will need to navigate execution risks to maintain the sector’s momentum and ensure the continued expansion of data centre infrastructure.
Australia‘s competition watchdog has called for a review of efforts to ensure more choice for internet users, citing Google’s dominance in the search engine market and the failure of its competitors to capitalise on the rise of AI. A report by the Australian Competition and Consumer Commission (ACCC) highlighted concerns about the growing influence of Big Tech, particularly Google and Microsoft, as they integrate generative AI into their search services. This raises questions about the accuracy and reliability of AI-generated search results.
While the use of AI in search engines is still in its early stages, the ACCC warns that large tech companies’ financial strength and market presence give them a significant advantage. The commission expressed concerns that AI-driven search could lead to misinformation, as consumers may find AI-generated responses both more useful and less accurate. In response to this, Australia is pushing for new regulations, including laws to prevent anti-competitive behaviour and improve consumer choice.
The Australian government has already introduced several measures targeting tech giants, such as requiring social media platforms to pay for news content and restricting access for children under 16. A proposed new law could impose hefty fines on companies that suppress competition. The ACCC has called for service-specific codes to address data advantages and ensure consumers have more freedom to switch between services. The inquiry is expected to close by March next year.
Indonesia is set to tighten local content requirements for smartphones produced and sold domestically. The move, aimed at bolstering its manufacturing sector, follows last month’s ban on Apple’s iPhone 16 after failing to meet the current 40% local component threshold.
Apple has proposed a $100 million investment in an accessory and component plant to address the issue, but the government rejected the plan, citing fairness concerns. Deputy Industry Minister Faisol Reza confirmed ongoing discussions to finalise details of the updated requirements, though no timeframe or specific targets have been announced.
The government is considering whether research and development investments might count towards fulfilling local content rules. Apple’s developer academies, launched in Indonesia since 2018, have been seen as part of its compliance strategy for older models, though no manufacturing facilities exist in the country.
World Labs, the startup co-founded by AI pioneer Fei-Fei Li, has introduced groundbreaking technology that transforms single images into interactive 3D environments. Unlike existing tools, these AI-generated scenes can be explored and modified directly within a browser, offering a dynamic and engaging experience.
The startup’s system leverages a category of AI known as ‘world models,’ which simulate 3D environments with improved consistency and physical realism. While the technology is still in its early stages, it aims to revolutionise industries like gaming, filmmaking, and design by providing accessible and cost-effective tools for creating virtual worlds.
Backed by $230M in funding from prominent investors, including Andreessen Horowitz and Intel Capital, World Labs is valued at over $1B. The company plans to refine its system further and release its first product in 2025, marking a significant step in the evolution of interactive AI applications.
France, Germany, and Sweden have urged the next European Commission to bolster Europe’s battery production to meet green transition goals without becoming reliant on Chinese imports. In a joint paper, the countries emphasised the need for streamlined regulations, faster project approvals, increased funding, and alternative sources for raw materials like lithium.
The call comes as Sweden’s Northvolt faces financial difficulties, with fears that Europe’s dependence on Chinese manufacturing could mirror its earlier reliance on Russian gas. Leaders stressed the urgency of securing the region’s competitiveness.
Incoming EU leadership is expected to outline strategies for sustainable economic growth and climate goals within its first 100 days, focusing on policies that support scaling up European battery initiatives.
AI hardware startup Tenstorrent has secured a $693M Series D funding round, valuing the company at over $2.6B. The investment, led by Samsung Securities and AFW Partners, includes participation from Hyundai and Bezos Expeditions, among others. Founded in 2016 and based in Toronto, Canada, Tenstorrent aims to challenge Nvidia’s dominance in the AI chip market.
Tenstorrent’s CEO, Jim Keller, a renowned microprocessor engineer, announced plans to develop AI training servers and expand its engineering team using the new capital. The company has also committed to releasing a new AI processor every two years, with signed customer contracts amounting to nearly $150M. This move positions Tenstorrent among a growing number of startups racing to innovate in AI hardware, alongside competitors such as Axelera, Etched, and Groq.
The funding highlights escalating investor interest in alternative AI chipmakers as demand for cutting-edge computing solutions soars. With its ambitious roadmap and backing from high-profile investors, Tenstorrent is poised to carve out a significant share of the burgeoning AI hardware market.
Cancer drug development faces a pressing challenge: most new compounds fail to advance through clinical trials, despite rising cancer rates, particularly among younger adults. French entrepreneur Fanny Jaulin believes the root cause lies in outdated trial designs, not the drugs themselves. Her startup, Orakl Oncology, founded in 2023 as a spinoff from the Gustave Roussy Institute of Oncology, aims to revolutionise this process by blending data analysis with biological insights.
Unlike competitors focusing solely on AI or biology, Orakl combines the two to tackle cancer’s complexity. The approach leverages organoids—miniature, simplified organ versions—to test drug responses, supplemented by patient avatars that integrate tissue samples with extensive datasets. These datasets, though smaller than those of some competitors, contain 40 variables per patient, allowing a focus on hard-to-treat cancers like colorectal and pancreatic.
Orakl plans to commercialise two products: O-Predict, which forecasts how patients might respond to drug candidates, and O-Validate, designed to match drugs to biological data. These innovations cater to pharmaceutical developers and biotech firms alike, supported by nearly €15 million in funding, including a recent seed round led by Singular.
Jaulin’s mission goes beyond business success. She seeks to address the therapeutic gaps in precision medicine, making drug discovery faster and more effective. With cancer increasingly becoming a chronic condition, Orakl’s ultimate goal is to bring more life-saving treatments to patients.
The Browser Company, creators of the Arc Browser, is developing a new web browser named Dia, centred around artificial intelligence integration. Set to debut in early 2025, Dia aims to expand the company’s reach by offering AI-driven features to a broader audience. Unlike traditional AI tools, Dia is designed as an interactive browsing environment where users can perform tasks like drafting emails, retrieving data, or automating online activities directly through the browser interface.
Initial demonstrations highlight innovative features, including a writing assistant that can suggest sentences or retrieve relevant links and facts. Dia’s natural language commands enable actions such as fetching and emailing documents or scheduling meetings within the browser. A standout capability is its automation feature, where Dia can browse websites like Amazon to fulfil tasks, such as adding items to a cart based on a user’s email list. Despite its potential, early versions may require refinements to ensure precision in task execution.
The Browser Company‘s CEO, Josh Miller, emphasised the vision of creating user-friendly AI tools while keeping Arc’s dedicated user base in mind. Miller acknowledged that Arc’s complexity appeals to a niche audience, whereas Dia’s broader functionality could attract new users and provide sustainable revenue opportunities. As part of the development, the company has launched a dedicated website showcasing Dia’s capabilities and open roles to expand its team.
Amazon is developing an AI-designed material aimed at reducing carbon emissions in its data centres. Created by Orbital Materials, the carbon-filtering substance acts like a sponge on an atomic level, selectively capturing CO2. The material represents a step towards Amazon’s goal of achieving net-zero carbon emissions by 2040.
Orbital Materials claims the new material could add just 10% to hourly GPU training costs for AI, significantly cheaper than traditional carbon offsets. Data centres increasingly demand more energy and water for cooling, posing sustainability challenges. Amazon Web Services (AWS), the world’s largest cloud-computing provider, plans to trial the innovation in 2025 at a single facility.
The partnership with Orbital spans three years, aiming to explore additional AI-designed materials for water and cooling needs. Orbital uses AI to simulate and develop these substances, with the material being synthesised in its lab established last year. The collaboration also includes making Orbital’s open-source AI tools available to AWS customers.
Orbital, co-founded by Jonathan Godwin, operates from Princeton and London and is backed by Radical Ventures and Nvidia’s venture arm. Godwin, formerly with DeepMind, emphasised the importance of sustainable innovations in addressing growing environmental concerns linked to AI-driven energy demands.
Cate Blanchett has voiced her concerns about the societal implications of AI, describing the threat as ‘very real.’ In an interview with the BBC, the Australian actress shared her scepticism about advancements like driverless cars and AI‘s potential to replicate human voices, noting the broader risks for humanity. Blanchett emphasised that AI could replace anyone, not just actors, and criticised some technological advancements as ‘experimentation for its own sake.’
While promoting Rumours, her new apocalyptic comedy film, Blanchett described the plot as reflective of modern anxieties. The film, directed by Guy Maddin, portrays world leaders navigating absurd situations, offering both satire and a critique of detachment from reality. Blanchett highlighted how the story reveals the vulnerability and artificiality of political figures once removed from their structures of power.
Maddin shared that his characters emerged from initial disdain but evolved into figures of empathy as the narrative unfolds. Blanchett added that both actors and politicians face infantilisation within their respective systems, highlighting parallels in their perceived disconnection from the real world.
