Macquarie has just announced it plans to build a new government-dedicated data center Intellicentre 5 (IC5), at its Canberra campus in Australia to meet rising demand.

The project will be led by Macquarie Government and Macquarie Data Centres, both business units of Macquarie Telecom Group. IC5 will be joining IC4 on the Canberra campus to bring its total capacity to 4MW, as the company states that the demand for Macquarie Government’s cloud and cyber security services are on the rise.

“Risk to Government of a cyber-breach and the dependency on cloud services are at an all-time high – we’re not just going to return to the ‘norm’ after this pandemic and facilities of this caliber are an essential requirement in Canberra,” said Aidan Tudehope, Managing Director, Macquarie Government.

“Government departments need to have clarity over data sovereignty – who controls the data, where does it reside, and who has access. We cover these bases by ensuring Australian control and access only by Australian Government-cleared specialists. The IC5 South Bunker at Macquarie Data Centres’ Canberra Campus will also provide a safe haven for agencies that don’t want all their eggs in one basket, whether that’s splitting data between our facilities or other providers.”

IC5 is designed to achieve Tier IV data center standards with an initial investment of $17 million to deliver the first phase of the facility. This Macquarie investment will also leverage Australia’s government ‘Instant Asset Write-Off’ and ‘Backing Business Investment’ stimulus measures which provides accelerated capital allowances deductions for plant, equipment and other depreciating assets.

“IC5 and Macquarie’s investment into Australia’s data center ecosystem will not only create valuable jobs, but build sovereign security skills and capabilities in what has become a vital industry for our nation. This kind of investment, backed by the Government’s stimulus measures, is essential to growing Australia’s economy after the pandemic.” said Senator Zed Seselja, Assistant Minister for Finance, Charities and Electoral Matters.

The first phase of IC5 is expected to be ready by December 2020, delivering up to 1.5MW.