SouthernCrossAI (SCX.ai) has announced a partnership with SambaNova to deploy Australia’s first application-specific integrated circuit (ASIC)-based sovereign artificial intelligence (AI) cloud. This new service is engineered for Australian government and enterprise data center operators who require onshore, high-performance AI compute with strict requirements for security, data localization, and regulatory compliance. The companies claim this partnership delivers a platform designed for both efficiency and sustainability, targeting advanced AI workloads while supporting national requirements for digital sovereignty.
The SCX sovereign AI cloud will utilize SambaNova’s SN40L ASIC chips, which are specified to deliver sustained high throughput for enterprise-scale inference. SCX reports that all data, models, logs, and system processes will be handled exclusively within Australian jurisdiction, aiming to meet the nation’s highest standards for privacy and compliance. The company states that the ASIC-based infrastructure offers up to three times higher inference throughput and up to 10 times greater energy efficiency than traditional graphics processing unit (GPU) clusters, based on vendor specifications and internal analysis.
For data centers and colocation operators, SCX emphasizes that the infrastructure is designed to support both commercial and open-source foundation models (such as those from OpenAI, Meta Llama, Google Gemma, and DeepSeek) as well as customer-owned, fine-tuned models with complete domestic intellectual property control. Initial rollout begins with a node in New South Wales by late 2025, followed by South Australia in 2026. The strategy is to enable low-latency nationwide connectivity and access entirely through existing data centers—eliminating the need for new construction and reducing capital expenditure while expanding AI compute capacity.
Efficiency is further enhanced, according to SCX, by partnerships with renewable energy providers and a targeted architecture meant to minimize power usage. The company’s deployment is also supported by state and national initiatives and is designed to help grow high-tech jobs in line with Australia’s low-emission digital economy goals.
David Keane, CEO of SouthernCrossAI, stated: “For the first time, Australian organisations can run advanced AI entirely onshore — without compromising speed, security, or sovereignty. Our partnership with SambaNova ensures that every model, every byte, and every computation remain protected within Australia’s borders, all while dramatically improving efficiency and reducing energy consumption.”
Rodrigo Liang, CEO of SambaNova, added: “Together with SCX, we’re ushering in a new era of sovereign AI — combining the most advanced hardware with a fully compliant national cloud. It’s a model that aligns technical excellence with strategic independence.”
Source: SouthernCrossAI
