TikTok's Australian Data Center Plans Await Foreign Investment Approval

TikTok's Australian Data Center Plans Await Foreign Investment Approval December 1, 2025 TikTok's ambitions to build a major data center in Australia have encountered a significant regulatory hurdle, according to a recent report. The social media giant, owned by China's ByteDance, is awaiting approval from Australia's Foreign Investment Review Board (FIRB) to proceed with the project, highlighting the geopolitical complexities facing global tech infrastructure expansion. The move is part of TikTok's broader strategy to localize data storage and processing in key markets, a response to growing governmental scrutiny over data sovereignty and national security. The company has reportedly been considering an Australian facility since 2024 and has solicited proposals from local developers for a campus with a capacity of up to 100 megawatts (MW), likely to be located in either New South Wales or Victoria. However, the project's progress is contingent on FIRB clearance, a mandatory step for any data center project where foreign ownership exceeds 10 percent. The Australian Financial Review reported that lobbying firm Anacta Strategies is working on TikTok's behalf to secure the necessary permissions. This regulatory gatekeeping underscores the heightened sensitivity surrounding foreign, particularly Chinese, investment in critical digital infrastructure. The potential Australian build forms part of TikTok's global infrastructure push to manage its vast user data closer to its regional audiences. In Europe, the company already operates a data center in Ireland, is constructing a second, and utilizes a large-scale facility operated by Green Mountain in Norway. These investments are aimed at both meeting escalating demand and alleviating concerns about data transfers to China. The development comes amid continued uncertainty for TikTok in other Western markets, most notably the United States, where a potential ban looms if its U.S. operations are not sold to a domestic-led consortium. The outcome in Australia could signal the platform's ability to navigate stringent foreign investment rules and establish a firmer operational foothold in the Asia-Pacific region, setting a precedent for other tech firms facing similar geopolitical challenges. Source: datacenterdynamics