This blog is part of the AI worldwide tour series, which highlights customers from around the globe who are embracing AI to achieve more. Read about how customers are using responsible AI to drive social impact and business transformation with Global AI innovation.

Sydney, Australia, recently played hosts to the Microsoft AI Tour, bringing together innovators, industry leaders, and government representatives to reinforce the extraordinary opportunity AI represents for Australia and discuss how we can shape the future of the country’s AI economy.

Microsoft also launched the first New Zealand hyperscale cloud in Aotearoa with major sustainability and skilling investments. Microsoft signed a long-term renewable energy contract and will run the latest water-free technology to cool the datacenter. The cloud region offers local data residency, enhanced security, and reduced latency, empowering New Zealand to leverage technology more efficiently at an unprecedented scale. The opening of Microsoft’s hyperscale cloud region marks the most significant milestone in the company’s nearly 40-year history in New Zealand and brings unprecedented opportunities for local organizations. 

As captured in a recent IDC study, the business potential of AI continues to accelerate across the globe, with generative AI adoption surging from 55% in 2023 to 75% in 2024. Companies are seeing a remarkable $3.7 return on investment for every $1 spent on generative AI, with deployments delivering value faster than ever—often within 13 months.1 Recognizing AI’s transformative power, organizations are rapidly advancing their strategies, shifting from pre-built solutions to sophisticated, custom-built AI workloads within two years—highlighting AI’s pivotal role in shaping the competitive edge of the future.

Despite this rapid growth, a lack of technical and practical AI skills remains the top barrier for Australia, highlighting the need for targeted skilling to unlock AI’s full potential. Australia’s government and business leaders are both committed to closing that gap, partnering with Microsoft to provide AI and digital skills training to 1 million Australians and New Zealanders by 2026.

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AI for everyone in Australia

As Australia emerges as a leader in the global AI economy, the nation’s strengths in applications, AI datacenters, and data position it to drive transformative growth across industries. The AI Tour highlighted that AI transformation is not just about technology—it’s a collaborative effort.

From redefining insurance through the Suncorp’s AI-powered customer support tools to advancing retail innovation with Coles’ AI-as-a-service platform and improving public safety through AI solutions with the Australian Federal Police, Australian organizations are leveraging AI to reshape how they operate and serve their communities.

Businesses, governments, educators, and not-for-profits must work together to ensure AI serves all Australians safely and responsibly. With the right focus on infrastructure, skills, security, and responsible AI, the possibilities are limitless.

Brisbane Catholic Education rolls out Microsoft 365 Copilot to 12,500 educators

Brisbane Catholic Education (BCE) has announced the world’s largest generative AI rollout in kindergarten through twelfth grade education, with a plan to provide Microsoft 365 Copilot to 12,500 educators and support staff. In an initial trial, educators reported saving an average of 9.3 hours per week by streamlining administrative tasks, information searches, and lesson planning.

BCE leveraged Microsoft Copilot Studio to create a generative AI tool that helps educators integrate Catholic traditions and values into the classroom. Drawing from BCE’s Catholic identity site, theological database, and religious education curricula, the tool ensures all staff, regardless of their Catholic background, can easily access guidance for applying a Catholic lens to lesson planning and life skills discussions with students.

Coles Group leverages AI to reimagine the grocery experience

Coles Group is revolutionizing the grocery business by leveraging advanced AI and cloud technologies to redefine operations and elevate customer experiences. Confronted with rising competition and shifting customer expectations, Coles turned to AI.

Among its standout AI initiatives is Tell Coles, a generative AI model that deciphers customer feedback to offer actionable insights for store managers, ensuring swift and meaningful improvements. Meanwhile, digital chef delivers hyper-personalized recipes and cooking tips in real time, powered by Microsoft Azure machine learning models.

Internally, Microsoft AI copilots provide team members with intuitive, real-time tools that streamline workflows and enhance productivity, enabling precision in inventory and operations across 850 stores, and resulting in heightened customer engagement, improved sustainability practices, and a blueprint for digital excellence in retail.

Petbarn’s AI assistant brings personalized pet care to customers

Petbarn has introduced PetAI, a generative AI solution designed to help pet owners keep their pets happy and healthy. Built with Azure OpenAI Service, Azure AI Search, and Azure App Service, PetAI acts as an intelligent assistant, offering personalized pet care advice and tailored product recommendations.

Launched on Petbarn’s website in October 2024, PetAI quickly gained traction, with thousands of customers embracing its functionality. Now integrated into the new Petbarn App, it provides a comprehensive, AI-powered approach for managing pet wellbeing, setting a new standard in personalized pet care.

Suncorp accelerates AI revolution in the insurance industry

Suncorp Group is transforming the insurance industry with AI integration across its operations. Leveraging the latest Microsoft AI capabilities at scale, Suncorp has more than 120 AI use cases in development to enhance both customer experience and employee satisfaction.

Among these innovations is Smart Knowledge, which analyzes thousands of articles to deliver relevant information to Suncorp’s contact center team, enabling faster and more accurate customer support. Additionally, Suncorp has implemented an Azure OpenAI Service-based solution that provides claims managers with a unified view of each insurance claim, reducing time spent tracking information across systems and shortening claim lifecycles by 9%.

To further improve employee experiences, Suncorp has rolled out Microsoft 365 Copilot alongside its AI+U Academy, a training initiative designed to empower staff to effectively use AI tools in their daily work. These efforts not only enhance employee satisfaction but also ensure exceptional outcomes for customers, solidifying Suncorp’s position as an industry leader in AI-powered innovation.

The Australian Federal Police (AFP) leverages AI to better protect Australians

Australia’s national policing agency, the Australian Federal Police (AFP), is expanding its partnership with Microsoft to develop custom AI solutions built on Azure AI services. With 7,000 staff members tasked with investigating federal crimes across Australia and the Australian Capital Territory, the AFP is leveraging AI to detect deepfake images and other problematic content. This work has shown particular promise in child protection, where AI has already enabled law enforcement to track child predators and rescue victims more effectively.

Along with 50 other Australian Public Service agencies, the AFP is trialing Microsoft 365 Copilot, which has demonstrated early gains in officers’ efficiency by automating document and report creation. Further, the agency is exploring how AI can safeguard officers’ mental health, using generative AI to create text summaries of sensitive material and modify graphic images to reduce their psychological impact.

To address ethical and community concerns, the AFP has established a Responsible and Ethical AI Framework, drawing on Microsoft’s principles to ensure AI is implemented with diligence, accountability, and strong human oversight. These initiatives position the AFP as a leader in responsible AI use within law enforcement.

Find the resources to support your AI journey

Australia is only beginning to unlock the immense potential of AI, yet the AI Tour in Sydney showcased how visionary Australian organizations are already revolutionizing industries, from education and policing to banking and insurance. Let’s embrace this opportunity, together.


1IDC InfoBrief: sponsored by Microsoft, 2024 Business Opportunity of AI, IDC# US52699124, November 2024.