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Anyone with a shed, an extension cord, a couple of GPUs and an overdraft is building datacenters. Fujitsu just offloaded five
Fujitsu has sold five of its Australian datacentres to private equity firm Next Capital, as part of a broader retreat from datacentre ownership so it can focus on faster-growing services such as cyber resilience, sovereign AI and high-performance and quantum computing. The move comes as demand for AI computing capacity is driving a global datacentre building boom, yet Fujitsu is choosing to exit the property side of the business rather than expand it, following earlier divestments including its US datacentre unit in 2023 and its exit from Japanese public cloud and mainframe operations.
The six facilities in Fujitsu's Australian portfolio ranged from 92MW and 28MW capacity down to much smaller sites of 10MW, 4.8MW, 3MW and 2MW; five were bought by Next Capital, while The Register understands the sixth was sold separately to another buyer. Local media reports suggest Next Capital paid around AUD$200 million (roughly £104 million), and the firm has promised continuity for existing tenants, many of whom are long-standing blue-chip and government clients likely to provide steady cashflow. However, the smaller sites may need significant investment to handle modern AI workloads, which can demand 500kW or more per rack, though upgrading existing sites could still prove cheaper and less regulatorily complex than building new ones from scratch.
In short
- Fujitsu sold five Australian datacentres to private equity firm Next Capital.
- Deal reportedly worth around AUD$200 million (£104 million).
- Fujitsu is refocusing on AI, cyber and quantum services instead.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Divesting datacentres whilst pivoting to higher-margin services is strategically sound. Datacentre ownership is capital-intensive and faces commoditising margins as numerous market entrants expand, whilst managed services such as sovereign AI and cyber resilience offer superior growth and profit potential. This allows Fujitsu to concentrate on businesses where it possesses genuine expertise and competitive advantage, aligning with investor preferences for capital-light, high-return operations.
The case against
The AI infrastructure boom represents a potentially pivotal moment, yet Fujitsu divests precisely when datacentre assets command premium valuations and demand surges. Owning infrastructure creates layered revenue streams—from capacity rental through managed services to consulting—whilst providing customer lock-in that services alone cannot match. Divesting now suggests Fujitsu prioritises near-term capital efficiency over medium-term positioning during what could prove historically significant infrastructure demand.
Explained simply
Datacentres are buildings that house computer servers and the power and cooling systems they need. They store data and run online services for businesses and governments; the largest can use as much electricity as a small town. Demand for computing power has risen with the growth of artificial intelligence, prompting companies around the world to build more capacity.
Fujitsu is a Japanese technology company that has owned and run datacentres as well as selling computing and IT services. Next Capital is an Australian private equity firm, which buys businesses or assets with the aim of managing and later selling them. Existing customers, including businesses and government bodies, rely on the Australian facilities to keep their services running.
Owning a datacentre means paying for buildings, equipment, electricity and upgrades as technology changes. Fujitsu’s shift away from ownership reflects a choice to focus on services such as cyber security and advanced computing, while the new owners take on the facilities and their future investment needs.