New independent analysis from Oxford Economics estimates that WA’s digital economy contributed $16.8 billion in gross value added in FY2024-25. Under an accelerated scenario, that contribution could reach approximately $89.1 billion by FY2040 when the State closes part of the digital-intensity gap with other leading states in Australia - equivalent to around 10% of gross state product and supporting approximately 195,000 jobs.

A strong base, with room to accelerate

WA’s opportunity is distinctive because advanced digital capability is becoming part of the operating model of its established strengths. Mining, energy, defence, logistics, manufacturing and regional services increasingly depend on cloud platforms, automation, artificial intelligence, connected equipment and real-time analytics. The report also finds that WA has strong foundations in human capital and established digital tools but trails the national average in adoption of advanced capabilities including AI and data analytics.

This makes the opportunity broader than growing a technology sector in isolation. It is about helping digitally enabled activity spread through the wider economy, from autonomous operations in the Pilbara to secure engineering collaboration in Perth and connected services across regional WA.

A corridor that works in both directions turns WA from a remote market to be served into a connected part of a national digital economy.

– Oxford Economics

The role of the Aura Network

The committed Perth-Sydney and Perth-Adelaide Aura Network routes are designed to strengthen east-west capacity, resilience and route diversity. Oxford Economics Australia estimates that the higher capacity and resilience from committed routes could support an uplift of approximately $3.7 billion in WA gross state product by FY2040. If potential routes proceed, the total benefit could rise to around $6.4 billion and support approximately 18,500 jobs.

But fibre is only one part of the system. Long-haul capacity must work with mobile sites, towers, backhaul, power, co-location, shared access infrastructure, subsea connectivity and satellite capability to reach end users. Skills, enterprise adoption, investment and organisational capability will determine how much of the opportunity is realised.

Where adoption creates value

The scale of the opportunity is significant, but it is not automatic. The report identifies six enablers for coordinated action: continued infrastructure investment, enterprise adoption, workforce skills, stronger innovation ecosystems, supportive planning and regulation, and targeted investment attraction.

When government, industry and infrastructure providers play their roles, these enablers could help position Western Australia as Australia’s western digital gateway: a location where nationally significant industries, regional capability, domestic connectivity and international routes converge.

Australia's AI-era infrastructure question is whether the country can connect its industrial regions, defence precincts, data centres, regional communities and international gateways with enough capacity, resilience and route diversity to support what those users will demand.

– Oxford Economics