TLDRs
- Australia launches $29.9M AI plan to boost skills, research, and safety measures nationwide.
- New AI safety institute to start in 2026, supporting regulators and risk monitoring.
- CRC Grants funding will help local businesses turn AI ideas into commercial products.
- Future Skills Organisation to expand AI training across schools, universities, and workplaces.
Australia has unveiled a national artificial intelligence initiative aimed at accelerating the development, adoption, and safe use of AI technologies across the country.
Announced on December 2, 2025, the plan by the Albanese government commits US$29.9 million toward establishing an AI safety institute in early 2026. The institute is designed to monitor AI risks, support regulators, and ensure that emerging AI technologies are implemented responsibly.
Government officials emphasized that the initiative provides strategic direction for industry, researchers, and communities, aiming to make AI benefits accessible to all Australians.
The plan is part of a broader effort to position the country at the forefront of global AI innovation while addressing potential safety concerns associated with rapid AI adoption.
AI Safety Institute to Launch 2026
The $29.9 million funding package specifically earmarks resources for the AI safety institute, which will act as a national hub for risk monitoring and regulatory support. While the exact breakdown of funding between research, monitoring, and regulatory activities has not been disclosed, the institute is expected to serve as a critical oversight mechanism for AI technologies as they are developed and deployed across industries.
The institute will work closely with government agencies, industry stakeholders, and academic researchers to track AI advancements, assess potential threats, and provide guidance for ethical and safe AI use. Early 2026 marks the official launch, setting a clear timeline for the country’s first coordinated approach to AI safety.
Cooperative Research Centres Funding for Industry
The national AI initiative also taps into the Cooperative Research Centres (CRC) Grants program, a long-established government scheme that funds collaborative research between businesses and academic institutions.
Through this program, Australian companies can receive non-dilutive funding to transform AI concepts into commercial products. Eligible proposals require industry consortia composed of at least three Australian organizations and two research entities. Applicants must provide matched contributions in cash or in-kind resources, such as staff time, equipment, or datasets. Previous CRC rounds have awarded $35 million to $65 million per center over seven to ten years, demonstrating the program’s capacity to support long-term, large-scale research initiatives.
Skills Development Across Education Levels
Recognizing the growing demand for AI expertise, the initiative also includes a strong focus on skills development. The Future Skills Organisation will lead efforts to provide digital and AI training programs spanning schools, vocational institutions, and universities. The goal is to equip Australians with the knowledge and skills needed to thrive in an AI-driven economy.
Government officials stressed that investment in education and training is essential to ensure that the workforce can safely adopt AI technologies while promoting equitable access to career opportunities across the country.
Moving Forward with AI Strategy
While the plan sets an ambitious vision for AI in Australia, some details remain unclear. Funding allocations for sector-specific initiatives and multi-year milestones have not been outlined, leaving research organizations and businesses to navigate planning with limited guidance. However, industry experts note that early engagement with the CRC Grants program and alignment with national priorities could position companies and research teams to benefit from this new wave of AI investment.
Overall, the initiative represents a significant step toward fostering a robust, safe, and skilled AI ecosystem in Australia, combining research funding, safety oversight, and workforce development under a coordinated national strategy.


