Top ASX stocks like Telstra and NEXTDC are defining their role in transformative technologies including AI to unlock productivity:
Telstra Group Limited (ASX: TLS)
Powering Australia’s Digital Future: Telstra’s Connected Vision for 2030
Telstra Group Limited (ASX: TLS) is Australia’s leading telecommunications and digital infrastructure provider, delivering fixed, mobile, and satellite connectivity across consumer, business, enterprise, and government sectors. As it transitions from its previous T22 and T25 strategies, the company has unveiled its Connected Future 30 Strategy, focusing on deeper customer engagement, radical innovation in network design, and scalable digital infrastructure. A major investment includes an additional $800 million in BAU CapEx over the next four years to roll out advanced 5G capabilities, aimed at building the most reliable and resilient mobile network in the country. With over 250,000 kilometres of fibre across Australia, and dark fibre services growing to more than 2,500 active connections, Telstra is cementing its position as the nation’s core digital backbone. The company is also developing satellite-to-mobile messaging services and expanding intercity fibre routes, with Sydney-to-Canberra switching on by June 2025. Operational upgrades across contact centres and AI-powered tools like AutoNote and AskTelstra have improved agent productivity and enhanced customer experiences.
Looking forward, the strategy outlines targets to grow cash earnings by a mid-single-digit CAGR through FY30 and raise underlying ROIC to 10%. Network Experience Index is expected to improve by one point annually, and the majority of connectivity revenue is projected to be powered by Network as a Product by 2030. Its ambitions include being among the top 10 brands in Australia and achieving sustained cash EBIT growth across digital infrastructure investments.
NEXTDC Limited (ASX: NXT)
NEXTDC Builds Deeper into Digital: Infrastructure, Expansion, and Momentum
NEXTDC Limited (ASX: NXT) stands at the centre of Australia's digital economy as a premium data centre-as-a-service provider, operating Tier IV-certified facilities and an expanding footprint across Asia-Pacific. In 1H25, net revenue increased to $167.8 million, up 13% from 1H24, while underlying EBITDA rose 3% to $105.4 million. Contracted utilisation reached 176.0MW, up 18%, with billing utilisation at 93.0MW. Interconnection revenue grew 6.6% to $15.0 million, representing 8.9% of net revenue. $678 million was raised via placement to fund digital infrastructure expansion, and $2.5 billion in liquidity positions the company strongly. A total of 24MW of built capacity was added, with 70MW of fit-out underway. Data centres in S3 Sydney, M2 Melbourne, and B2 Brisbane were expanded, while new facilities such as S6 Sydney, A1 Adelaide, and D1 Darwin became operational. Sustainability remained a focus, with carbon neutrality, TRUE Zero Waste certification, and energy efficiency upgrades across multiple locations.
Looking ahead, FY25 net revenue is guided between $340 million and $350 million, with underlying EBITDA expected to range from $210 million to $220 million. Capital expenditure is forecast between $1.3 billion and $1.5 billion. The forward order book of 83.0MW is projected to convert into billing through FY29. Internationally, KL1 Kuala Lumpur is under construction with 10MW in progress, and AK1 Auckland is in the planning stage. Domestically, NEXTDC is preparing sites for S4, S5, S7 Sydney and M4 Melbourne, among others. The growth is supported by rising demand for high-density, AI-optimised, and secure data infrastructure.
(Source: Company Announcements)
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