Data centers and cloud infrastructure development are quickly gaining traction among African countries, as the world drastically shifts toward digitalization. Data centers are physical infrastructures that house servers, network equipment, and more, while cloud infrastructure, on the other hand, relies on data centers as hosts to perform their tasks.
Kenya, and specifically Nairobi, is rapidly transforming into a significant data center hub in Africa. With a strong and growing fintech sector, including mobile money and telecommunications, as well as robust e-commerce growth, Nairobi has become a hub for undersea fiber optic cables and regional data centers. This is thanks to Kenya’s investor-friendly environment and government support through regulations, which has made it an attractive destination for investors in the digital sector.
Kenya boasts several data centers across the country, with notable operators including Safaricom, which operates about eleven data centers supporting mobile money transactions (M-Pesa) and telecommunications infrastructure. iX Africa Data Center is another leading driver in cloud infrastructure development in Nairobi. Although still under development, the center promises to be a game-changer in the digital sector, with its first phase, NBOX1, featuring innovations like AI-ready capabilities.
Africa Data Centres (ADC) is also expanding its presence through mega projects, including a 20MW IT load, with more in the pipeline. Other notable data centers in Nairobi include those operated by Digital Realty, Oracle, and AWS.
While Nairobi’s data center and cloud infrastructure development is on a positive course, challenges persist in the sector. The cost and stability of electricity are unreliable, and there is a growing need for qualified labor in areas like cybersecurity, engineering, and data technology. Additionally, acquiring properties in Nairobi can be a lengthy and costly process.
I call on all stakeholders in the digital sector to come together to improve conditions and offer better services in Nairobi.
