Africa is reaching a critical juncture in its digital transformation journey, with increasing internet access, mobile connectivity, fintech adoption, and AI interest fuelling a surge in demand for local infrastructure.
Data centres, the backbone of data storage and processing, are emerging as vital to supporting governments, businesses, and research institutions in operating efficiently amid this rapid growth.
Although Africa currently commands a small fraction of the global data centre capacity — less than 1% — recent investments signal a concerted effort to expand its role in the digital economy. Globally, the United States leads with 4,165 data centres, representing nearly 38% of the world’s total, followed by Europe with around 3,500 facilities. The profound growth in cloud and AI infrastructure, exemplified by OpenAI’s $1.4 trillion investment through 2035, underscores the growing global demand for digital resources.
Within Africa, the sector remains nascent but is gradually expanding. The Africa Existing & Upcoming Data Centre database identifies 121 operational facilities and 49 planned across 13 countries. Nearly 46% of these facilities are concentrated in South Africa, Kenya, Nigeria, and Egypt, highlighting regional disparities. Despite this, the continent’s share of global data centre capacity and the international cloud market remains minimal, signalling substantial potential for future growth.
Major cloud providers such as Google Cloud, Microsoft Azure, AWS, and Huawei have established a presence in South Africa’s Cape Town and Johannesburg, while Egypt’s Cairo hosts five providers and Nairobi is home to three, including AWS, Microsoft Azure, and Oracle Cloud Infrastructure. Emerging local providers are offering innovative solutions tailored to Africa’s unique market challenges, such as currency-specific billing and low-latency services to address issues like exchange rate volatility and data sovereignty.
Leading companies are spearheading Africa’s AI and data ecosystem. Cassava Technologies, founded by billionaire Strive Masiyiwa, is at the forefront, operating Africa Data Centres and planning to deploy 3,000 NVIDIA GPUs in South Africa by mid-2025, with aspirations to scale to 12,000 GPUs across Nigeria, Kenya, Egypt, and Morocco. Cassava has committed over $700 million to establishing high-performance AI-focused computing facilities, backed by investments from C5 Capital and the U.S. International Development Finance Corporation.
In South Africa, DataProphet exemplifies practical AI application with its PRESCRIBE platform, which uses real-time manufacturing data to optimise production and reduce defects. Supported by $10 million in Series A funding, the company enables factories to adopt AI-driven solutions without requiring extensive in-house expertise. Meanwhile, in Nigeria, Terragon Group leverages data analytics for targeted marketing campaigns across Nigeria, Kenya, Ghana, and South Africa, backed by $5 million from TLcom Capital.
These developments highlight Africa’s expanding capacity in digital infrastructure, AI deployment, and data analytics. Despite its current small share, the continent is building a foundation to grow its presence in the global cloud and AI markets, signalling a shift from predominantly consuming technology to actively creating and managing digital innovation on a wider scale.
