Kenya's massive data center construction, a joint venture with Microsoft, is all set to break ground
Kenya is witnessing a surge in green energy investments, with major technological companies showing interest in the East African nation. Over the past two years, the country has secured green energy investments worth $4.48 billion.
This development has sparked a mix of positivity, scepticism, and optimism among Kenyans. One of the key drivers behind this investment is the availability of green energy, which has caught the attention of tech giants like Amazon, Apple, Google, and Microsoft.
President William Ruto, Peng Xiao (CEO of G42), and various Eco-cloud officials are partnering in a project that involves the construction of one of Africa's largest data centers in Kenya. The company involved alongside Microsoft and G42 in this undertaking is Airtel Africa, specifically through its Nxtra brand. They are constructing their largest data center in East Africa at Tatu City in Kenya.
In a similar vein, MTN Group Ltd is engaged in advanced talks with the EU and US to construct AI data centers across Africa. The construction of these data centers by MTN is expected to improve Africa's digital infrastructure and generate thousands of jobs.
The worldwide data center construction market is projected to hit $429 billion by 2032, underscoring the growing importance of these infrastructure projects.
Microsoft and G42 are collaborating with KenGen to establish a $1 billion geothermal-powered data center in Kenya. The data center, located in the Olkaria geothermal fields, Naivasha, Kenya, will be the hub for a new Microsoft Azure East Africa Cloud Region. Notably, the data center will be 100% powered by clean, renewable geothermal energy from the Olkaria fields.
Once completed, tech companies can take the opportunity to shift most of their core operations online. The project also aims to bring tech giants such as Eco-cloud and the G42 Investment group on board.
Kenya has been prioritizing investment in green energy, as evidenced by its focus at the recent COP 28 in Dubai. In addition, the country has signed seven deals with different partners to develop other green energy projects. The Ethiopian Raxio Data Center has already been launched, facilitating the storage of digital data belonging to any organization.
However, not all Kenyans fully understand the essence of this project, as indicated in comments on the president's social media post. Some are unsure about the project's implications for the country's economic stability, particularly given that Kenya is currently trying to stabilize economically.
Despite these concerns, the construction of one of Africa's largest data centers in Kenya is a significant step towards improving the country's digital infrastructure and positioning it as a hub for technological innovation. The facility is designed to have an initial capacity of 100 MW with the potential to scale up to 1 Gigawatt.
As these projects unfold, it is clear that Kenya is poised to become a key player in the global green energy and technological landscape.
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