Industry overview
Data centres are specialised facilities designed to securely store, manage, and process substantial volumes of digital information. In Africa, they address critical challenges including unstable power grids, strict data sovereignty requirements, and surging demand for digital services fuelled by cloud computing, artificial intelligence, and technological innovation. Data centres have become essential infrastructure by providing secure physical space (colocation), guaranteed power availability, advanced cooling solutions, and high-speed connectivity to telecom networks and cloud platforms, enabling enterprises, governments, and digital service providers to reliably deliver digital services across the continent.
The African data centre industry typically follows asset-intensive, infrastructure-focused business models. Operators primarily generate revenue through colocation leases, with additional income from managed services, cloud connectivity, and interconnection fees. Increasingly, providers are adopting hybrid IT approaches that blend colocation with managed cloud services. This shift not only enhances customer retention by creating deeper relationships but also ensures more stable and predictable revenue
