Africa’s largest wireless carrier, MTN Group, is in talks with U.S. and European firms to build data centers across the continent to power artificial intelligence services, CEO Ralph Mupita told Bloomberg.
Why it matters
Africa has less than 1% of global AI data center capacity, despite being the world’s fastest-growing region with the youngest population. The infrastructure gap threatens to leave the continent behind in the global AI race.
Driving the news
- MTN is investing directly in its first AI-focused data center in Nigeria, a $240 million project.
- The group has created a dedicated unit, Genova, to lead the AI data center strategy.
- MTN is in the “commercial negotiation phase” with partners, aiming to finalize deals this year.
- Potential collaborators include AI infrastructure firms, co-investors, and hyperscalers like Microsoft.
How it works
MTN plans to:
- Build out facilities and sign tenants to supply AI compute.
- Rent capacity to businesses and governments across its 16 African markets.
- Potentially equip centers with its own hardware.
Zoom out
- South Africa currently hosts most of Africa’s computing power, with Microsoft, Amazon, and Alibaba offering cloud services.
- Other players are entering the space: Microsoft and G42 are building a geothermal-powered data center in Kenya, while Indian telecom billionaire Sunil Mittal is expanding AI capacity in Nigeria.
The challenge
Reliable electricity remains a barrier. MTN says it’s exploring options to secure efficient and stable power for AI facilities in regions where infrastructure is limited.
The big picture
Telecom firms worldwide are pivoting into AI-driven data centers, hoping to capture demand from hyperscalers while opening up new revenue streams.
Source: Bloomberg
