MTN Nigeria enters cloud market with $100m data centre launch
MTN Nigeria has successfully completed the initial stage of its $235 million Dabengwa Sifiso Data Centre, officially marking its entry into the commercial data hosting and cloud services industry in Nigeria.The newly inaugurated Phase 1 of this Tier III facility boasts a 4.5MW IT load, covers three floors, accommodates 780 server racks, and incurred a construction cost of $100 million. Once fully operational, the centre will offer 9MW of capacity, with Phase 2 aiming for Tier IV certification, the highest global standard for uptime and redundancy.
Named in honor of former MTN Group CEO Sifiso Dabengwa, the centre bolsters MTN’s initiative to enhance enterprise digital infrastructure. As the company operates over 50 data centres across Africa and the Middle East, it is leveraging its extensive footprint to satisfy the increasing demand for cloud computing, AI processing, and enterprise IT services.
MTN is entering a market that has been primarily controlled by rivals such as MainOne (Equinix), Rack Centre, Digital Realty (through Medallion), and OADC. Nevertheless, its telecom-grade infrastructure, substantial capital, and local pricing strategy provide it with a significant competitive advantage.
The facility operates as carrier-neutral, enabling clients to connect through any fibre provider, a strategic move aimed at attracting enterprises wary of vendor lock-in.
Ahead of the launch, MTN Nigeria CEO Karl Toriola stated, “We are increasing our data centre capacity to facilitate AI and digital transformation throughout Nigeria.”
MTN’s local hosting services are also anticipated to reduce capital flight, estimated at $350 million each year, as Nigerian businesses depend less on international cloud providers. The company’s platform is compliant with local data regulations and features self-orchestration, allowing startups and developers access to tools comparable to those offered by AWS or Google Cloud.
“We believe we’re the first to provide a self-orchestration data platform in Nigeria,” mentioned Linda Saint-Okafor, MTN’s Chief Enterprise Business Officer.
Leave A Comment