Nigeria’s AI Growth Drives Demand For Local Data Centres, Tech Investment

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Nigeria actively reshapes Africa’s digital future by building homegrown AI and cloud infrastructure.

Meanwhile, its young, tech-savvy population drives demand, producing data through mobile, gaming, streaming, and remote work.
Nigeria actively reshapes Africa’s digital future by building homegrown AI and cloud infrastructure, meanwhile, its young

Billion-Dollar Investments

As a result, Equinix, Microsoft, MTN, Rack Centre, Airtel, and Open Access invest nearly $1 billion.

These operators develop next-generation data centres to handle AI workloads and expanding online populations.

“AI workloads will expand capacity and diversify infrastructure,” said Equinix West Africa director, Wole Abu.

Consequently, Equinix invests $140 million to expand Nigerian operations, supporting 70% digital literacy by 2027.

Currently, Nigeria’s digital literacy stands at 50%, highlighting strong growth potential for technology adoption.

Building African AI

Unlike other countries, Nigeria builds African AI, focusing on local languages and regional solutions.

Read Also: UNILAG Becomes Home To Africa’s First OpenAI Academy

Companies develop domestic computing power and strengthen global network connections to support these systems.

In agriculture and mining, AI transforms operations using IoT sensors, satellite imagery, and edge computing.

Data centres move closer to users, supporting sophisticated, data-intensive workloads across sectors.

Startups thrive at Lagos’ Itana Digital Zone, which lowers costs and fosters innovation for entrepreneurs.

Naira-priced local services help startups survive, despite currency devaluation and expensive dollar-based solutions.

Power instability challenges operators, as blackouts and diesel costs threaten profitability and uptime.

Operators adopt gas and renewable energy to maintain 98–99% uptime and reduce diesel reliance.

Ultimately, Nigeria drives digital transformation, building AI, cloud infrastructure, and domestic technology capabilities.

By doing so, the country actively creates African solutions and continental digital sovereignty for the future.

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