Strategic government initiatives to promote technological advancement, digitalization and market development

African data center market

DUBLIN, April 24, 2024 (Globe Newswire) — The Africa Data Center Market Outlook 2024-2029 report has been added. ResearchAndMarkets.com Recruitment.

Africa data center market expected to reach $6.46 billion by 2029 from $3.33 billion in 2023, growing at a CAGR of 11.7%

The African data center market is home to IT infrastructure providers such as Arista Networks, Atos, Broadcom, Cisco Systems, Dell Technologies, IBM, NetApp, and Oracle, who are driving the availability of advanced IT infrastructure in the market. Masu. Africa's data center industry has several regional and global contractors and subcontractors, including Atkins, Orascom Construction, Arup, Abbeydale Projects, REDCON Construction, and Raya Information Technology.

The African data center market is mainly focused on switches with up to 40GbE ports, especially in IT infrastructure. As cloud data centers expand, the demand for switches with ports greater than 40GbE is expected to increase. Additionally, with the growing need for advanced infrastructure, the adoption of flash storage devices and blade servers is expected to increase in the coming years.

In the coming years, sustainability mandates are expected to drive the adoption of generators that utilize sustainable fuels, especially hydrotreated vegetable oils, in the African data center market. Along with this, demand for UPS systems equipped with lithium-ion batteries is expected to increase.

The industry expects more greenfield building development to occur in various countries where there is abundant land available for industrial development. The entry of new global data center operators and the expansion of existing operators in the region are also expected to attract several new global contractors.

main trends

Government support for data center development drives market growth

• African governments are working to improve digital infrastructure by providing digital support and tax incentives. The creation of Free Trade Zones (FTZs) and Special Economic Zones (SEZs) will foster innovative technologies, encourage data center investment, and promote overall technological advancement in the region.

• In February 2023, the South African government introduced the Data-Driven Economy Program to help businesses use data more effectively. The government is providing financial support to encourage businesses to adopt a data-driven approach and grow more effectively.

• Additionally, policies and regulations regarding local storage of sensitive data will boost the digital economy in several African countries. Currently, most data is stored in offshore data centers. For example, the Nigerian government mandates local storage of data for sectors such as oil and gas, financial services, and the public sector.

story continues

Growth in smart city development increases demand for advanced technologies in the market

• As of 2023, most countries have average internet penetration rates of 64% or higher, including South Africa, Kenya, Nigeria, Egypt, Ethiopia, Morocco, Ghana, and Algeria. Africa's centrally located market is a key area for submarine cable landing stations to enhance global connectivity and build smart cities at scale. As smart cities grow, more data is generated, increasing the need for storage and computing power. This demand will drive the establishment of edge data centers for high-performance computing (HPC), making the region more commercially attractive and attractive to investors.

• As smart cities evolve, advanced technologies such as 5G, IoT, and AI will increase internet speeds and data flow. This surge in connectivity is expected to boost the African data center market. It is estimated that as smart city initiatives gain momentum, more investors will enter the data center market and invest in data center infrastructure.

geographical analysis

• Africa's data center market is expected to grow significantly due to technological advancements, increasing digitalization, and strategic government initiatives. South Africa is emerging as a major global consumer market due to a growing population, rising disposable income and greater access to technology.

• Kenya's data center industry is experiencing significant growth due to enhanced internet access, robust information and communication technology (ICT) infrastructure, and expansion of services.

• Nigeria has emerged as one of Africa's fastest growing markets after South Africa, with demand for data centers expected to increase in the coming years. Government initiatives and the country's strategic location are facilitating this growth.

• Egypt's data center industry is emerging as a major player in Africa's data center market due to factors such as proximity to Europe, increasing digitalisation, development of industrial sites and strengthening fiber connectivity.

• Ethiopia's data center industry is driven by the increasing use of digital platforms, the introduction of advanced technologies such as IoT and big data, the growth of an AI-driven digital economy, the strengthening of 5G network connectivity, and the increasing use of internet users, especially social media and Driven by the rise of mobile. device. These will rapidly increase data traffic and increase the demand for data centers in the coming years.

• Other promising markets include Morocco, Ghana, Algeria, Cameroon, Angola, Uganda, Namibia, Zambia, Senegal, Rwanda, Mozambique and Botswana. Morocco currently leads with the most complete data center facilities. Still, demand is expected to surge across these countries, and data center capacity in the region is expected to increase significantly in the coming years.

Answers to key questions

• How big is the African data center market?

• What is the growth rate of the African data center market?

• What is the estimated market size of the African data center market by 2029 in terms of area?

• What are the main trends in Africa's data center industry?

• How many MW of power capacity is expected to reach the African data center market by 2029?

Key attributes:

Vendor scenery

IT infrastructure provider

Renowned Support Infrastructure Provider

Renowned data center construction contractor

data center investor

new entrant

• Cloudoon

• gulf data hub

• oak cloud

• Kazuna Data Center

Segmentation by infrastructure

Segmentation by IT infrastructure

• server infrastructure

• storage infrastructure

• network infrastructure

Segmentation by electrical infrastructure

Segmentation by mechanical infrastructure

Segmentation by cooling system

Segmentation by cooling technology

General construction industry segment

• Core and shell development

• Installation and commissioning service

• engineering and architectural design

• physical security

• Fire detection and extinguishing

• DCIM

Segmentation by hierarchical standards

• Tier I and II

• Tier III

• Tier IV

Segmentation by geography

• Africa

  • South Africa

  • kenya

  • Nigeria

  • Egypt

  • ethiopia

  • Other African countries

For more information on this report, please visit https://www.researchandmarkets.com/r/s9xdv1.

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