September 17, 2025

MTN commences construction of $240m first AI data centre in Nigeria

0
MTN

Agency Report

MTN Group has commenced the construction of its first artificial intelligence (AI) data centre in Nigeria at an estimated cost of $240 million.

The Johannesburg-based telecommunications company confirmed that the project will serve as the foundation of a wider rollout of AI-focused facilities across the continent.
The data center will provide computing capacity for businesses, governments, and institutions seeking to leverage AI-driven solutions, while also supporting MTN’s plan to expand into new revenue streams.

According to Chief Executive Officer Ralph Mupita, the development reflects MTN’s commitment to positioning Africa as a competitive player in the global AI ecosystem.

He noted that the company is currently in commercial negotiations with potential international partners to scale the project and replicate similar facilities in other markets where MTN operates.

The facility in Nigeria is part of MTN’s broader initiative under its newly created unit, Genova, designed to monetize infrastructure, expand third-party access, and deepen innovation. With more than 40 million subscribers in Nigeria alone, MTN sees the local market as a crucial hub for AI adoption.

Africa currently accounts for less than one percent of global AI data center capacity, highlighting the continent’s infrastructure gap. By situating its first AI data center in Nigeria, MTN aims to boost local computing power and reduce reliance on foreign data centers that often raise costs and increase latency.

Industry analysts note that the $240 million project signals a strong vote of confidence in Nigeria’s digital economy.

The investment is also expected to drive growth in cloud services, AI applications, and digital transformation across sectors including finance, health, and manufacturing.
Mupita added that MTN is working on strategies to secure reliable electricity supply for the facility, given Nigeria’s persistent power infrastructure challenges. Ensuring stable and cost-effective energy will be critical to the efficiency of the center.

With global hyperscalers such as Microsoft, Amazon, and Alibaba already offering cloud services in Africa, MTN’s entry into the AI data center space positions it as a key local competitor capable of tailoring solutions to regional needs.

The Nigeria project is expected to be a catalyst for further expansion across MTN’s 16 African markets, solidifying the company’s ambition to be a leader in the continent’s emerging AI economy.

Leave a Reply

Your email address will not be published. Required fields are marked *