Powering Africa’s Digital Future: MTN and Al Ashram Launch 150MW AI Data Center Initiative

Africa’s largest telecom operator, MTN Group, has joined forces with Dubai-based entrepreneur Tarek Al Ashram to construct a network of artificial intelligence (AI) data centers across the continent. This ambitious project aims to address Africa’s growing digital infrastructure deficit and support its burgeoning AI market.

The partnership will see the creation of Africa Data Hub Holding, backed by Al Ashram’s investment firm. The 150-megawatt capacity facilities are expected to provide critical processing power for various applications, from fintech solutions to government services.

Addressing a Critical Gap

While Africa currently hosts over 210 data centers, these primarily serve traditional functions like website hosting and database management. AI data centers—specialized facilities that support machine learning workloads—remain scarce on the continent.

According to World Economic Forum data, Africa accounts for less than 1% of global AI data center capacity, with only an estimated 19 dedicated facilities across seven countries. This contrasts sharply with the projected growth in Africa’s AI market, which is expected to surge from $4.5 billion in 2025 to $16.5 billion by 2030.

Strategic Partnership for Growth

Al Ashram highlighted the potential of African markets, noting that they present a similar opportunity to what the Middle East has experienced in recent years. He emphasized the demand drivers: “strong underlying demand, rapidly expanding digital economies and an increasing need for resilient and scalable infrastructure.”

The initiative aligns with MTN’s broader Ambition 2030 strategy, which seeks to diversify beyond traditional telecom services into fintech and digital infrastructure.

“The approach that we are taking on the building of our AI business is to partner with third parties, and the entity that we are partnering with has built data centers in the UAE,” said MTN Chief Executive Ralph Mupita. “We are taking a phased approach and will start building out 150 megawatts of AI data center capacity.”

The first facilities are planned for Nigeria and South Africa, with preparations already underway including land acquisition and power negotiations.

Implications for the African Tech Landscape

This investment signals a significant step toward closing Africa’s digital infrastructure gap. By providing local processing capabilities, these AI data centers will:

  • Enable businesses to host data locally instead of relying on foreign servers
  • Reduce latency and improve performance for AI applications
  • Support the growth of African tech startups and innovation hubs
  • Create new employment opportunities in the digital sector