
Africa Data Center Colocation Market - Industry Outlook & Forecast 2023-2028
Description
Africa Data Center Colocation Market - Industry Outlook & Forecast 2023-2028
The Africa data center colocation market is expected to grow at a CAGR of 10.64% from 2022-2028.
KEY HIGHLIGHTS
- South Africa plays an important role in the Africa data center colocation market, standing out as the primary driver of capacity in the region. With more than 60% of the IT power capacity, South Africa stands out, making it an attractive destination for substantial investments in data center facilities. Nigeria, Kenya, and other African countries follow this. Smart city initiatives, a rise in 5G network connectivity, and fiber connectivity are other factors driving continuous regional data center investments.
- The growing adoption of Artificial Intelligence (AI) is fueling regional data center investments. An example is the strategic partnership between Huawei and ITDIA in Egypt, where they established the "Spark" initiative to promote AI-based investments and initiatives in the country.
- The Africa data center colocation market grows continuously in terms of connectivity by deploying new submarine cables such as Africa-1, 2Africa, India Europe Xpress (IEX), Equiano, and Medusa Submarine Cable System, and SeaMeWe – 6, which are expected to be ready for services during the forecast period.
Deployment of 5G Network Services
- The introduction of 5G in Africa will likely generate substantial data, further increasing investment in data centers. High internet connectivity, bandwidth, and less processing time is the feature of 5G technology. South Africa, Nigeria, Kenya, Egypt, and Ethiopia have witnessed the commercial launch of 5G in the region, while countries like Ghana, Algeria, Tanzania, and Congo were in the initial stages of their development.
- Vodacom, MTN, Ericsson, Orange, Ethio Telecom, and Rain are the main telecom operators in Africa involved in the commercial deployment of 5G services that partially or entirely cover 5G services in the country. Several pilot 5G projects are underway and expected to be deployed in the forecasted period.
- Due to the unavailability of proper power infrastructure in the African region, data centers were forced to develop their renewable energy infrastructure for power generation.
II. In June 2022, Vantage Data Centers signed a 20-year Power Purchase Agreement (PPA) with SolarAfrica, in which the company will procure 87 MWp of solar energy that will be used to power its new facility.
SEGMENTATION INSIGHTS
- Data centers invest in power infrastructure with a minimum N+1 redundancy. In 2022, UPS systems accounted for a market share of more than 30% of the total electrical infrastructure in data centers.
- Data centers are investing in cooling infrastructure due to the high-temperature climate in some African countries. In 2022, cooling systems accounted for a market share of more than 65% of the total mechanical infrastructure in data centers. Air-based cooling contributed to more than 70% of the cooling technique in the African region.
- There has been significant growth in establishing data centers in the region, specifically in the Tier III and Tier IV certification categories. Many private and public entities, including those in the BFSI, education, and government sectors, have obtained Uptime Institute certifications during the design phase or for their completed facilities. This demonstrates a strong commitment to high reliability and operational excellence in data center infrastructure.
Segmentation by Colocation Service
- Retail Colocation
- Wholesale Colocation
- Electrical Infrastructure
- Mechanical Infrastructure
- General Construction
- UPS Systems
- Generators
- Transfer Switches & Switchgear
- Power Distribution Units
- Other Electrical Infrastructure
- Cooling Systems
- Racks
- Other Mechanical Infrastructure
- CRAC & CRAH Units
- Chiller Units
- Cooling Towers, Condensers & Dry Coolers
- Other Cooling Units
- Air-based Cooling Technique
- Liquid-based Cooling Technique
- Core & Shell Development
- Installation & Commissioning Services
- Engineering & Building Design
- Fire Detection & Suppression
- Physical Security
- DCIM/BMS Solutions
- Tier I & II
- Tier III
- Tier IV
- In the Africa data center colocation market, South Africa, Kenya, and Nigeria are the developed data center markets in the region.
- South Africa represents more than 60% of the African region's power capacity, followed by Nigeria and Kenya.
- Data center expansion in the African region is driven by the emergence of smart cities, special economic zones, and free trade zones, coupled with government incentives and exemptions. Major countries such as South Africa, Kenya, Morocco, Nigeria, Egypt, Ethiopia, and Ghana have spearheaded investments in smart city initiatives. Examples include the Lanseria and Nkuna smart city projects in South Africa and Nigeria's Eko Atlantic City, all contributing to the region's growing data center landscape.
- Africa
- South Africa
- Kenya
- Nigeria
- Egypt
- Ethiopia
- Other African Countries
- The Africa data center colocation market is witnessing increased demand across industries, and acquisitions & joint ventures enable new players to enter the industry, attract customers, and capture a higher market share.
II. Digital Realty acquired a major stake of around 55% in Teraco.
Key Data Center Investors
- 21st Century Technologies
- Africa Data Centres
- Digital Realty
- Digital Parks Africa
- Equinix
- Galaxy Backbone
- IXAfrica
- Medallion Communications
- Paratus Namibia
- NTT Global Data Centers
- Rack Centre
- Raxio Data Centres
- Telecom Egypt
- Wingu
- Airtel Nigeria
- Airtel Nigeria
- Cloudoon
- Gulf Data Hub
- Kasi Cloud
- Khazna Data Centers
- Open Access Data Centres
- Vantage Data Centers
1. How big is the Africa data center colocation market?
2. What is the growth rate of the Africa data center colocation market?
3. What is the estimated market size in terms of area in the Africa data center colocation market by 2028?
4. What are the key trends in the African data center colocation market?
5. How many MW of power capacity is expected to reach the Africa data center colocation market by 2028?
Table of Contents
275 Pages
- 1. REPORT COVERAGE
- 1.1. WHAT’S INCLUDED
- 1.2. SEGMENTAL COVERAGE
- 1.2.1. Market Segmentation by Colocation Service Type
- 1.2.2. Market Segmentation by Infrastructure
- 1.2.3. Market Segmentation by Electrical Infrastructure
- 1.2.4. Market Segmentation by Mechanical Infrastructure
- 1.2.5. Market Segmentation by Cooling System
- 2. MARKET AT A GLANCE
- 3. SEGMENTAL & GEOGRAPHICAL SNAPSHOT
- 4. INFRASTRUCTURE SEGMENTATION
- 5. PREMIUM INSIGHTS
- 5.1. KEY HIGHLIGHTS
- 5.2. SEGMENTAL ANALYSIS
- 5.3. MARKET TRENDS
- 5.4. GEOGRAPHICAL ANALYSIS
- 5.5. KEY MARKET PARTICIPANTS' INITIATIVES
- 6. INTRODUCTION
- 6.1. SITE SELECTION CRITERIA
- 7. MARKET OPPORTUNITIES & TRENDS
- 7.1. INCREASE IN SMART CITY INITIATIVES
- 7.2. GOVERNMENT SUPPORT FOR DATA CENTER DEVELOPMENT
- 7.3. GROWING ADOPTION OF ARTIFICIAL INTELLIGENCE
- 7.4. MIGRATION FROM ON-PREMISES TO COLOCATION & MANAGED SERVICES
- 7.5. RISE IN 5G NETWORK CONNECTIVITY AND EDGE DATA CENTER DEPLOYMENTS
- 8. MARKET GROWTH ENABLERS
- 8.1. INCREASING ADOPTION OF CLOUD SERVICES
- 8.2. GROWTH IN PENETRATION OF BIG DATA & IOT
- 8.3. RISE IN RENEWABLE ENERGY ADOPTION
- 8.4. INCREASE IN SUBMARINE CABLE & INLAND CONNECTIVITY
- 9. MARKET RESTRAINTS
- 9.1. LOW BUDGETS & INVESTMENT CONSTRAINTS IN DATA CENTER DEVELOPMENT
- 9.2. LOCATION CONSTRAINTS ON DATA CENTERS
- 9.3. DEARTH OF SKILLED WORKFORCE
- 9.4. SECURITY THREATS IN DATA CENTERS
- 10. MARKET LANDSCAPE
- 10.1. MARKET SNAPSHOT & GROWTH ENGINE
- 10.2. MARKET OVERVIEW
- 10.3. INVESTMENT: MARKET SIZE & FORECAST
- 10.4. AREA: MARKET SIZE & FORECAST
- 10.5. POWER CAPACITY: MARKET SIZE & FORECAST
- 10.6. COLOCATION REVENUE: MARKET SIZE & FORECAST
- 11. COLOCATION SERVICE TYPE
- 11.1. MARKET OVERVIEW
- 11.2. RETAIL COLOCATION
- 11.2.1. Market Overview
- 11.2.2. Market Size & Forecast
- 11.3. WHOLESALE COLOCATION
- 11.3.1. Market Overview
- 11.3.2. Market Size & Forecast
- 12. INFRASTRUCTURE
- 12.1. MARKET SNAPSHOT & GROWTH ENGINE
- 12.2. ELECTRICAL INFRASTRUCTURE
- 12.2.1. Market Overview
- 12.2.2. Market Size & Forecast
- 12.3. MECHANICAL INFRASTRUCTURE
- 12.3.1. Market Overview
- 12.3.2. Market Size & Forecast
- 12.4. GENERAL CONSTRUCTION
- 12.4.1. Market Overview
- 12.4.2. Market Size & Forecast
- 13. ELECTRICAL INFRASTRUCTURE
- 13.1. MARKET SNAPSHOT & GROWTH ENGINE
- 13.2. MARKET OVERVIEW
- 13.3. UPS SYSTEMS
- 13.3.1. Market Overview
- 13.3.2. Investment: Market Size & Forecast
- 13.4. GENERATORS
- 13.4.1. Market Overview
- 13.4.2. Investment: Market Size & Forecast
- 13.5. TRANSFER SWITCHES & SWITCHGEAR
- 13.5.1. Market Overview
- 13.5.2. Investment: Market Size & Forecast
- 13.6. PDUS
- 13.6.1. Market Overview
- 13.6.2. Investment: Market Size & Forecast
- 13.7. OTHER ELECTRICAL INFRASTRUCTURE
- 13.7.1. Market Overview
- 13.7.2. Investment: Market Size & Forecast
- 14. MECHANICAL INFRASTRUCTURE
- 14.1. MARKET SNAPSHOT & GROWTH ENGINE
- 14.2. MARKET OVERVIEW
- 14.3. COOLING SYSTEMS
- 14.3.1. Market Overview
- 14.3.2. Market Size & Forecast
- 14.4. RACKS
- 14.4.1. Market Overview
- 14.4.2. Investment: Market Size & Forecast
- 14.5. OTHER MECHANICAL INFRASTRUCTURE
- 14.5.1. Market Overview
- 14.5.2. Investment: Market Size & Forecast
- 15. COOLING SYSTEMS
- 15.1. MARKET SNAPSHOT & GROWTH ENGINE
- 15.2. MARKET OVERVIEW
- 15.3. CRAC & CRAH UNITS
- 15.3.1. Market Overview
- 15.3.2. Market Size & Forecast
- 15.4. CHILLER UNITS
- 15.4.1. Market Overview
- 15.4.2. Investment: Market Size & Forecast
- 15.5. COOLING TOWERS, CONDENSERS & DRY COOLERS
- 15.5.1. Market Overview
- 15.5.2. Investment: Market Size & Forecast
- 15.6. OTHER COOLING UNITS
- 15.6.1. Market Overview
- 15.6.2. Investment: Market Size & Forecast
- 16. COOLING TECHNIQUE
- 16.1. MARKET SNAPSHOT & GROWTH ENGINE
- 16.2. MARKET OVERVIEW
- 16.3. AIR-BASED COOLING
- 16.3.1. Market Overview
- 16.3.2. Market Size & Forecast
- 16.4. LIQUID-BASED COOLING
- 16.4.1. Market Overview
- 16.4.2. Investment: Market Size & Forecast
- 17. GENERAL CONSTRUCTION
- 17.1. MARKET SNAPSHOT & GROWTH ENGINE
- 17.2. MARKET OVERVIEW
- 17.3. CORE & SHELL DEVELOPMENT
- 17.3.1. Market Overview
- 17.3.2. Market Size & Forecast
- 17.4. INSTALLATION & COMMISSIONING SERVICES
- 17.4.1. Market Overview
- 17.4.2. Market Size & Forecast
- 17.5. ENGINEERING & BUILDING DESIGN
- 17.5.1. Market Overview
- 17.5.2. Investment: Market Size & Forecast
- 17.6. FIRE DETECTION & SUPPRESSION
- 17.6.1. Market Overview
- 17.6.2. Investment: Market Size & Forecast
- 17.7. PHYSICAL SECURITY
- 17.7.1. Market Overview
- 17.7.2. Investment: Market Size & Forecast
- 17.8. DCIM/BMS SOLUTIONS
- 17.8.1. Market Overview
- 17.8.2. Investment: Market Size & Forecast
- 18. TIER STANDARDS
- 18.1. MARKET SNAPSHOT & GROWTH ENGINE
- 18.2. MARKET OVERVIEW
- 18.3. TIER I & II
- 18.3.1. Market Overview
- 18.3.2. Market Size & Forecast
- 18.4. TIER III
- 18.4.1. Market Overview
- 18.4.2. Investment: Market Size & Forecast
- 18.5. TIER IV
- 18.5.1. Market Overview
- 18.5.2. Market Size & Forecast
- 19. AFRICA
- 19.1. SOUTH AFRICA
- 19.1.1. Market Snapshot & Growth Engine
- 19.1.2. Market Overview
- 19.1.3. Investment: Market Size & Forecast
- 19.1.4. Area: Market Size And Forecast
- 19.1.5. Power Capacity: Market Size & Forecast
- 19.1.6. Support Infrastructure: Market Size & Forecast
- 19.1.7. Colocation Revenue: Market Size & Forecast
- 19.2. KENYA
- 19.2.1. Market Snapshot & Growth Engine
- 19.2.2. Market Overview
- 19.2.3. Investment: Market Size & Forecast
- 19.2.4. Area: Market Size & Forecast
- 19.2.5. Power Capacity: Market Size & Forecast
- 19.2.6. Support Infrastructure: Market Size & Forecast
- 19.2.7. Colocation Revenue: Market Size & Forecast
- 19.3. NIGERIA
- 19.3.1. Market Snapshot & Growth Engine
- 19.3.2. Market Overview
- 19.3.3. Investment: Market Size & Forecast
- 19.3.4. Area: Market Size & Forecast
- 19.3.5. Power Capacity: Market Size & Forecast
- 19.3.6. Support Infrastructure: Market Size & Forecast
- 19.3.7. Colocation Revenue: Market Size & Forecast
- 19.4. EGYPT
- 19.4.1. Market Snapshot & Growth Engine
- 19.4.2. Market Overview
- 19.4.3. Investment: Market Size & Forecast
- 19.4.4. Area: Market Size & Forecast
- 19.4.5. Power Capacity: Market Size & Forecast
- 19.4.6. Support Infrastructure: Market Size & Forecast
- 19.4.7. Colocation Revenue: Market Size & Forecast
- 19.5. ETHIOPIA
- 19.5.1. Market Snapshot & Growth Engine
- 19.5.2. Market Overview
- 19.5.3. Investment: Market Size & Forecast
- 19.5.4. Area: Market Size & Forecast
- 19.5.5. Power Capacity: Market Size & Forecast
- 19.5.6. Support Infrastructure: Market Size & Forecast
- 19.5.7. Colocation Revenue: Market Size & Forecast
- 19.6. OTHER AFRICAN COUNTRIES
- 19.6.1. Market Snapshot & Growth Engine
- 19.6.2. Market Overview
- 19.6.3. Investment: Market Size & Forecast
- 19.6.4. Area: Market Size & Forecast
- 19.6.5. Power Capacity: Market Size & Forecast
- 19.6.6. Support Infrastructure: Market Size & Forecast
- 19.6.7. Colocation Revenue: Market Size & Forecast
- 20. COMPETITIVE LANDSCAPE
- 20.1. MARKET SHARE BY COLOCATION INVESTMENT
- 20.2. MARKET SHARE BY COLOCATION AREA
- 20.3. MARKET SHARE BY COLOCATION POWER CAPACITY
- 21. KEY DATA CENTER INVESTORS
- 21.1. 21ST CENTURY TECHNOLOGY
- 21.1.1. Business Overview
- 21.1.2. Service Offerings
- 21.2. AFRICA DATA CENTRES
- 21.2.1. Business Overview
- 21.2.2. Service Offerings
- 21.3. DIGITAL REALTY
- 21.3.1. Business Overview
- 21.3.2. Service Offerings
- 21.4. DIGITAL PARKS AFRICA
- 21.4.1. Business Overview
- 21.4.2. Service Offerings
- 21.5. EQUINIX
- 21.5.1. Business Overview
- 21.5.2. Service Offerings
- 21.5.3. Key News
- 21.6. GALAXY BACKBONE
- 21.6.1. Business Overview
- 21.6.2. Service Offerings
- 21.6.3. Key News
- 21.7. IXAFRICA
- 21.7.1. Business Overview
- 21.7.2. Service Offerings
- 21.8. MEDALLION COMMUNICATIONS
- 21.8.1. Business Overview
- 21.8.2. Service Offerings
- 21.9. NTT GLOBAL DATA CENTERS
- 21.9.1. Business Overview
- 21.9.2. Service Offerings
- 21.9.3. Key News
- 21.10. PARATUS NAMIBIA
- 21.10.1. Business Overview
- 21.10.2. Service Offerings
- 21.11. RACK CENTRE
- 21.11.1. Business Overview
- 21.11.2. Service Offerings
- 21.12. RAXIO DATA CENTRES
- 21.12.1. Business Overview
- 21.12.2. Service Offerings
- 21.12.3. Key News
- 21.13. TELECOM EGYPT
- 21.13.1. Business Overview
- 21.13.2. Service Offerings
- 21.14. WINGU
- 21.14.1. Business Overview
- 21.14.2. Service Offerings
- 22. NEW ENTRANTS
- 22.1. AIRTEL NIGERIA
- 22.1.1. Business Overview
- 22.1.2. Service Offerings
- 22.2. AGILITY
- 22.2.1. Business Overview
- 22.2.2. Service Offerings
- 22.3. CLOUDOON
- 22.3.1. Business Overview
- 22.3.2. Service Offerings
- 22.4. GULF DATA HUB
- 22.4.1. Business Overview
- 22.4.2. Service Offerings
- 22.5. KASI CLOUD
- 22.5.1. Business Overview
- 22.5.2. Service Offerings
- 22.6. KHAZNA DATA CENTERS
- 22.6.1. Business Overview
- 22.6.2. Service Offerings
- 22.6.3. Key News
- 22.7. OPEN ACCESS DATA CENTRES
- 22.7.1. Business Overview
- 22.7.2. Service Offerings
- 22.8. VANTAGE DATA CENTERS
- 22.8.1. Business Overview
- 22.8.2. Service Offerings
- 23. REPORT SUMMARY
- 23.1. KEY TAKEAWAYS
- 24. QUANTITATIVE SUMMARY
- 24.1. AFRICA DATA CENTER COLOCATION MARKET
- 24.1.1. Market Size & Forecast
- 24.1.2. Market by Colocation Service: Market Size & Forecast
- 24.1.3. Infrastructure: Market Size & Forecast
- 24.2. MARKET SEGMENTATION
- 24.2.1. Electrical Infrastructure: Market Size & Forecast
- 24.2.2. Mechanical Infrastructure: Market Size & Forecast
- 24.2.3. Cooling Systems: Market Size & Forecast
- 24.2.4. Cooling Techniques: Market Size & Forecast
- 24.2.5. General Construction: Market Size & Forecast
- 24.2.6. Tier Standards: Market Size & Forecast
- 25. MARKET BY GEOGRAPHY
- 25.1. AFRICA
- 25.1.1. Investment: Market Size & Forecast
- 25.1.2. Area: Market Size & Forecast
- 25.1.3. Power Capacity: Market Size & Forecast
- 25.1.4. Colocation Revenue: Market Size & Forecast
- 25.2. SOUTH AFRICA
- 25.2.1. Overview: Market Size & Forecast
- 25.2.2. Support Infrastructure: Market Size & Forecast
- 25.2.3. Market by Colocation Service: Market Size & Forecast
- 25.3. KENYA
- 25.3.1. Overview: Market Size & Forecast
- 25.3.2. Support Infrastructure: Market Size & Forecast
- 25.4. NIGERIA
- 25.4.1. Overview: Market Size & Forecast
- 25.4.2. Support Infrastructure: Market Size & Forecast
- 25.5. EGYPT
- 25.5.1. Overview: Market Size & Forecast
- 25.5.2. Support Infrastructure: Market Size & Forecast
- 25.6. ETHIOPIA
- 25.6.1. Overview: Market Size & Forecast
- 25.6.2. Support Infrastructure: Market Size & Forecast
- 25.7. OTHER AFRICAN COUNTRIES
- 25.7.1. Overview: Market Size & Forecast
- 25.7.2. Support Infrastructure: Market Size & Forecast
- 26. APPENDIX
- 26.1. LIST OF ABBREVIATIONS
- 26.2. MARKET SEGMENTATION & DEFINITION
- 26.2.1. Market Segmentation by Cooling Techniques
- 26.2.2. Market Segmentation by General Construction
- 26.2.3. Market Segmentation by Tier Standards
- 26.3. CURRENCY CONVERSION
Pricing
Currency Rates
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