Africa digital expansion is accelerating as countries across the continent invest in data centres, AI, and cloud infrastructure. These facilities are crucial for supporting compute, storage, and network systems, enabling the flow of data that drives innovation and productivity. Experts report that the African data centre market is expected to reach US$6.81 billion by 2030, nearly doubling from US$3.49 billion in 2024 at a CAGR of 11.8%.

The African AI market is also projected to grow significantly. Valued at US$4.51 billion in 2025, it could surpass US$16.5 billion by 2030 at a CAGR of 27.42%. However, challenges remain. Transmission infrastructure, including power and internet bandwidth, often lags behind growth, potentially slowing AI deployment.

Dr. Krishnan Ranganath, Regional Executive – West Africa at Africa Data Centres (ADC), revealed that outdated grids, terrestrial fibres, and distribution systems are critical issues. “Building data centres is straightforward, but they must be properly connected. Without robust networks, facilities do not achieve their purpose,” he reported.

Fragmentation across countries adds further obstacles. Strict data localisation rules, uneven market maturity, and inconsistent cross-border standards increase costs and limit investment. Experts warn that these issues could prevent Africa from achieving a cohesive digital ecosystem.

Despite hurdles, many African nations are advancing digital infrastructure. Morocco, Kenya, Egypt, Nigeria, and South Africa are attracting cloud providers and preparing for increased AI, cloud, and fintech demand. Projections suggest Africa’s cloud computing market could reach US$45 billion by 2031, fintech US$65 billion by 2030, and the regional digital economy US$1.5 trillion by 2030.

Dr. Ranganath emphasized the need for collaboration. “African countries must work together to create shared standards and guidelines. Regional alignment is key to a unified digital Africa,” he revealed.

Key points:

• Africa’s data centre market projected to nearly double by 2030.
• AI and cloud markets expected to grow rapidly, requiring stronger connectivity.
• Collaboration among nations is critical for a cohesive digital ecosystem.

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