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Nigeria Courts Chinese Investors for $671 Million Data Center Market

Nigeria Courts Chinese Investors for $671 Million Data Center Market
Monday, 01 September 2025 17:18
  • Nigeria eyes $671m data center market by 2030, seeks Chinese investors.
  • Rising mobile data, e-commerce drive sector growth amid tough competition.
  • Success hinges on robust, flexible infrastructure and regulatory alignment.

Nigeria is seeking Chinese investment to expand its fast-growing data center market, which is projected to reach $671 million by 2030, according to the Nigeria-China Strategic Partnership (NCSP).

Joseph Tegbe, NCSP’s managing director, issued the call during the Digital Silk Road Connection Event in China last week. He said Nigeria’s surging demand for digital capacity—driven by a 40% annual increase in mobile traffic and one of Africa’s largest internet user bases—offers a strategic opportunity for stronger Asia-Africa cooperation under Beijing’s “Digital Silk Road” initiative.

Nigeria had 169.3 million mobile subscriptions and 138.2 million internet subscriptions as of 2024, official data show. The country’s data center market was valued at $278 million last year, with growth fueled by smartphone adoption, e-commerce, and rising mobile data consumption, according to Mordor Intelligence.

The sector, however, is increasingly competitive. Key operators include Africa Data Centers, Digital Realty’s Medallion Communications, MDXi (MainOne by Equinix), and WIOCC. Telecom groups MTN and Airtel Africa have also entered the market as part of broader diversification strategies.

Mordor Intelligence said success will depend on providers offering robust and flexible solutions, including reliable connectivity, direct cloud access, resilient infrastructure, and stable power supply. Investments in skilled labor, advanced security, cooling technologies, and strong regulatory relationships will also be critical.

The report added that operators must balance expansion plans with demand while preparing for emerging areas such as edge computing and hybrid cloud.

For now, Tegbe’s remarks remain an open invitation to Chinese companies. It is not yet clear how Beijing or Chinese investors will respond, nor the size of potential commitments. Tegbe previously announced that China had pledged $20 billion in investments for Nigeria’s key sectors, though no breakdown has been disclosed.

Isaac K. Kassouwi

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