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Data Center Operators to Invest Massively in Growth of Digital Infrastructure Across Africa

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Leading data center operators across Africa are investing massively in expanding their footprint to power the explosive growth in data consumption and digital services fuelled by the COVID-19 pandemic.

Server racks in server room data center.

These investments will ensure that large enterprises delivering services across Africa, and global Content Delivery Networks will be able to provide seamless and uninterrupted services to their subscribers without incurring the costs of building their own data centers.

This was revealed at the recently concluded plenary session at the International Telecoms Week 2021 themed “Explore the growing Data Center ecosystem in West Africa”, sponsored by MainOne.

The panel comprising of the leadership of leading data center businesses across the continent included the CEOs of MainOne, Funke Opeke, Ayotunde Coker of Rack Center, Wouter van Hulten of Pan-African Internet Exchange Data Centres (PAIX), Stephane Duproz of Africa Data Centres and was moderated by Guy Zibi of Xalam Analytics, the leading analyst covering data center developments on the continent.

The industry leaders highlighted the acceleration of investments in the digital infrastructure space in the region brought about by the COVID-19 pandemic which exposed the gaps that exist in the market.

Of particular note was the fact that West Africa currently delivers less than 10% of the total African data center capacity and that Africa which is home to about 17% of the world’s population has only 1% of the global data center capacity.

This under-representation points to the fact that majority of data content consumed in Africa is hosted outside the continent and the market is severely underserved.

The speakers agreed that the market was ripe for expansion given the increasing access to broadband and the rapid uptake of services by large enterprises, FinTechs, and global players entering the region for the first time.

In addition, the companies expect that growth to skyrocket with the new submarine cables planned by large global content providers and the deployment of edge nodes in the region.

The CEO of MainOne reviewed the company’s role in closing the gap in the region’s Data Center capacity, stating “In Ghana, we recently launched a Tier III Data Center in Appolonia City, and in Nigeria, we are expanding our Lekki Data Center facility in Lagos which is near capacity with a new build. We will also break ground on our expansion in the VITIB Free trade zone in Abidjan before the end of the year.

The session closed with reflections around the need for sustainability of Data Centers as more organizations focus on becoming carbon neutral. MainOne demonstrated leadership in this area stating “Power remains a challenge in this part of the world and we realised that while there is power available in the grid all across Africa, distribution is one of the key challenges.

“Our strategy has been deploying facilities with direct, privately enabled, access to grid power or independent power plants. This strategy has delivered 94% grid power availability to the Lekki Data Center where we are already exploring replacing diesel with gas and renewable sources for our residual power needs.”

The 2021 Africa Panel session at ITW, continuously sponsored by MainOne for 8 years remains the leading platform for key global players to share perspectives on the growth of digital infrastructure across Africa.


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Telecom

Reps Approve NCC’s N479.508Bn Budget for 2026

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House of Representatives, during Tuesday’s plenary, approved the sum of N479.508 billion budget for the Nigerian Communications Commission (NCC) for the 2026 fiscal year.

Reps Approve NCC’s N479.508Bn Budget for 2026

The resolution was passed after the clause-by-clause consideration of the report at the Committee of Supply.

While giving synopsis of the report,  Peter Akpatason, chairman, House Committee on Communications, explained that the total sum of N479,508,260,000 is to be issued from the Statutory Revenue Fund of the Nigerian Communications Commission.

Out of the issued sum, N124,440,652,000 is meant for Recurrent Expenditure; N26,779,045,000 is for Capital Expenditure; N32,011,492,000 is for Special Projects, while the sum of N20 billion is for Transfer to Universal Service Provision Fund (USPF), N276,277,071,000 is for Transfer to Federal Government for the financial year ending 31st December, 2026.


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NCAN Commends NCC for Mandating Telcos to  Compensate Subscribers for Poor Services

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National Consumers Advocacy Network (NCAN), a  consumer advocacy group focused on protecting the rights of consumers, has commended the Nigerian Communications Commission (NCC),for introducing a policy compelling telecom operators to compensate subscribers for poor network service.

NCAN Commends NCC for Mandating Telcos to  Compensate Subscribers for Poor Services

In a statement issued on Tuesday and signed by Dr Tobi Olanrewaju, its president, the group described the directive as a bold and consumer-focused intervention.

The group noted that the move, which has already seen major telecom operators begin compensating subscribers with airtime credits, marks a shift from what it described as regulatory leniency to measurable accountability.

“For years, Nigerian telecom subscribers have endured suboptimal service quality with little or no consequence for operators,” the statement read.

“What we are witnessing under Dr Aminu Maida is a clear assertion that regulatory oversight must translate into tangible benefits for consumers. This is not merely about compensation; it is about restoring trust in the system.”

According to Olanrewaju, the policy’s provision for automatic compensation without requiring subscribers to lodge complaints demonstrates a strong understanding of the challenges faced by many Nigerians.

“This intervention acknowledges a fundamental principle that the burden of service failure should not rest on the consumer,” he said.

He added that linking compensation directly to actual service disruptions at the local level sets a new standard in regulatory practice.

The group also praised the Commission’s decision to monitor service quality at the Local Government Area level, describing it as a step towards capturing real user experiences rather than relying on general national data.

Olanrewaju further commended the Commission’s simultaneous push for telecom operators to invest in network upgrades, noting that the approach addresses both immediate and long-term concerns.

“While consumers receive immediate value for past deficiencies, the root causes of poor service are being systematically addressed,” he said.

The advocacy group urged telecom operators to embrace the directive as an opportunity to rebuild consumer trust and improve service delivery.

It also called on other regulatory agencies to adopt similar people-centred approaches in tackling systemic challenges across sectors.

“Dr Maida has demonstrated that regulation, when properly executed, can serve as a powerful tool for social and economic justice,” Olanrewaju added.

The group reaffirmed its support for the Commission’s ongoing reforms and called for sustained collaboration between regulators, operators, and consumers.

It added that the true success of the policy would be measured by lasting improvements in network performance across the country.


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Telcos Recover N2 Trillion following Crackdown on Indebted Subscribers

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Telecommunications operators in Nigeria have reportedly recovered over N2 trillion from subscribers in a sweeping debt recovery campaign that has left millions unable to make calls due to unpaid airtime and data loans.

Telcos Recover N2 Trillion following Crackdown on Indebted Subscribers

The aggressive enforcement follows new compliance requirements introduced by the Federal Competition and Consumer Protection Commission (FCCPC), which telecom operators reportedly failed to meet, according to The News Chronicle.

This led to the suspension of airtime and data lending services and triggered a nationwide push to recover outstanding debts.

As part of the measures, indebted subscribers have had their lines restricted from making calls until their loans are fully repaid.

The move has disrupted daily life across Nigeria, particularly for small business owners and workers who depend heavily on mobile connectivity.

The lending service, valued at over N400 billion annually, has long served as a financial lifeline for many Nigerians, especially those without access to formal credit systems.

However, its sudden suspension has forced users to seek alternative means to clear their debts or abandon their lines altogether.

Meanwhile, a legal dispute involving Nairtime Nigeria Limited has added another layer of complexity.

A Federal High Court in Abuja recently ordered MTN Nigeria and Airtel Nigeria to maintain access to key telecom infrastructure, including USSD and SMS services linked to the platform.

Despite the court’s interim injunction, lending services tied to the platform remain unavailable, indicating ongoing tensions between telecom providers, regulators, and fintech firms.

Industry stakeholders warn that the disruption highlights deeper challenges within Nigeria’s digital economy, where telecom infrastructure increasingly supports financial services.

Millions of users who rely on airtime and data borrowing remain disconnected, caught between regulatory policies, corporate disputes, and the need for affordable communication.

As pressure mounts, both regulators and telecom operators are expected to seek a resolution that balances consumer protection with uninterrupted access to essential digital services.


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