Africa’s largest telecom operator, MTN Group, is in advanced talks with US and European firms to develop data centers across the continent to power artificial intelligence (AI) services.
The move is part of the company’s strategy to fill Africa’s massive AI infrastructure gap and unlock new revenue streams, according to CEO Ralph Mupita.
Mupita, who disclosed this in an interview with Bloomberg, said MTN will directly fund part of the investment for the AI data center build-out while working with global partners, including co-investors, AI infrastructure firms, and hyperscalers such as Microsoft.
The goal is to construct facilities, sign up tenants needing AI computing capacity, and rent out access to businesses and governments across Africa.
“We are now in the commercial negotiation phase and shortlisting partners who can help us scale. Our goal is to conclude these partnerships within the year,” Mupita told Bloomberg in the interview.
MTN’s Genova strategy
MTN said its AI data center unit, known as Genova, will play a key role in its broader plan to monetize infrastructure, open platforms to third parties, and drive new revenue growth.
Potential partners would follow MTN into the 16 African markets where it operates, particularly where demand for AI services is rising.
A major challenge, however, remains reliable electricity supply. Mupita noted that MTN is exploring all available options to secure efficient power sources for its planned data centers in markets with fragile energy infrastructure.
- Under the Genova strategy, MTN Group recently announced that it had begun deploying AI solutions to optimise network traffic and enhance service delivery in Nigeria, as part of a broader continent-wide strategy to transform its operations using responsible AI technologies.
- The Group said AI is now being operationalised at scale across its operations through the MTN Genova transformation programme.
- According to MTN, the deployment in Nigeria is part of a series of targeted AI use cases across key domains, including intelligent fuel consumption management for data centres in South Africa, dynamic energy management in Benin, and fibre cut sensing in Côte d’Ivoire.
- Meanwhile, MTN Nigeria in July this year launched what it described as West Africa’s largest Tier III data centre—and one of the largest in Africa.
- Named the Sifiso Dabengwa Data Centre, the facility has a capacity of nine megawatts and is equipped with cloud infrastructure that the telco claims rivals offerings from Amazon, Microsoft, and Google.
Africa’s AI infrastructure gap
Despite having the world’s youngest and fastest-growing population, Africa hosts less than 1% of global AI data center capacity.
Currently, South Africa accounts for most of the continent’s computing power, with hyperscalers like Microsoft, Alibaba, and Amazon providing cloud services.
- Other players are also moving into the space. Microsoft and Abu Dhabi’s G42 recently announced a geothermal-powered data center in Kenya, while Indian billionaire Sunil Mittal plans to expand AI infrastructure in Nigeria through Airtel Africa and Nxtra.
- Last month, Airtel Africa also signed a multi-year, multi-million dollar deal with Xtelify to deploy a cutting-edge, AI-powered software platform aimed at simplifying telecom operations and improving customer experience across its 14 African markets.
- Through the deal, Airtel Africa will deploy the Xtelify Data Engine and Xtelify Work platforms to empower its 150,000 field agents with deep market insights that enable micro-targeted strategies.
