Africa Data Centres (ADC) has received an investment of US $30million from United States international investment agency to facilitate in expansion of
Africa Data Centres (ADC) has received an investment of US $30million from United States international investment agency to facilitate in expansion of storage facilities in Nairobi Kenya that provide digital data storage services to businesses across the east, central and southern Africa region.
The funds are top up to the US $83million dispersed to the company last year as part of the $300 million commitment announced by the US International Development Finance Corporation (DFC) in 2021 to help the company expand its operations on the continent.
Growing demand
ADC’s chief executive Tesh Durvasula who revealed the report said the funds has paved way for constructions to start. He further explained that demand for their services is growing and they won’t be able to sustain it with the current 4.5MW capacity which is rapidly getting exhausted, necessitating the expansion. The facility to be developed will be more than triple its current capacity to 15 megawatts (MW), a project expected to end by mid-next year.
“Our customers are mainly the Africa 500, which are the continent’s largest companies across financial services, healthcare, government, and information, communication, and technology sectors. Eventually we will be able to expand to 20 or 25MW capacity if we witness a continued growth in demand. The expansion will enable Africa Data Centres clients to grow and scale depending on their requirements,” Mr Durvasula said.
Hardy Pemhiwa, the chief executive of ADC’s parent company, Cassava Technologies, said they believe data centre will have a crucial role in the continent’s digital transformation and economic growth.
“Without them, the push towards a digital economy in Africa will be missing a key pillar. Our decision to increase our investment in our data centres in Kenya is in recognition of the position the country now occupies as a leader in the adoption of digital technologies in Africa. Despite being home to roughly 17 percent of the world’s population, Africa accounts for less than one percent of available global data centres. Bridging this gap is estimated to mean an annual investment of $4 – $7 billion. Investments like the US’s [are] helping to bridge that gap,” he said.