Kenya's data center market is expected to generate more than $ 100 Mn in revenue owing to its 18+ DC facilities by the end of the year 2027F

Ken Research

GURUGRAM, India, Feb. 6, 2023 /PRNewswire/ -- Kenya's Data Center Market is at a growing stage, being driven by the growing demand from SMEs and rising internet penetration rate. Major Data Center companies in the Kenyan market are icolo.io, IX Africa, Africa Data Centers, PAIX (Pan African IX Data Centers Kenya Ltd.), etc.

• Nairobi and Mombasa are the booming data centers market which continues to attract heavy investment as internet and mobile data usage continues to grow.
• Nigeria, South Africa, and Kenya accounted for more than half of the online shoppers in Africa.
• With the advent of mobile money and integration with formal banking systems, the number of Kenyans with access to electronic financial services has grown rapidly.

Huge Growth Prospects through AI: Kenyans' preference for mobile commerce is expected to lead to an increase in the demand for data centers in the nation. Additionally, new entrants are significantly accelerating market expansion in the upcoming years by meeting the demands of regional businesses and cloud service providers. For instance, Nairobi, Kenya-based Africa Data Centers has announced plans for two additional data centers.

Innovative Delivery Solution: In Kenya, the area of development that will further offer chances for vendors with innovative delivery solutions to grab the market is the country's underdeveloped transportation and distribution infrastructure. An option in this situation would be to use a pay-online, pick-up-in-store arrangement. Additionally, due to a desire to make payments online or through a mobile money account, e-commerce in Kenya has huge potential. Due to these strategies, Kenya's data center industry could experience double-digit CAGR growth in the near future.

New Players in the Market and Partnership with Finance Companies: Kenyan data centers can reach the bulk of their possible end customers because of their solid distribution network. The ability of businesses like Africa Data Centers to offer their customers the highest caliber of interconnected, carrier-neutral, and cloud-neutral data center facilities across Africa will be strengthened by a strategic network of alliances. Additionally, continued government assistance will aid in the country's market expansion.