MTN Nigeria data centre opens as West Africa’s largest, offering naira-priced cloud services to disrupt the market and boost Nigeria’s digital transformation

MTN Nigeria data centre operations have officially commenced with the launch of the Sifiso Dabengwa Data Centre in Ikeja, Lagos.

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The centre is now West Africa’s largest commercial data hub, showcasing MTN’s \$240 million investment in reshaping the region’s digital ecosystem.

The facility, named after former MTN Group CEO Sifiso Dabengwa, marks a strategic entry into Nigeria’s growing cloud and data hosting market.

Built as a pre-fabricated modular facility, the centre features 96 containers and an initial capacity of 1,500 racks.

MTN operates the centre as a Tier III facility, with an initial IT load of 4.5 megawatts.

Plans are already underway to expand capacity to 14 megawatts within 24 months, with the goal of upgrading the facility to Tier IV standards to ensure near-total uptime and fault tolerance.

With the launch of the MTN Nigeria data centre, the company positions itself to compete with global players such as Amazon Web Services, Microsoft Azure, and Google Cloud.

This move signals MTN’s ambition to transform from a telecommunications operator to a fully integrated technology provider.

MTN’s local pricing strategy is seen as a competitive advantage.

By charging customers in naira rather than US dollars, the company shields Nigerian businesses from volatile exchange rates and improves affordability.

This makes their cloud offerings more accessible to startups, SMEs, and government agencies alike.

Beyond pricing, MTN introduces Nigeria’s first self-orchestration feature.

Nigerian businesses spent up to $850 million on cloud services in 2024 alone. This highlights both demand and a need for localised, affordable alternatives.

This allows users to manage their own computing resources directly through the platform, improving control, flexibility, and efficiency for businesses of all sizes.

“Nigerian businesses spent up to $850 million on cloud services in 2024 alone. This highlights both demand and a need for localised, affordable alternatives,” said Lynda Saint-Nwafor, MTN’s Chief Enterprise Business Officer.

By storing data locally, the centre significantly reduces latency, resulting in improved system performance and reliability.

This benefits consumers and enterprises that rely heavily on real-time access to cloud services.

The Abia State Government is among the first to partner with MTN on this initiative.

Under a new memorandum of understanding, Abia will leverage the facility for broadband deployment, digital governance solutions, and affordable devices for civil servants—showcasing the centre’s broader role in national development.

Analysts project the Nigerian cloud computing market will reach $1.63 billion in 2025. Within this, infrastructure-as-a-service is expected to hit $500 million, offering MTN a strong opportunity to lead.

CEO Karl Toriola confirmed the centre is central to the company’s Vision 2025, which aims to position MTN as a digital-first company.

“This is not just a data facility. It is a launchpad for innovation and economic transformation,” he said.

By supporting startups, MSMEs, and public sector digitisation, the MTN Nigeria data centre aligns with Nigeria’s goals for digital sovereignty, local content development, and economic diversification beyond oil.

Looking ahead, MTN plans to introduce AI-focused infrastructure within the facility, enabling businesses to deploy machine learning and advanced analytics capabilities with local hosting.

This could spark new waves of innovation in healthcare, fintech, agriculture, and education.

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The Sifiso Dabengwa Data Centre, therefore, is more than a physical infrastructure. It represents MTN’s bold step to redefine connectivity and cloud solutions in Africa, placing Nigeria at the heart of the continent’s digital future.