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

March 2023  

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, 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.

Analysts at Ken Research in their latest publication Kenya Data Center Market Outlook to 2027F - Growing Demand from SMEs, Rising Internet Penetration Rate and Rising Number of Facilities to Drive the Kenyan Data Center market in the near future observed that Kenya Data Center Market is in a growing phase. Improvement in network connectivity, government support, and rapid growth in the adoption of big data, and IoT services are some of the factors that will contribute to the Kenya Data Center market growth over the period of 2022-2027F. It is expected that the Kenya Data Center Market will grow at a CAGR of 21.6% for the above-forecasted period.

Kenya Data Center Market

Key Segments Covered in the report:-

Kenya Data Center

By Vertical




By Type of Co-Location



By End User Industry






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Key Target Audience

Data Center companies

Cloud providers (Domestic and Global)

Managed data center companies

Co-location data center companies

Private Equity and Venture Capitalist

Industry Associations

Data Center Constructors

Technology providers

Time Period Captured in the Report:-

Historical Period: 2017-2022

Base Period: 2022

Forecast Period: 2022-2027F

Companies Covered:-

IX Africa

Africa Data Centers

PAIX (Pan African IX Data Centers Kenya Ltd.)


Telkom Kenya

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Key Topics Covered in the Report:-

Market Overview and Genesis of Kenya Data Center Market

Cross Comparison of the DC Market in Kenya with Other Countries (Based on Market Stage, Competition, Number of Data Centers, and Major regions)

Market Size Analysis, 2017 to 2022

Market Segmentation of Kenya Data Center Market

End User Analysis Kenya Data Center Market

Challenges and Bottlenecks in Kenya Data Center Market

Enablers & Growth Drivers in Kenya Data Center Market

Trends and Developments in Kenya Data Center Industry

Reseller Mechanism in the Data Center Market in Kenya

Competition Framework of Kenya Data Center Market

Pricing Analysis of Kenya Data Center Market

Impact of COVID-19 on Kenya data center

Future Outlook of Kenya Data Center Market

Case Study

Analyst Recommendation

For more insights on the market intelligence, refer to below link:-

Kenya Data Center Market

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