Day one of the Nigerian Peering & Interconnection Forum (ngPIF) marked the initiation of a transformative discourse among key industry players.
Convened under the auspices of the Internet Exchange Point of Nigeria and the Nigerian Network Operators Group, the annual ngPIF brought together a cadre of decision-makers from infrastructure providers, content providers, service providers, and policy-makers.
The two-day forum seeks to catalyze a paradigm shift, fostering a deeper understanding of the complex economics of network interconnection and peering. It aims to bridge the gaps in knowledge, reducing the prevalent information asymmetry and opening avenues for collaborative growth.
As delegates delved into discussions and presentations, Dr Ayotunde Coker, CEO of Open Access Data Centres (OADC), delivered an insightful keynote address that resonated profoundly with the forum’s objectives.
Dr Coker’s insights highlighted Nigeria’s key role in the global data center arena, shedding light on the nation’s rapid ascent in the digital revolution. His speech laid the foundation for a deeper exploration into Nigeria’s emergence as a data hub, providing a clear narrative for the nation’s digital journey.
“Ladies and gentlemen, it’s great to be here, talking about the next big center, Africa scale, where, and how,” he said.
He delineated how Nigeria, bolstered by strategic investments and cutting-edge technology, is well-positioned to become a key player in the digital revolution sweeping across Africa.
Established in 2018, OADC, a subsidiary of the WIOCC Group, embarked on a journey to revolutionize Africa’s digital infrastructure. With a notable investment of $500 million spanning five years (2021-2026), OADC is spearheading the establishment of Tier III certified inter-linked Carrier Neutral and Open Access core data centres and edge facilities.
These state-of-the-art facilities, African-owned and operated, are designed to meet the continent’s diverse and burgeoning digital needs.
“Nigeria will become the next significant hub of data centre capacity, seeing significant expandable capacity reaching the toolbar, making Lagos a key scale winner.
Africa’s digital future is being shaped right here, in the heart of Nigeria, as we witness the shift of workloads from Europe to Africa, driven by the rise of AI and the need for robust data centre solutions.”
OADC’s expertise is bolstered by its affiliation with the WIOCC Group, a behemoth in the digital connectivity sphere. With a 75,000km terrestrial fibre network and a 200,000km subsea fibre network, WIOCC Group ensures seamless end-to-end connectivity across over 1,000 locations in 30 African countries.
Strategic investments in subsea cables like Equiano and 2Africa further solidify Africa’s connectivity web, enhancing data transmission within and beyond the continent’s borders.
Nigeria’s Strategic Significance
Nigeria’s unique geographic location, coupled with its robust subsea cable connectivity, positions it as a prime hub for data centers.
With 155 million internet users, including 110 million with broadband access, Nigeria ranks sixth globally in internet connectivity.
Lagos, the country’s economic powerhouse with 22 million residents and 70-80% broadband penetration, emerges as a resilient epicenter for data center investments, making it a magnet for international businesses.
The European Shift: Workload Substitution and Nigeria’s Appeal
Europe’s escalating demand for data center space, driven by the rise of Artificial Intelligence (AI) workloads, has necessitated the exploration of new frontiers. Facing constraints such as power limitations and planning restrictions, European companies are increasingly turning to Africa, particularly Nigeria, for expansion. The concept of “workload substitution” has catalyzed the establishment of cutting-edge hyperscale data centers, transforming Nigeria into an attractive destination for global enterprises.
Dr Ayotunde Coker’s keynote address at the Nigerian Peering and Interconnection Forum (ngPIF) reiterated the country’s digital journey. With stakeholders at the fore, Nigeria is well-positioned in Africa’s digital transformation. As the continent’s data landscape evolves and workloads migrate from Europe to Africa, Nigeria emerges as a hub of innovation, connectivity, and economic growth, propelling Africa into a new era of digital prowess.
“In conclusion, South Africa will remain the hub, Lagos is more likely to take the capacity substitution from Europe to enable AI to grow, Kenya has very green power and that will emerge. New high-quality hyperscale specified facilities will enable shifting workloads to the continents, new scale hubs will emerge, shifting from South Africa to other hubs; Kenya, Lagos, Morocco, while Lagod locale will be a key scale winner with availability of sub-sea, lower latency, local scale high-quality scale capability.”
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