Big news for Kenya’s digital scene: Airtel Kenya, through Nxtra by Airtel Africa, has started building a massive 44MW data center at Tatu City on the outskirts of Nairobi. A data center is a huge “digital warehouse” designed to power cloud apps, AI workloads, and everyday online services across the region. It’s being described as East Africa’s largest data center project to date.
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Why does this matter? Because more of our lives now run in the cloud—from streaming and payments to logistics and government services. A reliable, local hub for that computing power means faster apps, better privacy, and services that don’t grind to a halt when international links fail.
What Exactly Is Airtel Building?
The new facility will deliver 44 megawatts (MW) of IT power in phases, with high-density, GPU-ready racks built for modern AI and data analytics. The design targets 99.999% uptime and includes multiple fiber routes and advanced on-site security. The site is slated to be operational by early 2027, with construction now underway at Tatu City.
Think of MW as the “horsepower” available for servers. More MW means more racks, more powerful chips, and more room for customers to grow—whether that’s a fintech scaling across the region or a global cloud provider rolling out new services in Kenya.
Why Tatu City?
Tatu City Special Economic Zone (SEZ) has quietly become a magnet for data centers. It offers industrial-grade infrastructure and an unusual perk: about 95% renewable energy availability for customers on site. That’s a big win for companies chasing sustainability targets and lower energy costs. Businesses in the SEZ also benefit from incentives such as a 10% corporate tax rate for the first 10 years (versus the standard 30%), VAT zero-rating, and exemptions on import and stamp duties—useful when you’re importing thousands of servers and miles of cable.
Tatu City gives Nxtra reliable power, green credentials, and a cost-friendly base to serve East Africa.
How Big Is 44MW In The Kenyan Market?
Kenya’s data center market is growing fast. Research indicates the country had roughly ~20MW of existing capacity in 2024, with up to ~150MW of additional capacity expected by 2028—much of it concentrated around Nairobi. Airtel’s 44MW leap slots right into that growth curve and helps pull more workloads closer to Kenyan users.
To make the scale more concrete, here’s what other players are doing:
- Digital Realty (iColo) expects its NBO2 site to deliver around 6.5MW of IT load.
- IXAfrica recently raised financing to expand its Nairobi campus to a planned total of ~22.5MW.
- Africa Data Centres (ADC) has a Nairobi expansion that adds up to 15MW of IT load.
Against that backdrop, 44MW is a step change, especially because it’s designed for high-density racks that AI workloads demand.
What Changes For Businesses And Users?
Lower latency, better reliability, and stronger data control. Hosting services inside Kenya means less hopping across continents for every request, which can cut lag and improve uptime. It also helps with data sovereignty (keeping sensitive information under local legal frameworks), and can reduce the total cost of running cloud-heavy services.
Who Benefits?
- Fintechs & banks: Faster payments, smoother fraud detection, and compliance-friendly hosting.
- Public sector: Digital ID, health, and e-government systems that need strong privacy and availability.
- Media & gaming: Local content delivery for quicker streams and more responsive gameplay.
- Startups & SMEs: Affordable colocation and cloud on-ramps without shipping data offshore.
As Nxtra’s CEO Yashnath Issur put it, the aim is to build a platform that “empowers businesses, supports governments, and unlocks new opportunities for communities” with reliability, scalability, and energy efficiency top of mind.
Built For A Greener Future
Power is the lifeblood of any data center, and its biggest cost. That’s why building in a location with abundant renewables is such a competitive edge. Tatu City highlights a grid mix where ~95% of energy supplied on site is renewable, with a third coming directly from solar. Combine that with Kenya’s largely renewable national grid, and you get a lower-carbon way to run cloud and AI infrastructure.
For global tech buyers under pressure to cut emissions, this sustainability profile can be just as important as price or performance.
Nxtra’s Bigger Africa Play
The Kenya build follows Nxtra’s other flagship projects, including a 38MW hyperscale site in Lagos that’s already under construction. Airtel Africa has said Nxtra will roll out a pan-African network of core and edge data centers to support enterprises, hyperscalers, startups, and governments across its 14 markets.
In other words, we’re not seeing a one-off bet. We’re seeing the start of a continental platform designed to keep more of Africa’s digital activity on African soil.
How Will This Affect Competition In Nairobi?
Nairobi already hosts several major facilities, and more are coming. The arrival of a 44MW, AI-ready hub at Tatu City should push the market toward higher-density racks, more interconnection, and tighter SLAs. Expect ecosystem effects too: more cloud regions, more content caches, and more local peering as networks gather around large campuses.
We’re also likely to see prices and service tiers evolve. As capacity scales, it often gets cheaper to deploy locally, especially for use cases that crave low latency (think payments, e-commerce, gaming, and AI inference).
Quick FAQ
- Where is the data center? Tatu City Special Economic Zone, near Nairobi.
- How big is it? 44MW of IT power, delivered in phases, with high-density, GPU-ready racks.
- When does it go live? Targeted for Q1 2027.
- What about sustainability? Tatu City supplies about 95% renewable energy and SEZ incentives that lower costs for operators.
Final Take
This project is a milestone for Kenya and the broader region. It promises faster apps, stronger sovereignty, and cleaner power for the workloads that are shaping modern life, from AI to digital payments. If you’re a CIO, startup founder, or policymaker, keep an eye on Nxtra’s build-out schedule and watch for new interconnection options as the campus takes shape. The “Silicon Savannah” is getting a serious upgrade—and the timing couldn’t be better.
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