Microsoft and G42 are building a geothermal data center in Kenya

In partnership with Microsoft and other stakeholders, G42 will lead the organization of a $1 billion seed investment across the various components identified in the comprehensive package. One of Kenya’s investment priorities is a state-of-the-art green data center that will be built by G42 and its partners to run Microsoft Azure in a new cloud region in East Africa.

The letter of intent formalizing relations was signed on Friday as part of Kenyan President William Ruto’s state visit to the United States – the first state visit to Washington by a sitting African president in almost two decades.

Sustainable data center infrastructure and the new cloud in East Africa region

Under the agreement, G42, in collaboration with local partners, will design and build a state-of-the-art data center campus in Olkaria, Kenya, powered by completely renewable geothermal energy and designed using cutting-edge water-saving technology. The data center will be powered by and accessed from Microsoft Azure via a new cloud region in East Africa, which will be operational within 24 months of the signing of the final agreements.

This cloud region will provide customers with access to scalable, secure and fast cloud and AI services to accelerate cloud adoption and digital transformation for businesses, customers and partners in Kenya and East Africa.

President Dr William Samoei Ruto stated that: “This partnership is more than just technology. It is about bringing together three countries with a common vision of a technology-empowered nation where every citizen has the opportunity to thrive in a global digital landscape. It is about building a future where Kenya thrives as a digital leader.”

The President emphasized: “In the spirit of mutual growth and shared prosperity, this LOI is a stepping stone towards a brighter, more connected and digitally empowered future for the US, Kenya and the UAE. It embodies our shared desire to close the digital divide, accelerate technological innovation and pave the way for a thriving digital economy that will benefit the entire African continent and beyond.”

East Africa Innovation Lab and Skills Support

Microsoft and G42 will launch and operate the East African Innovation Lab in Nairobi to help Kenyan and other East African startups, entrepreneurs, companies and organizations develop and deploy cloud and artificial intelligence services. The East Africa Innovation Lab will provide design and rapid prototyping sessions using Microsoft tools and technologies, with skills support and mentoring from Microsoft developers who work at the company’s 500-employee African Development Center in Nairobi.

Internet connectivity

Kenya’s Ministry of Information, Communications and Digital Economy will continue to expand its partnership with Microsoft and G42 to expand internet connectivity. G42 and its partners in the UAE ecosystem will leverage their resources to support Kenya’s development of international and domestic maritime and terrestrial fiber optic cable infrastructure.

Microsoft will continue to expand its efforts to provide last-mile wireless Internet access to 20 million people in Kenya and 50 million people in East Africa by the end of 2025. This will build on the company’s partnership with Mawingu Networks, Liquid, CSquared and other local partners in Kenya. It will also include cooperation with M-KOPA, one of the world’s largest suppliers of photovoltaic systems for homes. As part of its fintech financing platform, M-KOPA has pioneered the pay-as-you-go model for smartphone owners, having sold 2 million devices across the region to date.

Digital security, privacy and security

Microsoft and G42 will work with the Government of Kenya and design and operate a new cloud region in East Africa as part of a “Trusted Data Zone” based on global standards for digital security, privacy and security. With technical assistance and support from G42 and Microsoft, Kenya will establish a new data center as part of a “trusted data zone” under which data from other countries may be subject to local regulations even if it is stored and domiciled in Kenya.

Kenya will use the new data center and cloud services for government and civic services and will provide government support by adopting a “cloud first” policy like those introduced in other countries to allow and encourage the government, its agencies, state-owned enterprises and other local entities to move their data and computing services to the cloud.