By Adedapo Adesanya
The Lagos State government plans to expand the city’s data centre capacity to over 250 megawatts (MW) by 2030 as part of efforts to strengthen its digital infrastructure ecosystem.
This was disclosed by the state’s Commissioner for Innovation, Science, and Technology, Mr Olatubosun Alake, at the launch of the Kasi Cloud LOS1 data centre facility in Lekki. Nigeria Sovereign Investment Authority (NSIA) invested in Kasi Cloud through an $8 million convertible loan note in 2021.
Mr Alake said Lagos already hosts nearly three-quarters of Nigeria’s commercial data centre capacity, adding that the government intends to expand its infrastructure footprint significantly over the next five years.
“There are about 146 additional megawatt data centres planned in the pipeline,” he said. “We envisage that by 2030, we would have over 250 megawatts of data centre capacity in Lagos, three times the current capacity growth.”
The expansion comes as demand for cloud services, AI computing power, and local data storage continues to grow across Nigeria’s digital economy, with Lagos at the forefront, housing thousands of businesses and startups.
Mr Alake said the Kasi Cloud facility represents Lagos’ entry into “large-scale hyperscale AI infrastructure,” signalling the state’s ambition to evolve beyond being known primarily as a startup hub into a major centre for digital infrastructure and AI computing.
“Lagos is no longer simply a startup city,” he said. “It is an infrastructure city.”
The Kasi LOS1 facility is designed as a 40MW hyperscale data centre campus, beginning operations with an initial 7.2MW IT load.
According to Mr Alake, the facility includes advanced GPU computing infrastructure powered by Nvidia H100 and H200 chips, alongside liquid cooling systems and cloud infrastructure services designed to support AI workloads.
The Lagos State government believes such infrastructure will become critical as AI adoption accelerates globally.
Mr Alake said the state is investing in fibre optic networks, smart city technologies, university innovation programmes, and digital government systems to prepare for the transition.
“The AI economy is going to require hundreds of megawatts,” he said. “The market has already made its decision about where digital infrastructure belongs.”
On his part, Mr Johnson Agbogun, co-founder and chief executive officer of Kasi Cloud, said the project was built to reduce Nigeria’s dependence on foreign cloud infrastructure and give African businesses more control over how their data and AI systems are developed.
“Nigerian enterprises are currently spending $850 million every year on foreign cloud infrastructure,” he said. “Every naira spent abroad on cloud and AI infrastructure helps build capabilities somewhere else.”
He added that the facility runs GPU-powered AI workloads from local enterprises and described the Lekki campus as “the beginning of Nigeria’s AI factory.”
“As artificial intelligence reshapes economies globally, the nations that control their own compute infrastructure and data will be the ones positioned to lead,” added Mr Kolawole Owodunni, NSIA’s Executive Director and Chief Information Officer.