As businesses and governments accelerate digital transformation, demand for data storage, cloud computing, and AI capabilities is surging. This surge in demand is further fueled by emerging technologies, which generates vast amounts of data requiring advanced storage and processing capabilities.
Qatar-based telecom Ooredoo Group announced, on September 24, a major step in its data centre expansion plans, securing QAR 2 billion (US$549.4 million) in financing. The deal is backed by QNB, Doha Bank, and Masraf Al Rayan, with a 10-year hybrid facility aimed at accelerating Ooredoo's data centre and AI infrastructure capabilities across the Middle East and North Africa (MENA) region.
Ooredoo Group CEO Aziz Aluthman Fakhroo noted, "This financing deal marks a major milestone in our strategic vision for expanding our data center and AI business, and we are excited to meet the region’s increasing demand while upholding our commitment to sustainable, energy-efficient infrastructure."
The funds will be strategically used to separate existing data center assets from Ooredoo's telecom operations. It will focus on enhancing capacity and upgrading infrastructure to meet the increasing demand for AI, cloud services, and hyperconnectivity in the MENA region.
The financing deal marks a significant milestone in Ooredoo's efforts to build a robust digital infrastructure, driving growth in regional AI and cloud services, and positioning the company as a critical player in the burgeoning data economy of the MENA region.
This growth aligns with the broader trend in the MENA region, where demand for data centers is expected to rise due to increased cloud adoption and accelerated computing needs. According to MENA Data Center Market: Current Analysis and Forecast (2023-2030) by market research aggregator Global Information, the MENA data center market is projected to grow at a compound annual growth rate (CAGR) of 13.5% during the forecast period, driven by the rise of smart cities, e-commerce, and cloud adoption.
Hikmatu Bilali
