Rack Centre, a leading carrier-neutral data center operator, is set to commission its new 12-megawatt Lagos data hub on April 10, 2025, in a move that marks a significant milestone for West Africa’s digital infrastructure. The $120 million Tier III facility, known as LGS2, will expand Rack Centre’s capacity to meet the increasing demand for data services in Nigeria and across the region.
The commissioning ceremony will host Bosun Tijani, Nigeria’s Minister of Communications and Digital Economy, and Babajide Sanwo-Olu, Governor of Lagos State, among other key industry stakeholders.
The LGS2 data centre will add 3,240 square meters of white space and six data halls, each with 2 MW IT load, doubling Rack Centre’s installed base of data centre capacity in Nigeria. The facility will also feature four Meet-Me-Rooms, offering enhanced connectivity to international, regional, and local network service providers.
Speaking at a recent press conference, Lars Johannisson, Chief Executive Officer of Rack Centre, emphasized the scale and impact of the new hub.
“This is a triple-digit million-dollar investment, the largest of its kind in West Africa, and this is just the beginning,” Johannisson said.
“With the commissioning of LGS2, we are doubling the installed base of data centre capacity in Nigeria and positioning ourselves as a hyperscale-ready, AI-enabled facility to meet the growing demands of Nigeria’s digital economy.”
Driving Nigeria’s Digital Transformation
The Lagos hub is being positioned as West Africa’s largest AI-ready data centre, featuring energy-efficient cooling systems and sustainability-focused infrastructure. The investment aligns with Rack Centre’s long-term strategy to strengthen carrier-neutral connectivity and support data-driven businesses in Nigeria and across the African continent.
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Industry estimates suggest that building a 1MW data centre costs approximately $10 million, meaning the 12MW LGS2 project represents a $120 million commitment to advancing Nigeria’s technological ecosystem.
Folu Aderibigbe, Chief Sales and Marketing Officer at Rack Centre, highlighted the economic and operational benefits the new facility will offer to businesses.
“The facility will reduce capital flight by keeping data in Nigeria, eliminating the need to spend foreign currency on cloud services hosted abroad,” Aderibigbe said.
“It will also enhance transaction speeds, improve reliability, and boost business resilience. Ultimately, this investment helps businesses cut costs and increase productivity.”
Aderibigbe further emphasized that the LGS2 data hub would play a crucial role in ensuring data sovereignty, allowing data generated, stored, and processed within Nigeria to remain under national control.
