US-based digital infrastructure company Equinix has officially launched its first International Business Exchange data centre in South Africa.
The multimillion-rand facility is located in Germiston, on the East Rand, close to the Oliver Tambo International airport.
The company first announced its plans to launch a local data centre in December 2022, saying it was looking to invest $160 million (R2.8 billion) in the facility.
In November 2023, Sandile Dube, MD of Equinix South Africa, confirmed the near-R3 billion investment to construct the data centre.
At the time, several stakeholders − including US ambassador to South Africa Reuben E Brigety II and senior VP of sales at Equinix EMEA Johan Arts − conducted an onsite inspection of the basic structure of the data centre.
Fast forward to 23 October 2024 and upon completion of the first phase, the new carrier-neutral facility has been unveiled.
It provides over 1 900 square metres of co-location space in its initial phase, with plans for expansion to more than 9 515 square metres at full build-out.
The launch comes as South Africa witnesses numerous investments in data centres. Vantage, Digital Realty, Africa Data Centres, Microsoft, Google, Amazon Web Services and Alibaba have all recently made significant investments in local data centres.
According to Equinix, the site has the power capacity to enable it to accommodate high-density deployments, with the capability to implement liquid cooling to support them.
Dubbed JN1, the data centre has 700 cabinets in its initial phase, with plans for 3 475 cabinets when fully built-out.
The data centre features new deployments from Liquid Intelligent Technologies, Intelys Technology Group, Seacom and WorkOnline Communications, as well as the INX-ZA’s Johannesburg Internet Exchange.
Equinix expansion
JN1 is now listed among Equinix’s 270 data centres globally. The company has set aside $390 million to expand its data centre footprint, with possible additional locations in Cape Town and Durban.
At the JN1 launch, Mondli Gungubele, deputy minister of communications and digital technologies, said SA must participate in the process to source technology that can address challenges and provide practical use cases.
“This financial commitment is trust in Africa’s digital transformation and future. This is part of the South African government’s mandate to drive inclusive growth and ensure all citizens have access to and can enjoy digital infrastructure.”
Gungubele said the country, surrounded by the Atlantic and Indian oceans, and with undersea cables that connect Africa to the world, serves as a strategic gateway to the global digital community. “These are the ‘veins’ in which data flows, and ensures South Africa is at the forefront of global connectivity.”
Nkosindiphile Xhakaza, executive mayor of Ekurhuleni, said the new data centre has created 750 local jobs in technology and construction, and has already generated R3 billion for SA’s economy.
“We are here to celebrate this milestone. It does not only mean an advancement of SA’s technology and digital transformation, but also hope and economic growth for the city, the region, and indeed, the country,” commented Xhakaza.
Equinix says it is committed to sustainability, with a near-term approved science-based target to reduce its scope one and two emissions by 50% by 2030, against a 2019 baseline.
It notes the opening of this new site demonstrates Equinix’s commitment to the continent, as it continues to invest in its African operations.
In April 2022, it acquired MainOne, which has data centres in Nigeria, Ghana and Cote d’Ivoire.
US investment in SA
Ambassador Brigety said the data centre represents a strengthening of relations and America’s commitment to supporting Africa’s digital future.
He added the investment falls in line with the US Digital Transformation with Africa initiative, launched by president Joe Biden in 2022. The objectives are to improve digital literacy, access to digital resources and empower Africa to lead the charge in digital transformation.
“This is about helping to build infrastructure to support Africa’s digital future,” said Brigety.
Dube added that the data centre can accommodate the interests of network service providers, hyperscalers and systems integrators.
“Think of it as the ‘airport of the internet’,” he said.
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