Data Centers in Lagos

Lagos – West Africa's Digital Gateway

Lagos is the primary digital hub for West Africa, offering the most advanced and carrier-dense colocation environment in the region. For businesses targeting Nigeria's massive consumer market and the broader Economic Community of West African States (ECOWAS), deploying in Lagos provides the lowest latency access and direct interconnection to local partners. This strategic presence is essential for application performance, content delivery, and securing a competitive edge in Africa's largest economy.

Lagos: At A Glance

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Lagos is the undisputed connectivity hub for Nigeria and West Africa, with a density of over 12 network providers, as of September 2025. The market is anchored by several high-quality, carrier-neutral facilities that provide access to every major local, regional, and international network.

Direct Cloud On-Ramps: The market features over 1 direct cloud on-ramp, enabling dedicated access to 1 cloud region as of September 2025. AWS offers a Direct Connect presence in Lagos. Other major cloud providers are accessible via network-to-network interfaces and private virtual connections offered by local colocation providers.

Internet Exchange Points (IXPs): The primary exchange is the Internet Exchange Point of Nigeria (IXPN), which has a significant presence in Lagos. Peering at IXPN dramatically improves local traffic routing, reduces latency for Nigerian users, and lowers transit costs.

Bare Metal: Bare metal server options are available from providers operating within local data centers, offering dedicated compute for performance-sensitive workloads. Providers like Hivelocity and Latitude.sh can serve regional needs.

Power Analysis

Average Cost Of Power: The average industrial electricity rate is approximately ₦24.60/kWh, as of September 2025. While grid power is affordable, its reliability challenges make robust, multi-fuel backup generation a standard and necessary component of data center operational costs.

Power Grid Reliability: The national grid is known for inconsistencies. Consequently, all enterprise-grade data centers in Lagos are engineered with extensive N+1 or 2N redundant power systems, including battery UPS and significant on-site diesel generator capacity, to guarantee uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers are strategically located to serve the key commercial hubs of Victoria Island and Ikoyi, the heart of Nigeria's financial, technology, and corporate sectors. This proximity ensures low-latency connectivity for banks, startups, and multinational corporations.

Regional Market Reach: From Lagos, businesses can effectively serve Nigeria's 200+ million people and extend their reach into neighboring West African countries like Ghana, Benin, and Togo. The city is the landing point for numerous subsea cables connecting Africa to Europe and the Americas.

Tax Advantage For Data Centers: Nigeria's Pioneer Status Incentive is a significant financial benefit for data center operators and their customers. This program can provide a corporate income tax holiday for up to five years, directly lowering the cost of establishing and operating critical digital infrastructure.

Natural Disaster Risk

Lagos has a High natural disaster risk profile, with an INFORM score of 7.0 out of 10, as of September 2025. The risk assessment is not driven by seismic or storm activity but by specific environmental and infrastructure factors.

Key natural hazards include:

• River Flood: Score 8.2/10
• Coastal Flood: Score 6.5/10
• Drought: Score 3.1/10
• Earthquake: Score 0.1/10

While tropical cyclone and tsunami risks are negligible, the primary operational threat for data centers is localized flooding. Facilities are designed and built with extensive flood mitigation measures to ensure operational continuity.