Egypt Data Center Market Report, Share & Analysis 2025-2033
Egypt Data Center Market Overview
Market Size in 2024: USD 223.2 Million
Market Size in 2033: USD 484.78 Million
Market Growth Rate 2025-2033: 8.26%
According to IMARC Group’s latest research publication, “Egypt Data Center Market Size, Share, Trends and Forecast by Components, Material Used, End User, and Region, 2025-2033”, the Egypt data center market size was valued at USD 223.2 Million in 2024. Looking forward, IMARC Group estimates the market to reach USD 484.78 Million by 2033, exhibiting a CAGR of 8.26% from 2025-2033.
How AI is Reshaping the Future of Egypt Data Center Market
- AI is driving Egypt’s data center market by enabling smarter infrastructure management, which improves efficiency and supports growing data demands from AI workloads and big data analytics.
- The Egyptian government’s collaboration with UAE partners plans 1 GW of data center capacity investment, accelerating AI-ready facility development and boosting digital economy growth.
- Egypt’s launch of its first government cloud and data center facility integrates AI for data analysis, decision-making, and centralized disaster recovery to enhance public sector digital transformation.
- Significant investments from companies like Khazna Data Centers and Raya Data Center, exceeding $250 million, are fueling the construction of hyperscale data centers supporting AI innovation.
- Egypt’s National AI Strategy promotes AI talent development, regulatory frameworks, and ecosystem growth, positioning the country as a rising AI and data infrastructure hub in the MENA region.
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Egypt Data Center Market Trends & Drivers:
Digital transformation in Egypt is one of the key drivers of the growth of the data center market. With the growing adoption of cloud computing, Artificial Intelligence, and Big Data Analytics, the demand for digital transformation is increasing, driving the investment in hyperscale and colocation facilities in Egypt. The market is worth over $220 million. Government-led initiatives such as "Digital Egypt" to improve digital infrastructure also create demand for data centers throughout Egypt. The development will support Egypt's drive for a digital economy. Rapid urbanization and a large, young, tech-savvy population are expected to market digital services across sectors.
The Egyptian government is an important driver of market momentum through policy support and investments. Recently, Egypt signed a landmark MoU with UAE's Ministry of Investment for the joint development of data centers with one gigawatt of data center capacity. The partnership plans Egypt's ambition into a regional digital hub and involves regulatory policies from bodies such as the NTRA, aimed at attracting hyper-scale data centers and cloud service providers, along with promoting sustainability practices including renewable energy use in data centers.
Another trend involves data centers. They are green. They are sustainable. They use renewable energy. In Egypt, there is great potential in solar and wind energy. In this respect, a consortium has plans to build a green data center with 200 MW of renewable energy capacity. The adoption of new cooling technologies based on air and liquid is a response to the water-based cooling requirements, especially in the arid climate of Egypt. It also aligns with global ESG standards to attract global customers looking for sustainable datacenter alternatives. Egypt, at the intersection of Africa, Asia and Europe, is an attractive location for investors seeking regional digital services.
Egypt Data Center Industry Segmentation:
The report has segmented the market into the following categories:
Analysis by Component:
- Solution
- Services
Analysis by Type:
- Colocation
- Hyperscale
- Edge
- Others
Analysis by Enterprise Size:
- Large Enterprises
- Small and Medium Enterprises
Analysis by End User:
- BFSI
- IT and Telecom
- Government
- Energy and Utilities
- Others
Regional Analysis:
- Greater Cairo
- Alexandria
- Suez Canal
- Delta
- Others
Competitive Landscape:
The competitive landscape of the industry has also been examined along with the profiles of the key players.
Recent News and Developments in Egypt Data Center Market
- July 2025: A tragic fire at a key Telecom Egypt data center in Cairo resulted in the loss of four lives and injured 26 others. The cause of the fire remains under investigation, and the incident caused disruptions in internet and phone services, highlighting the critical importance of data center safety and disaster preparedness measures in Egypt’s growing digital infrastructure.
- May 2025: Egypt continues to experience rapid growth in its data center industry, fueled by strategic investments and innovation. A major project underway is the Kemet Data Center in the Suez Canal Economic Zone, developed by INTRO Technology in partnership with Oman Data Park and Sterling & Wilson. This $450 million facility will rely partly on solar energy and aims to serve regional and international markets with advanced cloud, IoT, and digital transformation services.
- June 2025: Egypt is pushing the envelope in sustainable data center operations by focusing on energy and water efficiency. New cooling technologies such as liquid cooling and air-based systems are being adopted to reduce water consumption while improving energy efficiency. Furthermore, several green data centers powered by solar and wind energy are being developed to meet the high reliability demands of data center clients and comply with ESG standards.
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