Why NTT DATA is a data center powerhouse in Southern Africa

With public cloud providers already well-established in South Africa, many organizations have migrated to the cloud or made great strides in doing so.

However, these organizations typically still maintain a data center footprint for legacy workloads that can’t be migrated to the cloud because of data sovereignty and security concerns. In addition, many are rethinking their public cloud strategies, in part due to escalating costs and fluctuating exchange rates. And, due to the rapid rise of GenAI, solutions are emerging for AI infrastructure housed in organizations’ data centers.

But have you ever tried running your own data center? It’s like hosting a never-ending party where you have to keep the lights on, the music playing and the guests happy, all while juggling a dozen other tasks.

The challenges include the hefty cost of buying and maintaining all the equipment, including generators that kick in during power failures and cooling systems that keep equipment at the ideal operating temperature. Then there are rising energy costs and the tricky business of finding and keeping skilled people to manage it all. Also, amid the global push to go green, don’t forget about the pressure to meet your sustainability goals!

Now, picture this: instead of managing this demanding event yourself, you hand over the reins to a professional party planner. A data center service provider takes care of everything, from managing the infrastructure to making sure it’s as ecofriendly as possible. This leaves you free to enjoy the party — in other words, focusing on growing your business while the experts keep your IT infrastructure up and running.

It’s key, of course, to choose a provider with the right experience in the country or region where you operate and gain a partner who understands the local challenges and has a proven track record of keeping things running smoothly when times get tough.

What’s happening in the Southern Africa data center market?

In South Africa, that partner is NTT DATA, previously known as Dimension Data. We have four decades of experience in the region, including as Internet Solutions, and we continue to deliver the level of service that our clients have come to expect, only now we’re doing so under a global banner and supported by a team of global experts in data center technology and innovation.

So, what are we seeing in the local market?

First, organizations are giving plenty of thought to cloud modernization and migration — in other words, deciding what goes into the cloud and what stays in a data center. The cost of cloud, which can rise rapidly as workloads expand, and fluctuations in currency exchange rates add complexity to these decisions. Even when cloud services are priced in a local currency, many public cloud providers’ costs are based in foreign currencies. So, to deliver the returns their shareholders expect, they will factor foreign-currency escalations into their local pricing.

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Second, organizations are daunted by the management challenges of data centers. This ranges from the capital expenditure in building and equipping a data center to finding and retaining the scarce skills needed to run it. Even the cost of fuel can cause headaches in countries where regular power failures lead to higher-than-expected generator use — something that we’re all too familiar with in South Africa.

Then, of course, sustainability has become a prime consideration, especially as the growth of GenAI causes a spike in demand for data center capacity — with severe implications for energy use and net-zero targets. To limit the impact of business on the environment, countries around the world are putting in place regulations and emissions targets. Local subsidiaries of global organizations are being held to these targets, and even local organizations have to consider their environmental impact when they do business with customers in markets with major sustainability requirements, who then pass these on to their suppliers.

Johannesburg 1 leads the pack

Over the years, we’ve played a pivotal role in developing and managing data centers across South Africa, both in major metros and in key secondary metros. Since 2022, this includes the Johannesburg 1 Data Center — the first facility built on the continent by NTT DATA’s Global Data Centers, a leading global provider of data centers — which we see as a promising area of growth given the market trends highlighted above.

This state-of-the-art data center — a Tier III-equivalent facility — is a beacon of technological advancement in the economic heart of South Africa. Now delivering 12MW of IT load, it spans more than 6,200m² of IT space and NTT DATA offers colocation options that can be tailored to diverse client needs, from subspace in a rack to white space for clients to deploy their IT and AI infrastructure.

The facility itself is located away from the major data center cluster in Isando, making it a resilient option for both primary and secondary hosting requirements.

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The Johannesburg 1 Data Center is a beacon of technological advancement in the economic heart of South Africa

Connectivity is, of course, a key aspect. Johannesburg 1 is carrier- and cloud-neutral, with a range of connectivity options that allow our clients to integrate and communicate easily across a range of networks, cloud services and internet exchange points.

In late 2024, a Johannesburg Internet Exchange (JINX) node was added to the data center. JINX is Africa’s oldest internet exchange point (IXP), operating since 1996 with an impressive 100% uptime. With other regional IXPs, it enables more than 350 peers to exchange traffic directly, optimizing the flow of data and reducing costs for network operators.

The Johannesburg 1 power-supply and cooling systems rely on the latest technology, while the fire systems can identify the presence of smoke even before it’s visible to the human eye. A full-time security operations center, perimeter fencing and card-swipe entry systems protect our clients’ data and IT infrastructure against unauthorized access and potential security breaches.

Data on the move — with the environment in mind

Apart from our experience with the infrastructure itself, we’ve played a key role in facilitating data center migrations for large enterprises that are exiting legacy and self-run hosting environments or considering cloud migration. This involves helping them to move their services to modern facilities like Johannesburg 1 while keeping costs down and prioritizing data integrity and security throughout.

We maintain key industry standards and compliance with accreditation from relevant industry bodies, which means our clients can be confident they are always compliant with their industry’s rules and regulations — even in demanding and highly regulated environments like financial services.

Furthermore, we always incorporate ecofriendly practices into our data center operations. According to NTT DATA’s Global GenAI Report, nearly two-thirds of organizations globally plan to invest significantly in GenAI in the next two years, and more than 90% are assessing enterprise-wide opportunities to use GenAI. However, the rising need for computing power means data centers are leaving an ever larger carbon footprint.

Data centers are therefore one of the engines of our sustainability ambition, which includes net-zero emissions across our operations by 2030. We’re also aiming to use 100% renewable and low-carbon energy in our data centers by 2030, and we’ve signed the Climate Pledge and established a Sustainability Business Office.

Make the right choice for your organization

For large enterprises and international carriers, Africa is a complex, challenging place where finding a trusted provider with a proven heritage is key.

The Johannesburg 1 Data Center and our other facilities in the region show our long-standing and ongoing commitment to excellence in Southern Africa.

We give you simple and cost-effective access to the data center infrastructure you need to make your organization’s technology strategy a reality, with services that support both your GenAI aspirations and your sustainability goals.

And, because we give you a fully managed data center solution backed up by the full-stack power of NTT DATA, spanning cloud, networks, the digital workplace and more, it’s never been easier to reap the rewards of migrating to our well-established facilities.

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