Data Centres & Networks

Data centre partnership bringing cheaper internet to Congo

Two Congo-based operators – including a new start-up – have entered into an agreement to manage and maintain a carrier-neutral co-location data centre in Congo-Brazzaville...

Two Congo-based operators – including a new start-up – have entered into an agreement to manage and maintain a carrier-neutral co-location data centre in Congo-Brazzaville. The agreement brings together Warid Congo – part of the multinational Warid Telecom – and newly-formed Jasco Congo, a subsidiary of Jasco Networks.

The deal will allow Warid Telecom to share in the revenues generated by the data centre – for which it owns the infrastructure - and benefit from skills transfer. Jasco meanwhile will use the local company’s existing infrastructure, taking over the operational costs and maintenance of the data centre and making use of Warid’s local expertise, knowledge and market presence.

Jasco will be designing and building an Internet switch exchange and providing local Internet hosting from the Warid Telecom data centre, helping to drive down the cost of Internet access. The company will also be hosting local telecommunications operators, providing a carrier neutral switching location for international traffic.

Central Africa’s Internet market is still in its infancy, being very expensive and only accessible via satellite due to lack of infrastructure. However, users in the region are well aware of technological innovations and businesses are eager to embrace connectivity. This is becoming easier to achieve thanks to the recent landing of the WACS undersea cable connecting West Africa to the world and growing investment into improving infrastructure. Local Internet in the region remains expensive as a result of a lack of local hosting and local Internet exchange.

“Our research indicated that the region was ripe with opportunities, which are being held back due to the expense of building infrastructure. The Jasco Congo operation, in partnership with Warid Telecom, enables us to expand our co-location solutions offering into Africa without the expense of physically investing in infrastructure, while creating local empowerment and business stimulation,” says Eckart Zollner, Business Development Manager for Jasco Co-location Solutions.

“This type of business has high barriers to entry in Central Africa due to the cost of infrastructure, but there is not much competition so margins can be very lucrative and growth happens fast. However, we are also a fairly isolated region which can be difficult for companies to break into, as a result of vastly different clients and culture. Our partnership with Jasco is mutually beneficial and will enable both parties to leverage opportunities in this active and growing economic region”, said Michel Elame, Managing Director of Warid Congo.

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