A new report by Raxio data Centre notes that artificial intelligence and big data are driving the demand for more data infrastructure.
This development comes as Uganda accelerates its digital transformation with data centers becoming a lynchpin for economic growth whilst underpinning financial services, public infrastructure and enterprise digitization.
This revelation was made during the launch of the Uganda data landscape report for the year 2024 at Raxio Data Centre, Uganda’s first tier III carrier and cloud neutral data center.
The report highlighted that artificial intelligence is transforming banking, retail and healthcare although it also demands high-performance computing environments.
“With financial institutions deploying AI for fraud detection and personalization, low-latency local hosting becomes critical to maintaining compliance and performance,” the data report noted.
The report also highlighted that with 73.2 per cent of Uganda’s population being under the age of 30, this positions the country for favourable adoption of AI due to a tech-savvy youth demographic.
Speaking at the launch of the report, Caroline Kamaitha, the general manager of Raxio data center, said “Uganda and Africa as a whole are at a pivotal point in their digital evolution. As the backbone of the internet and cloud-based services, data centers are not only powering businesses but also advancing public services, financial services, education and health care. This report highlights the urgent need for robust, secure and sustainable infrastructure to support our continents digital ambitions.”
With the report highlighting the impact that artificial intelligence and big data have on infrastructure demands, Kamaitha noted that sectors such as banking are increasingly using AI for critical functions such as internal monitoring and fraud management.
“As artificial intelligence applications become more widespread, we anticipate a direct and significant impact on the demand for high quality tier III data center facilities that are capable for efficiently and securely processing vast amounts of data,” she said.