Civil rights groups in South Africa are protesting the expansion of data centers by American companies, marking one of the first coordinated attempts on the continent to slow AI infrastructure development.
“What we are saying is there should be a moratorium on data centers. … It must be across South Africa,” Kashiefa Achmat, chairperson of Housing Assembly, a Cape Town-based advocacy group, told Rest of World.
South Africa has the most data centers on the continent, owned predominantly by American hyperscalers like Microsoft, Amazon, and Google, and data center operators such as Equinix and Digital Realty.
They are racing to fill the continent’s rising demand for compute, which could hit 2.2 gigawatts by 2030, about five times the current levels, according to a McKinsey report.
Microsoft has committed 5.4 billion rand ($300 million) by 2027 to expand its digital and AI infrastructure in South Africa. Amazon Web Services will invest $1.5 billion until 2029 to expand AI capabilities across Africa. In South Africa, Equinix plans to invest $438 million.
“This is a strategic moment for African countries precisely because companies want access to new markets and locations,” Rachel Adams, founder of the Global Center on AI Governance, an African think tank on AI, told Rest of World.
The expansion comes as data center projects globally face scrutiny over their environmental impact. In the U.S., residents have rallied against these facilities in Virginia, California, and Philadelphia. In June, New York imposed a statewide moratorium for up to a year on hyperscale data centers. Protests have also been seen elsewhere in the world, including by farmers in India and Indigenous groups in Brazil.
Communities push back
Housing Assembly and U.K.-based nonprofit Foxglove filed a legal challenge in August against two data centers proposed by Equinix in Cape Town. Along with other rights groups, they called on the South African Human Rights Commission to investigate the projects’ impacts and impose a pause on hyperscale data center expansion.
They have also called for new regulations requiring operators to disclose their water and electricity usage, and provide benefits to local communities.
At the center of the protest is California-based Equinix, one of the world’s largest data center operators, which provides facilities to hyperscalers and other clients. It has benefited from the AI boom, with its market capitalization rising over 30% since last December to $99.36 billion as of September 16.
The groups say Equinix’s data centers would compete with residents for already-scarce water and electricity. “Our members know what it is to queue for water, to go without electricity, and to wait decades for decent housing. Now a massive data center is trying to jump the queue and take our land, water and energy,” Achmat said.
Equinix’s proposed 174-megawatt Cape Town facilities would use over 4.4 billion liters of water annually, according to the groups — as much as 18,000 homes would use in a year. They worry because South Africa is already water-stressed; in 2018, Cape Town came close to running out of water.
Equinix focuses on sustainable builds, a spokesperson told Rest of World. “Sustainable design is not an afterthought for us; it is a starting point,” they said.
Similar concerns have been voiced by community groups in Kenya living near a proposed 1-gigawatt data center by United Arab Emirates-backed G42 and Microsoft. The project stalled in May partly due to concerns about the project’s power needs.
Residents haven’t been informed about the impacts of the G42-Microsoft project, Silas Wanjala, a member of the neighbourhood watchdog group Lake Naivasha Riparian Association, told Rest of World.
“If you bring in a data center and you don’t learn well the issues of water allocation, you risk … the floriculture and horticulture sector,” Wanjala said.
G42 and Microsoft did not respond to a request for comment by deadline.
Need for transparency
The pushback by civil society is happening because the costs and consequences of data centers have become more apparent, Adams said. If communities only discover the impact once decisions have been made, it can “create mistrust and play on the uneven power relationships between large tech providers and local communities,” she said.
Lack of transparency around data centers is common among big tech companies, Daniel Kammen, a professor of energy and climate justice at Johns Hopkins University, told Rest of World. “These companies try to cut sweetheart deals with the government,” he said.
Africa still needs data centers
The protests should not halt Africa’s data center expansion, Obinna Isiadinso, global lead for data centers and cloud at the International Finance Corporation, told Rest of World.
The continent holds about 409 megawatts of operational data center capacity, which is less than 1% of global data center capacity, despite having a fifth of the world’s population.
To increase capacity to 1 gigawatt could cost up to $8 billion, Isiadinso said. “And at 1 gigawatt, we will still be behind India, we will be behind Malaysia. Malaysia has 2 gigawatts of capacity,” he said.
African nations need data centers to scale digital services, Chinasa Okolo, the Washington-based founder of policy incubator Technecultura, told Rest of World. “While I am not in opposition to data center expansion, I am against uncontrolled expansion that puts the livelihoods and health of vulnerable communities at risk,” he said.
This article was updated to identify Chinasa Okolo as founder of Technecultura.
Facts Only
* Civil rights groups are protesting the expansion of data centers by American companies in South Africa.
* The protest is one of the first coordinated attempts on the continent to slow AI infrastructure development.
* South Africa has the most data centers on the continent, owned predominantly by American hyperscalers (Microsoft, Amazon, Google) and operators (Equinix, Digital Realty).
* Demand for compute could reach 2.2 gigawatts by 2030, approximately five times current levels.
* Microsoft committed 5.4 billion rand ($300 million) to expand digital and AI infrastructure in South Africa by 2027.
* Amazon Web Services will invest $1.5 billion until 2029 to expand AI capabilities across Africa.
* Equinix plans to invest $438 million in Cape Town.
* Civil society groups filed a legal challenge against two Equinix data centers proposed in Cape Town in August.
* Petitioners called for the South African Human Rights Commission to investigate impacts and impose a pause on hyperscale data center expansion.
* Groups called for new regulations requiring operators to disclose water and electricity usage and provide community benefits.
* Proposed Cape Town facilities by Equinix are estimated to use over 4.4 billion liters of water annually, potentially impacting 18,000 homes.
* Community groups in Kenya voiced concerns regarding power needs for a proposed data center by G42 and Microsoft.
* A legal challenge was filed against proposed data centers in Cape Town.
Executive Summary
Civil rights groups in South Africa are protesting the expansion of data centers by American companies, aiming to slow down AI infrastructure development on the continent. This action stems from the fact that South Africa hosts the continent's largest concentration of data centers, owned primarily by American hyperscalers like Microsoft, Amazon, and Google, alongside operators such as Equinix and Digital Realty. These companies are expanding their footprint to meet rising compute demand projected to reach 2.2 gigawatts by 2030. Major entities have committed significant investments to this expansion, including Microsoft's commitment of 5.4 billion rand ($300 million) by 2027 and Amazon Web Services' investment of $1.5 billion by 2029.
The protest is framed as a strategic moment because these companies seek access to new markets and locations. This expansion occurs while data center projects globally face environmental scrutiny, evidenced by moratoriums imposed in the U.S., including one by New York in June. Community groups and rights organizations have filed legal challenges against proposed projects, such as those by Equinix in Cape Town, demanding investigations into impacts and calling for pauses on expansion. Concerns focus on the competition for scarce local resources like water and electricity, as highlighted by estimates regarding the water usage of proposed facilities.
The pushback is driven by a demand for transparency regarding environmental and social impacts, particularly concerning resource allocation and community benefits. While data center expansion is necessary for scaling digital services across Africa, there is an argument that uncontrolled growth risks placing vulnerable communities at risk regarding essential resources.
Full Take
The narrative surrounding data center expansion reveals a tension between global technological ambition, corporate investment strategies, and local community rights concerning resource access. The core conflict is not solely about infrastructure development but about the power dynamics inherent in extracting and consuming local resources for global AI objectives. The push for moratoriums and transparency stems from a recognition that decisions made at the corporate level—regarding massive energy and water consumption—have profound, immediate consequences for vulnerable populations facing pre-existing scarcity.
The pattern observed is one where the pursuit of large-scale, globally optimized technological growth (AI infrastructure) often bypasses local accountability frameworks. Major technology providers operate under a structure that allows them to prioritize investment and expansion, leading to scenarios where community input is solicited reactively—through protests or legal challenges—rather than proactively integrated into the planning phase. This creates an imbalance where communities bear the risk of resource depletion (water stress) while the primary benefits accrue to external investors and large corporations.
The need for data centers in Africa to scale digital services presents a critical dialectic: the necessity of technological advancement versus the imperative to protect human and ecological dignity. The argument shifts from simply stopping development to demanding a restructured paradigm where infrastructural growth is contingent upon equitable governance that mandates localized accountability and benefit-sharing, rather than imposing external demands on already strained systems.
