May 10 (Reuters) - A Microsoft data center site in East Africa has been delayed by disagreements with the Kenyan government over the company’s request for guaranteed payments, Bloomberg News reported on Sunday citing people familiar with the matter.
In 2024, Microsoft partnered with UAE-based AI firm G42 to invest $1 billion in a data center in Kenya as part of its efforts to expand cloud-computing services in East Africa.
Microsoft and G42 asked the Kenyan government to commit to paying for a certain amount of capacity annually, but the talks broke down when it couldn’t provide the guarantees at the level Microsoft requested, the Bloomberg report said.
(Reporting by Rishabh Jaiswal in Bengaluru; Editing by Andrea Ricci)
