Raxio data centre which was slated to launch seven months ago aspires to begin operation in a couple of months doubling its capacity.

The Tire III data centre was initially planned to operate with 1.5MW and 400 racks. However, the Country Manager Bewket Tafere indicated that the demand in the market has prompted them to expand to three megawatts and 800 racks.

It will have two generators each with 30,000ltr fuel holding capacity that can last for 72 hours in case of a large-scale power outage.

According to him, the delay will not have a significant impact on the financial performance, as they have already incurred most of the costs associated with building the data centre.

"We're not rushing," he told Fortune. "We've standards to meet."

The data centre construction began in 2022, after signing a 15.5 million dollar agreement with the Ethiopian Investment Commission (EIC). It has made a 30 million dollar investment since then and is housed on 10,000sqm of the IT Park.

The architectural work was done by Yema Arthectural Plc. It has a 99.98 accuracy with multiple distribution paths for power, cooling, and connectivity and does not require a total shutdown during maintenance, equipment replacement or emergencies.

Bewket observed the bureaucratic hurdles have made it unappealing to pursue investment while specific items required for the centre were denied approval by officers who were not fully aware of their importance.

The Head of Investment Promotion at the Commission Anbessaw Serbe concurs. He said they are tasked with facilitating tax incentives but certain delays might have been due to the nature of materials which appeared unfamiliar.

"We're adjusting," he said.

Previously supervised by the Industrial Parks Development Corporation (IPDC), the IT Park Corporation is under the Ministry of Innovation & Technology after November 2022.

State Minister Huria Ali stressed the importance of creating job opportunities and foreign currency generation indicating that the Ministry is focused on providing high connectivity and reliable electricity.