Kenyan Businesses Eye IT Infrastructure Growth In 2026

Kenyan companies are preparing for a significant expansion of their IT infrastructure in 2026, driven by digitalisation, cybersecurity demands, and the growing adoption of cloud and AI technologies, according to new research by infrastructure provider Servercore.

The survey, which captured responses from 109 professionals working primarily in the Kenyan market, found that more than 92 per cent of companies plan to scale their IT infrastructure within the next year, signalling strong confidence in technology-led business growth. Only 7.7 per cent of respondents indicated plans to reduce infrastructure capacity.

The findings highlight how technology has become central to business strategy across Kenya’s economy, particularly as firms navigate rising data protection requirements, increasing customer expectations, and cost pressures.

Digitalisation and New Projects Drive Spending

While appetite for expansion is high, spending decisions are measured. About 76 per cent of surveyed companies plan to increase IT infrastructure budgets, with nearly a quarter indicating they could double their investment. The remaining firms cited cost optimisation as a key constraint, reflecting the financial realities facing many small and medium-sized enterprises.

Digital transformation initiatives were identified as the leading driver of infrastructure investment, accounting for 37.5 per cent of responses. New business projects (31.3 per cent) and expanding customer bases (28.1 per cent) were also cited as major factors pushing companies to strengthen computing capacity.

The study suggests that Kenyan businesses are increasingly viewing IT not as a back-office cost, but as a core enabler of efficiency, scalability, and competitiveness.

Security, Resilience, and Cost Optimisation Top Priorities

Improving system resilience, strengthening cybersecurity, integrating new technologies into business processes, and controlling infrastructure costs emerged as the top priorities for Kenyan firms.

These concerns reflect a maturing IT market shaped by stricter regulatory oversight, particularly under Kenya’s Data Protection Act, and growing reliance on digital platforms in sectors such as fintech, e-commerce, retail, and professional services.

Despite the push for expansion, the survey found limited interest in hiring large in-house IT teams, pointing to a growing reliance on outsourced and managed infrastructure services.

Shift Toward Local Infrastructure Providers

The research also points to a gradual shift toward locally hosted IT infrastructure. While global cloud providers remain popular, nearly 40 per cent of respondents said they plan to migrate workloads from international providers to locally registered providers in Kenya within the next year.

Key factors influencing this shift include regulatory compliance, competitive pricing, lower network latency, and access to locally based technical support. Hybrid models combining local data centres with global cloud platforms are becoming increasingly common.

Industry players say this trend reflects Kenya’s evolving digital ecosystem, supported by expanding data centre capacity in Nairobi and national initiatives such as the Kenya National Digital Masterplan 2022–2032 and the Artificial Intelligence Strategy 2025–2030.

A Maturing Digital Market

Overall, the survey indicates that Kenya’s IT infrastructure market is entering a more mature phase, where businesses balance growth ambitions with regulatory compliance, performance needs, and cost efficiency.

As companies continue to digitise operations and adopt advanced technologies, demand for flexible, secure, and locally compliant infrastructure is expected to accelerate in the coming years.