US agency backs hyperscale data center and fiber network study in Colombia

Pumarejo Bridge over the Magdalena River in Barranquilla, Colombia | Image Courtesy: Pexels
October 5, 2026 at 8:53 PM GMT+8

The US Trade and Development Agency (USTDA), an independent US government agency that builds critical infrastructure in emerging markets, has announced an agreement with the Atlántico Governor’s Office in Colombia to fund technical assistance for a hyperscale data center and fiber optic broadband network in the Department of Atlántico.

Through a study it will fund, the USTDA will assess the project’s technical and financial feasibility, including identifying potential site locations, energy capacity, and land cost to mobilize financing for the project. According to a press release, the project will generate opportunities for US-made computing systems, networking, and critical data center equipment.

“This project ensures that as Colombia builds the digital backbone of its future, it does so on a foundation of trusted, secure technology,” said Thomas R. Hardy, USTDA Deputy Director. “This partnership reflects our shared commitment to a strong and prosperous Western Hemisphere, where U.S. innovation and Colombian ambition advance together.”

“This strategic partnership with the U.S. government marks a turning point for our department. This is about more than infrastructure; we are preparing Atlántico to compete in the global knowledge economy, attract foreign direct investment from major technology companies, and create high-value jobs for our people,” said Eduardo Verano de la Rosa, Atlántico Governor.

Not only will the project advance US exports of technology and expertise, it will also reduce latency and transmission costs in Colombia where there is growing demand for cloud computing services. According to USTDA, the project will enable the broader deployment of AI-powered services, support the Atlántico Governor’s Office’s own e-government initiatives, and reinforce Colombia’s standing as a regional leader in digital transformation.

Elsewhere, the USTDA has invited US firms to conduct a feasibility study for a data center in Lagos and another in Delta, Nigeria, with a combined capacity of between 60 and 70 MW with room to scale to 100 MW.

The data centers are being developed by South Africa’s Infragora Global Capital under its AFRIDATA Data Center Platform. The new facilities will be commercialized primarily through a full AI compute stack, cloud, and colocation model, allowing customers such as cloud service providers, banks, and mobile network operators to lease rack space for AI workloads and cloud infrastructure services.

Colombia’s data center market was valued at US$ 450 million in 2025, according to Arizton Advisory & Intelligence, and is expected to grow to a value of US$ 1.45 billion by 2031, driven by rising adoption of digital platforms, AI, a growing number of internet users, and government initiatives, among other factors. As many as nine subsea cables land in Colombia.