Data Centers - The Times Of Central Asia

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Huang Backs Kazakhstan’s AI Plans as NVIDIA Expands Partnerships

NVIDIA is expanding its partnerships in Kazakhstan as the country draws on its energy resources, engineering talent, and industrial base to develop AI computing facilities and deploy advanced technology in mining, manufacturing, robotics, and other industries. Kazakhtelecom has already installed NVIDIA processors, while much larger projects involving Firebird and Freedom Holding are under development. On October 23, NVIDIA founder and CEO Jensen Huang made his first visit to Kazakhstan, at the invitation of Deputy Prime Minister Zhaslan Madiyev. Huang met President Kassym-Jomart Tokayev and discussed computing investment, robotics, and technology development with government and business leaders. “I commend you for declaring your nation an AI nation,” Huang told Tokayev during their meeting at the Akorda presidential palace. Tokayev described AI and digitalization as national priorities, noting that 2026 had been declared the Year of Digitalization and Artificial Intelligence. He said Huang’s visit would strengthen cooperation with NVIDIA and welcomed its partnership with Higgsfield, a San Francisco-based AI video and image-generation company co-founded by Kazakh entrepreneur Yerzat Dulat. Huang highlighted partnerships with Kazakhtelecom and Firebird AI KZ and proposed developing Kazakhstan as a global hub for physical AI. Tokayev awarded Huang the Order of Dostyk, First Class, a senior state honor also conferred on former Singaporean Prime Minister Lee Hsien Loong and Italian President Sergio Mattarella. Robotics and Industrial AI At Astana’s alem.ai center, Huang joined Deputy Prime Minister and Minister of Artificial Intelligence and Digital Development Zhaslan Madiyev for a fireside discussion on the country’s AI strategy. Madiyev said Kazakhstan’s energy resources, industrial base, and engineers could support the development of physical AI, which enables robots and autonomous machines to operate in the real world. He said Kazakhstan wanted to test and deploy these systems in industrial settings and build companies capable of competing internationally. In an earlier TCA interview, Madiyev said operational data from Kazakhstan’s mines and factories could be used to develop industrial AI systems. “Instead of just exporting energy, in the future, you could transform energy into intelligence and export intelligence,” Huang said. Madiyev also emphasized AI that understands the Kazakh language and cultural context. Freedom Holding presented plans for digital replicas of Almaty and Astana that could be used to train and test autonomous robots in simulated city environments using NVIDIA technology. Separately, inDrive, Pony.ai, and NVIDIA signed a memorandum of understanding to explore autonomous ride-hailing in Kazakhstan. Astana is the proposed first market, subject to feasibility assessments and an agreement with the Kazakh government. AI Computing Infrastructure Freedom Holding CEO Timur Turlov met Huang at alem.ai to discuss the company’s infrastructure plans. Turlov said Freedom was placing an order for its first NVIDIA B300 computing cluster, with a public GPU cloud for businesses and developers planned for 2027. The Turlov-backed Akashi data center campus in Astana is under construction, with a planned capacity of up to 100 megawatts and first-phase commercial operations scheduled for 2027. On October 19, the Eurasian Development Bank announced that it had signed an agreement with AKASHI Data Center PLC to...

Artificial intelligence

Kazakhstan’s AI Strategy: Eurasia’s Emerging Digital Power

Astana hosted AI & Digital Bridge 2026 on October 1–3, and NVIDIA founder and CEO Jensen Huang is scheduled to visit the capital on October 23 for a fireside chat with Zhaslan Madiyev, Kazakhstan’s Deputy Prime Minister and Minister of Artificial Intelligence and Digital Development. Speaking to The Times of Central Asia earlier this month, Madiyev described a strategy that goes beyond building data centers. Kazakhstan’s digital development builds on capabilities it already has (a mature digital-government system, an established energy and industrial base, cross-border fiber and data-transit infrastructure, and a growing technology sector) to move beyond carrying data and exporting raw materials toward processing more data and producing more technology at home. The push aligns with President Kassym-Jomart Tokayev’s call for Kazakhstan to become a fully digital nation, with artificial intelligence (AI) integrated across the economy. Digital Services and Startup Growth Madiyev began with what Kazakhstan already does, describing the country as known for advanced government technology, or GovTech. He cited Kazakhstan’s 24th-place ranking in the United Nations E-Government Development Index. More than 90% of public services are available online, around 90% of transactions are cashless, and approximately 40 personal documents have been digitized, he said. Digital documents have the same legal standing as physical ones, allowing people to use their phones when traveling, visiting banks, or accessing government services. An important part of that development was opening the government’s digital platform to banks rather than keeping public services within a single government application. Banks including Kaspi, Halyk, and Freedom can integrate those services into platforms customers already use, helping expand adoption and making services easier to access. Madiyev cited vehicle purchases and re-registration completed through an application in three to five minutes, mortgage approvals within a day, and a digital process that helps mothers register newborns and receive eligible benefits directly into their bank accounts. The aim is to organize services around people’s life events, with one completed process triggering the next rather than requiring separate applications to different institutions. He also pointed to Astana Hub, which has more than 2,500 registered startups and information technology (IT) companies exporting services to more than 100 countries. Its network extends across Kazakhstan and into Silicon Valley, Shanghai, and Dubai, with further expansion planned in Southeast Asia and Europe. Those overseas locations provide working space, access to investors, and acceleration programs to help companies enter international markets. A venture fund-of-funds, predominantly financed by the private sector and standing at approximately $115 million at the time of the interview, is intended to increase the financing available to regional startups. Madiyev said companies may need to raise capital six or seven times on the way to becoming unicorns, making access to successive funding rounds important. Connectivity That Serves the Region Kazakhstan already carries international traffic. Kazakhtelecom’s 2024 annual report records 200 gigabits per second (Gbps) of Europe–Uzbekistan transit capacity and 100 Gbps on the Europe–Kyrgyzstan route, while the Internet Society rates Kazakhstan’s upstream connection diversity as “Very Good.” Kazakhstan’s international internet capacity stood...

Nuclear Energy

Japanese Firm Backs Uzbekistan’s Nuclear-Powered Data Center Project

Uzbekistan's first nuclear power plant, now under construction in the Jizzakh region, is primarily a Russian project. Rosatom is supplying the reactors, and Atomstroyexport, part of its engineering division, is the main contractor. But at the first summit of the Central Asia plus Japan Dialogue in Tokyo in December 2025, a Japanese company agreed to cooperate on a related project: a 50-megawatt data center that could become the first in the world powered entirely by a small modular nuclear reactor. What Russia Is Building The plant in the Forish district will combine two large VVER-1000 reactors with two smaller RITM-200N reactors, for a total capacity of just over 2.1 gigawatts. Uzbekistan's nuclear energy agency, Uzatom, has estimated the maximum contract value at $9.5 billion. Initial concrete work began in March 2026, while the first concrete for the small reactor's foundation was poured in June. The first small reactor is expected to start up in 2029, while the two larger reactors are scheduled for 2033 and 2035. Japan's Role? On December 20, 2025, at the summit, Uzatom signed a memorandum of understanding with Muroosystems Corporation. This Tokyo-based company, founded in 2006, specializes in information technology infrastructure and renewable energy. It expanded into nuclear engineering through its acquisition of a German company, NUKEM Technologies Engineering Services (NUKEM), in 2024. Through NUKEM, Muroosystems plans to provide nuclear safety assessments and engineering services, alongside technical consulting that includes owner's engineer support. These services are intended to support the project in line with international best practices and International Atomic Energy Agency requirements. The cooperation agreement also covers the proposed nuclear-powered data center, involving Uzbekistan's Ministry of Digital Technologies. There is an interesting history behind NUKEM's involvement. The German company was previously owned indirectly by Atomstroyexport and remains based in Germany, although it has been Japanese-owned since September 2024. The Data Center Itself The project involves a data center with an estimated power demand of 50 megawatts. According to DatacenterDynamics, it is expected to receive its normal electricity supply through a direct line from one of the Russian-made RITM-200N reactors, each capable of generating 55 megawatts, rather than from the national grid. Public announcements do not specify how backup power would be provided during reactor maintenance or shutdowns. Combining a Reactor With a Data Center The rationale, outlined by NUKEM, is straightforward. The data center would receive a stable, round-the-clock power supply. In return, the nuclear power plant would gain a steady customer whose high demand could be met through a direct connection, potentially improving the use of its generating capacity. The project also fits into Uzbekistan's efforts to develop artificial intelligence (AI) and digital infrastructure. In September 2026, the country opened new AI-capable data centers in Bukhara and Kokand, while state telecommunications operator Uztelecom announced an agreement to distribute Amazon's satellite internet services. A Pattern, Not an Isolated Case Muroosystems' involvement in Central Asia is not limited to Uzbekistan. The Japanese company has also signed a memorandum of understanding with the National Nuclear Center of...

Data Centers

Kazakhstan Data Centers: Will There Be Enough Electricity and Customers?

Kazakhstan aims to become a regional hub for data processing and artificial intelligence (AI). Data Center Valley is under construction in Ekibastuz, United States-based Firebird is involved in preparations for a major computing complex, and new fiber-optic lines are expected to connect the country to Europe across the Caspian Sea. Authorities hope to attract billions of dollars in investment and develop hundreds of megawatts (MW) of capacity. The main questions are whether the power grid can meet such demand and whether there will be enough international customers. Ekibastuz: The First 50 MW of a Promised Gigawatt At the center of these plans is Data Center Valley in Ekibastuz, an industrial city in northeastern Kazakhstan. The complex is eventually expected to expand to 1 gigawatt (GW) of capacity. According to the government, the first phase is designed for 50 MW. By August, earthworks were approximately 90% complete, and builders had begun laying foundations, with the first facility scheduled to launch in June 2027. Firebird AI: $10 Billion in Agreements On October 2, national telecommunications operator Kazakhtelecom, KT-Telecom, and Firebird AI KZ signed an initial agreement covering the construction and long-term leasing of computing infrastructure. Earlier, the government announced a package of agreements worth up to $10 billion with Firebird, involving U.S.-based NVIDIA as a technology partner. The project provides for the potential deployment of up to 100,000 graphics processing units (GPUs), specialized chips used to train and run AI systems. For now, the $10 billion represents the announced value of the agreements. How much money will go directly toward construction and equipment purchases has not been publicly disclosed. Singapore-based Energy Capital Global has also expressed interest in Kazakhstan’s market. The company is considering a data center campus at Data Center Valley with an initial phase of approximately 100 MW and the potential to expand to 1 GW. In August, it signed a memorandum of understanding with KT-Telecom. Trans-Caspian Cable: A New Data Transmission Route Data centers need fast communications links to serve international customers. Kazakhstan and Azerbaijan are developing an undersea fiber-optic connection between Aktau and Sumgait. On October 6, Kazakhstan's Minister of Artificial Intelligence and Digital Development, Zhaslan Madiyev, announced that the approximately 390-kilometer undersea section of the cable had been completed. The line is scheduled to launch in October 2026. The Trans-Caspian route is intended to connect China and Central Asia with the South Caucasus and Europe. For Kazakhstan, it offers an opportunity to reduce dependence on Russian transit routes. According to the Caspian Policy Center, approximately 95% of the country's outbound international internet traffic passes through Russia. Kazakhstan is also building an approximately 4,500-kilometer West–East fiber-optic backbone, connecting the Caspian coast with the Chinese border. More than 2,200 kilometers have been laid, with construction scheduled for completion by the end of 2026. The new routes would also provide alternative connections, reducing the risk of widespread disruptions if individual lines are damaged. The Existing Market: Tens of Megawatts Versus Hundreds Planned As of October 7, 2026, the industry directory...

Yandex Drone Attack

Drone Strikes on Russian Data Centers Disrupt Yandex Services Across Central Asia

Drone attacks on three Yandex data centers in Russia disrupted taxi, delivery, and other digital services in Kazakhstan, Kyrgyzstan, and Uzbekistan. At the same time, the company said that Kazakh users’ personal data continued to be stored within Kazakhstan. The outages revealed how heavily Central Asia’s digital economy depends on computing infrastructure beyond its borders. Between October 8 and 11, drones attacked three Yandex data centers in Russia. The first facility hit was in Sasovo, in the Ryazan region, where two supercomputers used for artificial intelligence development were located. The center shut down completely. A subsequent strike hit a data center in Kaluga, disabling some of its equipment. On October 11, another attack forced a facility in Vladimir to shut down. Yandex confirmed the damage and said no employees were injured. Company specialists began redistributing computing workloads among the remaining operational sites, but it is not yet known when the damaged equipment will be fully restored. According to Reuters, the strikes on Russian data centers were part of an expansion of attacks on economic and technological infrastructure during Russia’s war against Ukraine. The consequences quickly spread beyond Russia. On October 11, users in Kazakhstan encountered problems ordering taxis, meals, and groceries through Yandex Go, Yandex Eats, and Yandex Lavka. The disruptions also affected scooter rentals and other applications. Drivers and couriers could not receive orders, while restaurants and stores temporarily lost access to some of their customers. Yandex Qazaqstan confirmed the technical problems. By evening, taxi booking was available again, although some functions continued to operate with restrictions. The company explained that when servers fail, computing tasks are transferred to other resources, but switching workloads takes time. Similar disruptions occurred in Kyrgyzstan and Uzbekistan. Users reported errors when booking rides and ordering deliveries, as well as problems displaying fares. In Kyrgyzstan, Yandex’s local division acknowledged the problems and confirmed that damage to infrastructure in one country could disrupt applications in another. For Central Asia, this is more than a temporary inconvenience. Digital platforms have become part of the urban economy, supporting the work of drivers, couriers, restaurants, stores, and delivery services. When an application stops accepting orders, some market participants effectively lose access to customers. However, reliable estimates of financial losses in Kazakhstan, Kyrgyzstan, and Uzbekistan are not yet available. It is unclear how many orders were lost or whether partners will be compensated for their losses. The outages also affected Yandex’s financial services. Dmitry Pirogov, head of the company’s fintech division, said on October 11 that users were temporarily unable to check their balances, pay for purchases, or transfer money through Yandex Pay. According to him, account information is stored in multiple copies, and checks found no loss of records. However, data preservation did not ensure uninterrupted access to financial transactions. This distinction proved particularly important for Kazakhstan. Following the widespread outages, questions arose about why damage to servers in Russia affected applications in Kazakhstan despite local legal requirements to store personal data within the country. Yandex Qazaqstan said...

Foreign Investment

Karakalpakstan Investment Push Brings $7.6 Billion in New Projects

Uzbekistan has announced 58 projects worth about $7.6 billion in Karakalpakstan, ranging from wind power and data centers to transport and healthcare. At a September 18 ceremony, 11 projects worth $592 million were commissioned or launched, while construction began on 47 more with a combined value of $7 billion. The projects are expected to create around 8,000 jobs, according to the presidential press service. Wind Power Leads Investment Push Among the largest projects is the 1.5-gigawatt Kungrad Wind Farm, being developed with Saudi Arabia’s ACWA Power. The Uzbek government values the project at $2.6 billion, although ACWA’s own project page puts its cost at just over $3 billion. The development includes extensive new transmission infrastructure and substation upgrades to connect the plant to Uzbekistan’s power grid. The wind farm will also include a 300-megawatt battery energy storage system. Once completed, it is expected to become one of the largest wind power projects in Central Asia. ACWA is already operating renewable energy facilities in Karakalpakstan. The Nukus-1 and Nukus-2 projects have a combined wind power capacity of 300 MW, along with 100 MW of battery storage. According to ACWA Central Asia President Abid Malik, the company’s planned, operational, and under-construction projects in Karakalpakstan represent about 2.3 GW of generation capacity and around $4 billion in investment. The projects are expected to generate about 8.77 billion kilowatt-hours of electricity annually, enough to cover the energy needs of approximately 2.4 million households, while saving around 2.1 billion cubic meters of natural gas. “Karakalpakstan is becoming one of the most vital investment destinations for ACWA in Uzbekistan,” Malik told The Times of Central Asia. He said construction of the Kungrad project could create around 4,000 jobs at its peak, while local content could reach approximately $750 million. ACWA is also supporting workforce development, with 78 students from Karakalpakstan currently studying at Shirin College to prepare for work in the country’s energy sector, Malik said. The ceremony also marked the launch of two wind power plants with a combined capacity of 300 MW and a 100 MW energy storage system in Karauzyak district. Health, Digital and Transport Projects Other projects launched during the visit included the $27 million Sheikh Khalifa Hospital in Nukus, built in cooperation with the United Arab Emirates. The 100-bed facility has created 80 jobs. A Karakalpak Scientific and Practical Medical Academy is also being established for medical training and research. The first phase of a modular computing center operated by the Chinese company Shanghai LinkWise Data Intelligence was launched in Takhiatash district. The presidential office valued the phase at $150 million. Chinese partners are also involved in projects worth a combined $2.281 billion to “produce digital currency” and establish artificial intelligence data centers in Kungrad and Takhiatash. The presidential statement did not identify the partners or explain what producing digital currency would entail. Transport infrastructure is another focus. A $20 million project by SAPSAN TRANS NO‘KIS has already delivered 25 buses and electric buses to Nukus, with another 75 electric buses...