Digital Infrastructure - The Times Of Central Asia

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Trans-Caspian Cable

Kazakhstan and Azerbaijan Begin Laying Trans-Caspian Fiber-Optic Cable

Kazakhstan and Azerbaijan have begun laying a fiber-optic cable across the Caspian Sea, marking the start of offshore construction on a long-planned digital connection between Central Asia and the South Caucasus. A specialized cable-laying vessel has departed the Port of Baku and begun laying the line toward Aktau, the Ministry of Artificial Intelligence and Digital Development of Kazakhstan announced. Weather permitting, the underwater installation is expected to take 15 to 20 days. Testing and commissioning are scheduled to be completed by the end of 2026. The 380-kilometer cable will connect Sumgait in Azerbaijan with Aktau in western Kazakhstan. It will be capable of transmitting up to 400 terabits of data per second, according to AzerTelecom. The full system, including testing and commissioning, is scheduled to be completed by the end of 2026. The project is being implemented by CaspiLink B.V., a joint venture established by Kazakhstan’s Kazakhtelecom and Azerbaijan’s AzerTelecom. It forms part of the Digital Silk Way initiative, a planned telecommunications corridor linking Asia and Europe. Preparatory work included surveys of the Caspian seabed and the selection of a route avoiding anchorage areas and military exercise zones. The armored cable was manufactured and tested in China before being delivered to the Kazakh port of Kuryk and transported to Baku for installation. As previously reported by The Times of Central Asia, the project had entered active implementation after several years of delays and changes among the participating companies. The cable was first proposed in 2019, although earlier completion targets were not met. Once operational, the link will provide a direct subsea data route between Kazakhstan and Azerbaijan. It will also expand Kazakhstan’s capacity to carry internet traffic between Asian and European networks.

Artificial intelligence

Tokayev Offers Astana to Host New Global AI Body’s First Meeting

President Kassym-Jomart Tokayev put Astana forward at the opening of the World Artificial Intelligence Conference in Shanghai on July 17, saying that Kazakhstan is ready to host the first meeting of a new global AI organization. He also proposed placing the organization’s Central Asian office in Kazakhstan. Together, the offers set out Tokayev’s wider aim: Kazakhstan wants a role in writing AI rules as well as building the technology at home. Twenty-nine countries signed the agreement establishing the World AI Cooperation Organization on July 16. The founding states included Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan, while Turkmenistan did not sign. China first proposed the Shanghai-based intergovernmental body at last year’s conference. Tokayev called the creation of the organization a historic decision and said it could underpin a universal framework for AI governance. “No country should remain merely a consumer of AI,” he said. “Every state must have the opportunity to develop its own human capital, digital infrastructure, and institutional capacity. Here too, the issue is fairness and integrity.” Tokayev also endorsed the conference’s guiding principle, “AI for good, AI for all,” arguing that technological progress should benefit people broadly rather than deepen inequalities within and between countries. His offer to host the new organization’s first meeting in Astana and to establish its Central Asian office in Kazakhstan were aimed at giving the country a role in shaping that agenda. [caption id="attachment_52389" align="aligncenter" width="2560"] Image: Akorda[/caption] Astana Bids for a Role in the New AI Body Tokayev’s proposals went beyond hosting a ceremonial gathering. He called for a permanent expert platform on AI regulation, standards and ethics. He also proposed an international network of schools, centers of excellence and academic partnerships. The Kazakh president urged members to develop common standards for testing and certifying AI systems. He said safeguards should address malicious uses, including cyberthreats, deepfakes and digital fraud. AI should remain under human control, he said. Tokayev placed those proposals within his wider diplomatic agenda. He argued that AI could help spot crises earlier and improve humanitarian work and peacekeeping. He said governments spend too much effort dealing with conflicts after they begin and too little preventing them. The new organization adds another layer to Kazakhstan’s technology policy. Citing a person familiar with the U.S. position, Reuters reported that Kazakhstan is the only country listed in both the 29-member body and Washington’s AI Opportunity Statement. Kazakhstan had already joined the U.S.-backed Pax Silica framework on June 25, which covers chips, critical minerals, energy and secure AI supply chains. That overlap carries Kazakhstan’s long-standing multi-vector diplomacy into AI policy. Astana is deepening ties with China while expanding ties to U.S.-linked technology and supply chains. Tokayev’s speech showed that Kazakhstan also wants a voice in the institutions shaping global AI rules. A Digital Bridge With China In Shanghai, Tokayev also proposed a “Kazakhstan-China Digital Bridge.” He said the project should promote digital trade and provide a working model for connecting digital economies through the Belt and Road Initiative. He asked China to support...

Digital Infrastructure

Kazakhstan and China Sign Deals Worth Over $15 Billion During Tokayev’s Shanghai Visit

Kazakhstan and China signed more than 70 commercial agreements worth over $15 billion during President Kassym-Jomart Tokayev’s working visit to Shanghai on July 16. The package covers artificial intelligence, digital infrastructure, transport, finance, agriculture, vehicle production, and other high-technology industries. The documents were exchanged after a roundtable with Chinese executives. Akorda did not publish a full project-by-project valuation, and the package includes both agreements and memoranda. The headline figure represents the announced value of the documents rather than money already invested or spent. AI and Industrial Projects Among the main documents was a strategic partnership agreement between Kazakhstan’s Ministry of Artificial Intelligence and Digital Development and Huawei Technologies. The Samruk-Kazyna sovereign wealth fund signed a separate agreement to acquire Huawei technology and equipment. Samruk-Kazyna, Freedom Holding, the Astana city administration, and Geely Auto Group also signed a memorandum on electric-vehicle infrastructure and the use of artificial intelligence in Kazakhstan’s automotive industry. Kazakhtelecom and China’s HV & Submarine Hengtong Group agreed on the basic principles for developing the Data Center Valley project in Ekibastuz. The planned one-gigawatt cluster is intended to combine data centers, cloud services, supercomputing facilities, AI laboratories, research institutions, training programs, and technology startups. Further agreements covered robotics and research. Qazbot Technologies signed a strategic cooperation agreement with Agibot PTE, while the Almaty city administration, NERO Group, and UBTECH Robotics agreed to develop artificial intelligence and robotics in the city. Qazaq AI Research University and the Shanghai Innovation Institute signed a cooperation memorandum. The industrial package includes an agreement between Allur Group and Li Auto to produce Li Auto vehicles in Kazakhstan. Astana Group and Chery Holding signed a technology licensing agreement for OMODA and JAECOO production at the Astana Motors Manufacturing Kazakhstan plant. Qarmet, the Development Bank of Kazakhstan, and a Chinese engineering company also agreed to cooperate on new coke oven batteries and a gas purification system. Transport and Logistics An investment agreement was signed for the first phase of a multifunctional terminal at the Port of Kuryk. Another document covers cooperation on two logistics parks at Khorgos-Eastern Gate, while Kazakhstan’s Ministry of Industry and Construction and NUCTECH agreed to work on inspection systems at border checkpoints and expand local production. Tokayev said around 85% of rail freight between China and Europe passes through Kazakhstan and that the country has invested more than $35 billion in transport and logistics infrastructure over the past 15 years. He also promoted the Smart Cargo platform, which is designed to combine customs, logistics, and commercial services in one digital system. The president also invited Chinese companies to invest in the extraction and deeper processing of critical minerals, agricultural technology, and the development of Alatau City. The government wants the new city to become a regional center for digital finance, asset tokenization, artificial intelligence, and advanced telecommunications. Tokayev said bilateral trade reached a record $49 billion in 2025, cumulative Chinese investment in Kazakhstan exceeded $30 billion, and more than 8,500 companies with Chinese participation operate in the country. Existing joint projects...

AI Data Center

Kazakhstan Says $10 Billion AI Data Center Project Is Moving Into Deployment

Kazakhstan says a $10 billion AI data center project in Ekibastuz is moving into deployment. Prime Minister Olzhas Bektenov told President Kassym-Jomart Tokayev on July 13 that partners were rolling out 250 megawatts of infrastructure. He said the project had attracted more than $10 billion in foreign investment. The statement gives firmer shape to a plan announced only six months ago. The northern-eastern Kazakh city of Ekibastuz grew around coal mines and giant power stations, but after the collapse of the Soviet Union, jobs disappeared, leaving the city to live in the shadow of its industrial peak. It has shared the wider population decline across the country’s north and east: despite fresh investment, the city lost more than 1,000 residents during 2025. The government now wants the city to export computing power as well as electricity, using its industrial grid to draw global AI companies to northern Kazakhstan. The site has moved beyond planning documents. By May 25, crews had completed geodetic work and started engineering and geological surveys. Workers were excavating pits for modular blocks, while equipment and personnel had reached the site. Tokayev announced the Data Center Valley in January as part of Kazakhstan's wider digital drive. The first 125 MW center is due in the first half of 2027, with a second facility of the same size planned for 2028. Bektenov has said all government data now sits in a 6 MW center in Astana, which shows the jump in scale. Those first two centers are only the beginning of a much larger development. Pavlodar officials have allocated 177 hectares, including 124.4 hectares for the opening phase. They expect later centers to enter service between 2029 and 2033, with up to ten facilities across the completed cluster. The site could eventually reach 1 GW, while an earlier government estimate put total investment near $30 billion. The first center will draw power from an existing 215 MW substation. Across the wider development, officials say 300 MW is already available, with capacity eventually rising to 1 GW. The Satpayev Canal will supply water for staff and site operations, with daily use estimated at 2,300 cubic meters. Separate reserves will be kept for fire protection. NVIDIA Vice President Rev Lebaredian put the case plainly in June: “Everything begins with energy. If you do not have energy, you cannot build the rest.” He added that Kazakhstan had energy “in abundance.” In Ekibastuz, cold that once made industrial life harder is being recast as a commercial advantage. The harsh winters can help cool server halls that produce vast amounts of heat. The planned Trans-Caspian fiber cable would then link the city’s abundant power to a faster international data route. That promise is still built on coal. Thermal plants generated 74.4% of Kazakhstan’s electricity in 2025, with the country still importing nearly 1.5 billion kilowatt-hours from Russia to cover the shortfall. A 250 MW data-center complex running day and night would consume about 2.19 billion kilowatt-hours a year, roughly 1.8% of Kazakhstan’s total...

Pax Silica

Kazakhstan’s Pax Silica Accession Bodes Well for Foreign Investment

Kazakhstan’s accession to Pax Silica is more than a diplomatic ribbon-cutting. It is an investment signal. By joining an initiative supported by the United States and built around trusted supply chains for the new artificial intelligence economy, Kazakhstan has placed itself inside one of the most important emerging conversations in global industry about who will supply the minerals, energy, computing infrastructure, data centers, talent and manufacturing capacity behind the AI boom. Kazakhstan’s official readout was explicit about that ambition. Pax Silica, it said, brings partner countries together around artificial intelligence, critical minerals, semiconductors, data centers, energy infrastructure, high-tech manufacturing, research and talent development. Kazakhstan became the first country from its region to join, with Deputy Prime Minister and Minister of Artificial Intelligence and Digital Development Zhaslan Madiyev signing the accession declaration and the AI Opportunity Partnership statement in Washington on June 25. “Behind every AI solution are energy, critical minerals, computing capacity, data centers, semiconductors, engineering talent, and secure supply chains,” Madiyev said. Pax Silica is a supply-chain coalition whereby each participant brings a piece of the AI industrial base such as chips, energy, minerals, capital, cloud infrastructure, advanced manufacturing, regulatory alignment or technical talent. Reuters has described the initiative as a U.S.-led effort to secure the supply chains behind artificial intelligence, from energy and critical minerals to high-end manufacturing and AI models. Kazakhstan’s inclusion demonstrates that the country is being viewed as a potentially significant node in the physical infrastructure of the AI economy. Why Kazakhstan Fits the Pax Silica Map Kazakhstan has existing relevance in the AI supply chain as well as the capability to expand that role. That helps explain why Kazakhstan, rather than another regional state, became the first Central Asian node to plug into Pax Silica’s trusted supply-chain architecture. The U.S. International Trade Administration says Kazakhstan has substantial reserves of rare earth elements, copper, lithium, tungsten, tantalum and other materials essential for modern technologies and the energy transition. It also notes that the country’s policy focus is shifting from raw-material exports toward value-added processing and downstream production. With regard to the energy feedstock needed to power AI data centers, Kazakhstan has been the world’s leading uranium producer since 2009 and produced about 40% of global output in 2025. Nuclear energy is returning to the strategic conversation as governments and companies look for firm, low-carbon electricity. Kazakhstan also has a proven record as a resource partner for the U.S. and the West. U.S. energy majors helped build Kazakhstan’s modern oil sector, with Chevron beginning production from a $48 billion expansion of the Tengiz oilfield in 2025. In aerospace, Kazakhstan’s Ust-Kamenogorsk Titanium and Magnesium Plant supplies major global manufacturers, including Boeing and Airbus, and officials say titanium from Kazakhstan accounts for roughly one-fifth of the global aerospace titanium market. A New Layer in U.S.-Kazakhstan Alignment Pax Silica also follows a warming trend in U.S.-Kazakhstan relations under the Trump administration. Tokayev has already framed Kazakhstan as an active participant in several U.S.-backed initiatives, including the Abraham Accords, the...

Kazakhstan and U.S. AI Companies Sign Agreements Worth $10 Billion

Kazakhstan took a major step toward its goal of becoming an AI leader in the heart of the Eurasian continent when new investment deals were signed with U.S. companies NVIDIA and Firebird. Kazakh Prime Minister Olzhas Bektenov hosted NVIDIA Vice President Rev Lebaredian and Firebird co-founders Razmig Hovaghimian and Alexander Yesayan on June 15. They signed agreements on artificial intelligence and digital infrastructure cooperation worth up to $10 billion, for Kazakhstan’s Data Center Valley project. Top Ten in Global AI Infrastructure Representatives of the U.S. companies and Kazakh officials at the signing ceremony paid tribute to Kazakh President Kassym-Jomart Tokayev for declaring 2026 the Year of AI in Kazakhstan, saying the move emphasized Kazakhstan’s commitment to AI development. Firebird’s Hovaghimian said realization of the agreements signed on June 15 would contribute to putting Kazakhstan in the top 10 leading AI countries worldwide before the end of 2027. Lebaredian described AI development as a “five-layer cake.” “The first layer is energy. The second layer is chips, including those from NVIDIA. The third layer is infrastructure. The next layer is AI models, such as ChatGPT,” and applications, he explained. The NVIDIA vice president said, “Kazakhstan can participate at every level of this five-layer cake.” An Old Power Source for Developing New Technology In the first phase of the project, some $5 billion will go to developing the energy sector. The Data Center Valley is located in Kazakhstan’s northern city of Ekibastuz in the Pavlodar Province. The area has long been known for its vast coal deposits and huge Soviet-era thermal power plant that provides electricity to the area. Kazakh officials have promised an initial 300 megawatts (MW) of power for the AI center, with output gradually rising to some 1000 MW. Kaztelekom chief Bagdat Musin was at the signing and said, “Essentially, Kazakhstan is transforming Ekibastuz coal into digital export revenue.” Minister of Artificial Intelligence and Digital Development Zhaslan Madiyev said Kazakhstan expects to “generate at least $3 billion in annual export revenue, create new high-skilled jobs, (and) attract leading global technology companies.” Discussions are still underway about exactly how the remaining $5 billion would be spent in developing the second phase of the project. Madiyev mentioned that when finished, Ekibastuz would host a “large-scale computing cluster powered by 100,000 state-of-the-art GPU (graphics processing units) chips, including NVIDIA GB300 and Vera Rubin.” A press release posted by Firebird noted the “three-phase expansion strategy” would enable the project “to scale beyond 100,000 NVIDIA Blackwell and Vera Rubin GPUs by the end of 2027, creating one of the world’s largest AI computing platforms.” Firebird Labs Kazakhstan will also be established, based on Kazakhstan’s International Center for Artificial Intelligence in the capital, Astana. Era of Expanding Kazakh-U.S. Ties The agreements with NVIDIA and Firebird are the latest in a series of deals with U.S. companies since late 2025. President Tokayev announced the plan for the Data Center Valley project in January 2026. In May, a U.S.-linked international consortium signed a deal worth some $1 billion...