MTS, led by Hesham Kandeel, is expanding cooperation with Chinese technology and infrastructure companies to attract new investments into Egypt, localise advanced technologies, and develop digital infrastructure. The company's partnership with Inspur, a Chinese technology group with a strategic presence in the Middle East and Africa, is expected to support projects spanning data centres, healthcare digitalisation, infrastructure, and artificial intelligence (AI). This collaboration aims to drive growth and development in Egypt's technology sector.
MTS and Inspur are working on several major projects in Egypt, including the development of the unified number system for the Ministry of Health, as well as infrastructure and electricity projects that could benefit from Chinese investment and financing. Under the financing arrangements being explored, the Chinese side could cover around 60% of the costs of certain projects, with the remaining funding coming from other sources. However, the specific projects and financing structures have yet to be disclosed, leaving room for further negotiation and planning.
One of the most prominent developments under the partnership is a proposed data centre manufacturing facility in Egypt, with preliminary investments estimated at $100m. MTS is currently pursuing the necessary government approvals, with Ain Sokhna being considered as a potential location. The facility would focus on developing and manufacturing data centre infrastructure locally, supporting the establishment of sovereign and private data centres and strengthening Egypt's digital infrastructure. This project is expected to create new opportunities for growth and job creation.
In addition to the data centre project, MTS is involved in other initiatives with Inspur, including government digital services in Libya and projects related to agricultural development in southern China. The company is also working on projects related to free zones and carbon footprint measurement, targeting sectors including agriculture, industry, and exports. Such solutions are becoming increasingly relevant to businesses seeking to improve environmental reporting and meet sustainability requirements in international markets.
MTS is also developing an artificial intelligence platform in cooperation with Chinese cloud computing company UCloud. The platform aims to provide businesses and individual users with access to a wide range of AI providers through a single digital interface. The platform is designed to connect users with approximately 1,787 AI companies, allowing them to access multiple tools and services at substantially lower costs than purchasing individual subscriptions from different providers.
The AI platform is expected to incorporate advanced features for automated feasibility studies and technology assessments, helping businesses identify suitable technical solutions based on their operational requirements and investment priorities. This initiative comes as Egypt seeks to strengthen its digital infrastructure and attract investment in data centres, cloud computing, and AI technologies. The Ministry of Health and Population has discussed cooperation with MTS and Inspur on developing the Egypt Smart Healthcare Platform.
Through its partnerships with Chinese technology companies, MTS is seeking to position itself as a local partner for technology transfer, project implementation, and digital solutions development, while expanding its involvement in projects across Egypt and regional markets. The company's efforts aim to drive growth, improve digital infrastructure, and increase access to AI technologies, ultimately contributing to Egypt's economic development.
Key points
- MTS partners with Chinese firms to develop data centres and AI platforms
- Proposed data centre manufacturing facility to receive $100m in preliminary investments
- AI platform to connect users with nearly 1,800 companies, reducing costs and increasing accessibility
