Tech
Tech war: China sees glut of AI data centres as GPU mismatches exacerbate weak demand
Total computing power in China accounted for 26 per cent of the world’s total as of June, trailing only the US, but CPU usage rates are low
China’s rush to build a nationwide network of artificial intelligence (AI) data centres is running the risk of creating an oversupply of computing power, experts and industry professionals said.
Data from CCID Consulting, a government-backed think tank focused on technology, shows that more than 250 internet data centres have either been built or are under construction in China as of June, as local governments, state-owned telecommunications network operators and private investors pour money into the “new infrastructure”.
Many of these artificial intelligence (AI) computing facilities are also located in areas far from the nation’s technology centres.
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Total computing power in China reached a whopping 246 Eflops as of June this year, according to data published in September by the China Academy of Information and Communications Technology (CAICT), an institute affiliated with the Ministry of Industry and Information Technology. Eflops is a unit for measuring the speed of a computer system.
That accounted for 26 per cent of the world’s total, trailing only behind the US, according to CAICT.
However, the central processing unit (CPU) use rate of computing resources provided by privately-held servers is less than 5 per cent, according to a research report on the public cloud issued by China’s State Information Centre (SIC), a group affiliated with the National Development and Reform Commission. Experts warn of an impending glut of computing power as many data centres sit idle due to lack of demand.
“In the past few years, with the buildout of new infrastructure, some government-backed companies did build some data centres which now sit idle,” said Helen Fang, head of industrial research at HSBC. “These centres tend to not be located in or around first-tier cities, or are too small in size to meet mainstream demand.”
China’s provincial governments are rushing to support new data centres to spur the local economy, according to an employee of a mainland AI chip start-up, who declined to be named. There is little consideration given to how the data centre could operate after it is built, the person added.
Shan Zhiguang, a director at the State Information Centre, warned in April that many jurisdictions in the country are rushing to build data centres, based on the suppliers’ sales agenda instead of market demand. “The demand for computing power in China is still limited due to the lack of big models-based killer applications,” Shan said. “If built too early and too much, it may create a glut,” he told Chinese media 21st Century Business Herald.
Amid US sanctions that restrict Chinese enterprises from buying advanced chips from suppliers like Nvidia, many of these government-backed projects were given tacit orders to prioritise the use of domestic CPUs, graphics processing units (GPUs) and memory chips over foreign counterparts. That would only aggravate the situation because domestic-made hardware from various brands is more difficult to configure, especially if connected to form large computing clusters consisting more than 10,000 GPUs, according to experts.

Visitors learn about cloud computing at Alibaba’s APSARA Conference 2024, Sept. 19, 2024. Photo: Xinhua
In one example, China Mobile’s newest data centre is in Harbin, capital of northeast Heilongjiang province, and runs on 18,000 domestic-made GPUs. Separately, Jixi, a traditional coal-mining city in the province, inked a deal in May with a Hainan construction company to invest 14 billion yuan (US$1.98 billion) to build a data centre using only Chinese suppliers, including Tencent Cloud, AI chip start-up EnFlame, and Chinese chip giant Sugon.
Government-built data centres are often required to use domestic hardware and software together, according to a former manager of SenseTime who works on generative AI-related projects. Domestic GPUs are only compatible with certain models, this person said. So if a company wants to train or use foreign models it has to use Nvidia cards, not government-owned computing resources, the person added.
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This article originally appeared on the South China Morning Post (www.scmp.com), the leading news media reporting on China and Asia.
Tech
“I Lost $1.2 Million To Hackers On One Of My Apps. I Caught One Of The Hackers, And Instead Of Handing Him Over To The Police, I Employed Him To Work For Me.”- BLord
Anambra Born tech entrepreneur and businessman Linus Williams, popularly known as BLord, has shared an unusual story about how he handled a major cyberattack on one of his applications.
According to BLord, he lost $1.2 million to hackers who infiltrated one of his digital platforms. In the course of tracking the incident, he successfully identified one of the individuals involved in the breach.
Rather than handing the suspect over to security agencies, BLord said he made a strategic decision: he employed the hacker.
He explained that the hacker’s skills, though misapplied, were exceptional and could be redirected towards strengthening his company’s cybersecurity systems.
BLord noted that the decision was driven by a desire to turn a negative experience into an opportunity for growth and to better secure his business infrastructure.
Tech
MAN Honours Zobis Cable CEO, Ezeobi, at 37th AGM
The MD/CEO of John Zobis Group, Mr. John Ezeobi, has again been honoured with another major industry prize in recognition of his contributions to local sourcing, innovation and the growth of Nigeria’s manufacturing capacity.
The prestigious award, “Pillar of Industrial Enterprise and National Impact,” which was conferred on him by the Manufacturers Association of Nigeria (MAN) — Anambra, Ebonyi and Enugu Zone, was presented during the association’s 37th Annual General Meeting, Awards & Gala Night at the International Conference Centre, Enugu.
coming barely three weeks after Ezeobi was nominated as the winner of The Sun’s Industrialist of the Year Award 2025 by the Management of The Sun Newspaper, a run of recognition that has further highlighted his rising profile in the South-East manufacturing ecosystem.
The latest award, it was gathered, celebrates Ezeobi’s deliberate investment in backward integration, his push for local sourcing of raw materials and efforts to strengthen domestic value chains, which MAN described as essential to reducing import dependence and creating jobs across the region.
Chaired by Chief Obinna Iyiegbu (Obi Cubana), the well-attended occasion, themed “Exploring Opportunities for Backward Integration and Local Sourcing of Raw Materials for the Manufacturing Sector,” brought together regulators, policymakers, manufacturers and industry stakeholders and also featured presentations, panel sessions and cultural performances, among other highlights.
Speaking at the event, the Keynote Speaker and Director-General of the Raw Materials Research and Development Council (RMRDC), Prof. Nnanyelugo Ike-Muonso, said the economic benefits of exploring Opportunities for backward integration and local sourcing of raw materials for the Manufacturing sector cannot be overemphasized.
Prof. Ike-Muonso told delegates that Nigeria spent over ₦3.53 trillion importing raw materials in the first half of 2025 alone, warning that such dependence continues to weaken the nation’s economy. He further argued that the proposed 30% Value Addition Bill, which would require a minimum local value addition before export, would be transformational if signed into law.
He also outlined the bill’s potential to expand GDP, generate hundreds of thousands of jobs and save foreign exchange by keeping more of the country’s raw-material wealth in domestic supply chains, boost local manufacturing, and generally reposition Nigeria as a regional industrial hub.
On his own part, the Governor of Enugu State, Dr. Peter Mbah, endorsed the call for stronger industry-academia partnerships and urged financial institutions to make affordable credit available to manufacturers who adopt backward integration. The governor, who was represented by his Deputy, Barrister Ifeanyi Ossai, described the policy pathway as key to moving Nigeria from resource export dependence toward higher-value industrial output.
Reacting via his social handle shortly after receiving the award, the Zobis Cable Boss expressed gratitude for the honour, describing it as a strong motivation to do more in driving local production, reducing import dependence, and strengthening Nigeria’s industrial base.
Ezeobi, who received the plaque from pioneer Nollywood star and legal practitioner, Barr. Kenneth Okonkwo, attested that the AGM provided a critical platform for renewed commitment to backward integration as a pathway to sustainable industrial development.
“The event highlighted the critical importance of backward integration and local sourcing of raw materials as strategic levers for strengthening domestic production, reducing import dependency, and building resilient, self-sustaining industries. A meaningful platform for driving progress and collaboration across Nigeria’s manufacturing sector,” he partly wrote.
Also speaking, the Chairman of MAN for the Anambra-Ebonyi-Enugu zone, Dr. Adaora Chukwudozie, described local sourcing as the pragmatic route to lowering production costs and stabilizing supply chains for SMEs and larger manufacturers alike. She welcomed RMRDC’s roadmap and invited state governments to partner in establishing raw-material corridors and shared processing facilities that would bring inputs closer to factories.
The event, which had His Eminence, Eze Eberechukwu Orji, Eze Aro, as the Royal Father of the Day, was also graced by other notable dignitaries and stakeholders, which include Senator Osita Izunaso, Dr. Gideon Chidiebere Osi, Ichie Sunday Ezeobiora , Chairman, Sunchi Farms; Mr Linus Williams Ifejika, Chairman Blord Group; Otumba Francis Meshioye, National President, Manufacturers Association of Nigeria; Dr. Ifeanyi Okoye, Chairman, Juhel Pharmacy; Chief Dr. Dan Chukwudozie, Chairman,Dozzy Group; Dr. Chike Obidigbo,Chairman, Hardis and Dromedas; Anambra Commissioner for Trade and Industry,Mr. Christian Udechukwu.

Tech
GLOBACOM SEALS STRATEGIC CONNECTIVITY PARTNERSHIP TO DRIVE IMO STATE’S DIGITAL TRANSFORMATION AGENDA
By Prince Uwalaka Chimaroke
15-NOV-2025
Globacom, one of Nigeria’s leading digital solutions providers, has entered into a groundbreaking Internet connectivity agreement with the Imo State Government through the Ministry of Digital Economy and e-Governance—an ambitious step that signals the state’s commitment to becoming a fully digitized economy and a model Smart City in the South-East.
The agreement, hailed as the largest single fixed Internet connectivity initiative ever undertaken by Globacom’s Enterprise Business Group, underscores the company’s growing influence in deploying world-class telecommunications infrastructure across Nigeria. This milestone partnership positions the operator at the heart of Imo State’s fast-evolving digital future.
Through the deal, Globacom will deliver high-capacity, state-of-the-art Internet infrastructure to strategic government and institutional locations. These include the 15-building Smart City complex in Owerri, the Ministry of Digital Economy and e-Governance, and the Imo State University for Innovation, Science and Technology (formerly Imo State Polytechnic). The infrastructure rollout is expected to strengthen digital literacy, modernize public administration, and enhance access to digital services for residents.
A central component of the project is the integration of the Glo-1 submarine cable—Globacom’s privately owned, trans-Atlantic fibre optic system that links Nigeria directly to Europe. Known for its high bandwidth, ultra-low latency, and secure connectivity, the Glo-1 network will serve as the backbone for Imo State’s digital expansion.
With this partnership, Imo State aims to accelerate e-governance, improve the efficiency of public service delivery, attract technology-driven investments, and promote innovation across sectors including education, commerce, and security.
The collaboration demonstrates a shared vision between the State Government and Globacom: to empower citizens, institutions, and businesses through robust digital infrastructure that can sustain long-term economic growth.
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