Microsoft to Invest R5 Billion in AI in South Africa
Tech giant Microsoft announced plans to invest R5 billion in artificial intelligence and data center infrastructure within South Africa.
During a press briefing with President Cyril Ramaphosa, Microsoft’s President and Vice Chair, Brad Smith, described AI as a transformative technology. He compared its potential impact to that of electricity and the steam engine. Smith emphasized the importance of expanding AI use in South Africa’s public sector, specifically highlighting the South African Revenue Service (SARS) for its successful AI implementations. The company will also fund 50,000 individuals to undertake further courses and certification exams in fields such as cloud architecture, AI, and cybersecurity.
President Cyril Ramaphosa commented on the investment, stating that the timing was “pivotal,” as the country prepares to host the Group of 20 major economies in November. Ramaphosa described the investment as a “momentous occasion”.
This new commitment adds to Microsoft’s existing R20.4 billion investment in South Africa, bringing the total to R25.8 billion. The announcement comes amid political discussions between South Africa and the US.
Ramaphosa humorously alluded to the absence of US officials from preliminary G20 talks. He described Microsoft as an “American company with an African heart.”
South Africa has been using its G20 presidency to further its push for “equitable, inclusive and just” AI development. Ramaphosa stated, “We are committed to ensuring that the adoption of new technologies catalyses and boosts Africa’s growth and industrialisation.”
