Microsoft is set to invest an additional 5.4 billion rand (approximately $296.81 million) to enhance artificial intelligence (AI) infrastructure in South Africa.
Microsoft’s Vice Chair and President, Brad Smith, announced that the company would also fund technical certification exams for 50,000 individuals which will focus on high-demand digital skills, including cloud architecture, AI, and cybersecurity.
This new investment builds upon Microsoft’s prior investment of 20.4 billion rand, which was allocated to establish South Africa’s first enterprise-grade data centers in Johannesburg and Cape Town. These facilities have made the country a significant hub for data centers, catering to the high computational demands of AI as businesses increasingly integrate this technology into their operations.
The expansion aligns with Microsoft’s global strategy to bolster AI capabilities. In January, the company revealed plans to invest approximately $80 billion globally in fiscal year 2025, focusing on developing data centers to train AI models and deploy AI and cloud-based applications.
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South Africa’s President, Cyril Ramaphosa, lauded Microsoft’s commitment, highlighting it as a vote of confidence in the nation’s potential. He emphasized that such investments are pivotal in transforming South Africa into a digital economy, ensuring that technological advancements like AI do not widen the digital divide but rather help to bridge and eventually eliminate it.
Lillian Barnard, President of Microsoft Africa, expressed enthusiasm about the AI opportunities in Africa, stating that AI presents a chance for the continent to leapfrog in technological advancement. She underscored Microsoft’s dedication to turning South Africa into an AI-driven economy, reflecting the company’s commitment to fostering innovation and economic growth in the region.
Microsoft’s substantial investment not only aims to enhance technological infrastructure but also seeks to empower individuals by equipping them with essential digital skills.
