[Image: NLPC]
Tech giant Microsoft is set to invest R5 billion in artificial intelligence and data center infrastructure in South Africa.
During a press briefing with President Cyril Ramaphosa, Brad Smith, Microsoft’s President and Vice Chair, described AI as the next transformative, general-purpose technology, comparing its impact to that of electricity and the steam engine.
Smith emphasised the importance of expanding AI use in South Africa’s public sector, particularly praising the South African Revenue Service (SARS) for its successful implementation of AI technology.
He said the company will also fund 50,000 people to take further courses and certification exams in cloud architecture, AI, and cybersecurity.
At the same conference, President Cyril Ramaphosa said the investment comes “at a pivotal time” as the country prepares to host the Group of 20 major economies in November.
“This to us is such a momentous occasion, to have an investment of such enormous proportions.”
The investment will add to the R20.4 billion that Microsoft has already invested in SA, taking the total to R25.8 billion.
The pledge comes as a welcome vote of confidence amid the political back-and-forth between South Africa and the US over a range of policies, including a recent land ownership law.
“I said to Brad: you are very brave.” Ramaphosa joked at the conference, taking a jab at US Secretary of State Marco Rubio and Treasury Secretary Scott Bessent’s absence from the preliminary G20 talks held in Johannesburg and Cape Town last month.
Ramaphosa described Microsoft as “an American company with an African heart”.
South Africa has used its G20 presidency to push for “equitable, inclusive and just” development of AI. “We are committed to ensuring that the adoption of new technologies catalyses and boosts Africa’s growth and industrialisation,” Ramaphosa said.
[Source: AlgoaFM & Businesstech]
