Tech giant Microsoft will invest $298 million on artificial intelligence (AI) and data centre infrastructure in South Africa, the company’s vice-chair said Thursday.
In January, the multinational company revealed plans to offer AI and cybersecurity training to one million South Africans by 2026.
“We are increasing our investment to expand our AI and data center initiatives here,” Brad Smith stated at a conference in Johannesburg.
This commitment builds upon earlier investments of $1 billion in data centers within the country, according to Smith.
Additionally, the company will support 50,000 individuals in pursuing advanced courses and certification exams in cloud architecture, AI, and cybersecurity, he added.
Speaking at the same conference, South African 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,” Ramaphosa said.
The pledge comes at a time when South Africa has found itself in the spotlight of U.S. President Donald Trump, who last month froze aid to the country over various policies, including a recent land ownership law.
US Secretary of State Marco Rubio and Treasury Secretary Scott Bessent both missed the preliminary G20 discussions held in Johannesburg and Cape Town last month.
“I told Brad: you’re very brave,” Ramaphosa joked at the conference, referring to Microsoft as “an American company with an African heart.”
“The global community is eager to seize the opportunities AI offers,” Ramaphosa said, cautioning that its use “must be inclusive and equitable, ensuring no one is left behind.”
Pretoria has pushed for an “equitable, inclusive and just” development of AI as one of its priorities on the agenda of its G20 presidency.
“We are committed to ensuring that the adoption of new technologies catalyses and boosts Africa’s growth and industrialisation,” Ramaphosa said.
