Google projects its data centre investment in Johannesburg, part of a broader R18 billion African initiative, will generate 300,000 jobs and contribute R1.7 trillion to South Africa’s economy by 2030.
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The tech giant believes South Africa’s young population and high unemployment rate present a unique opportunity to become an AI leader in Africa and globally.
Speaking at the launch of Google’s Johannesburg cloud region, Google’s EMEA President Tara Brady emphasized the potential for rapid AI development through strategic training.
“When you have such high unemployment, it means that we can put those people to work, which is an opportunity that we don’t have in other regions,” Brady stated.
South Africa’s official unemployment rate stands at 31.9%, with youth unemployment at 44.6%.
Google’s 2021 pledge of $1 billion (R18 billion) over five years for African digital transformation includes substantial investment in the Johannesburg cloud region, skills development, and support for tech startups.
Communications Minister Solly Malatsi, in a prerecorded address, highlighted the importance of skills development for South Africa’s digital future.
“True digital transformation requires that all South Africans have access to the tools and, most importantly, the skills to participate meaningfully in the digital economy,” Malatsi said.
Microsoft is also investing in South Africa’s digital future, committing R5.4 billion to data center infrastructure and skills initiatives.
Microsoft plans to provide AI training and Microsoft certifications to 50,000 South Africans, focusing on AI fluency, engineering, and systems design, as well as cloud architecture and cybersecurity.
“These are precisely the certificates and the skills that win people’s jobs,” said Microsoft President Brad Smith.
Microsoft aims to equip one million South Africans with AI skills by 2026.
