Africa’s ambitions for artificial intelligence (AI) are gaining momentum, but the continent still grapples with significant infrastructure challenges. At the G20 Leaders’ Summit in Johannesburg, the United Arab Emirates (UAE) announced a pivotal $1 billion investment aimed at expanding AI infrastructure and AI-enabled services across Africa, highlighting the critical need for external partnerships to bridge these gaps.
Despite an increasing rate of digital adoption, Africa accounts for less than 1 percent of global data-center capacity, even as demand continues to rise, according to a study by the Africa Data Centres Association and the Oxford Business Group. The International Energy Agency’s Africa Energy Outlook 2024 reveals that approximately 600 million people on the continent still lack access to electricity. Furthermore, mobile internet remains one of the most expensive globally in relation to income levels, as noted in the Alliance for Affordable Internet’s 2024 report.
Moussa Beidas, a representative from PwC Middle East, emphasized the urgency of infrastructure development to meet national AI objectives. “There is a strong policy ambition and increasing investment, yet the scale and pace of infrastructure still need to expand to meet national AI goals,” he said. Sid Bhatia, area vice president at Dataiku, identified key barriers such as talent shortages, inadequate data-governance frameworks, and limited capacity for the effective use and maintenance of AI models.
Bhatia suggested that strategies such as edge computing, synthetic data generation, and hybrid-cloud models could help maintain AI systems in markets with unstable electricity and connectivity. According to Kartik Jayaram, a senior partner at McKinsey in Nairobi, Africa’s AI and digital infrastructure is progressing but remains at an early stage. “The total installed data center capacity across the five leading markets—Egypt, Kenya, Morocco, Nigeria, and South Africa—remains below 500 megawatts,” he noted, calling this figure small compared to developed regions but essential for future growth.
Partnerships Key
As the UAE rapidly scales its domestic AI capabilities, it is positioning itself as a global exporter of advanced computing technologies. A report by TRG Datacentres highlights that the UAE now ranks second globally, boasting over 188,000 advanced AI chips and around 6,400 megawatts of compute capacity. Geopolitical analyst Rachel Ziemba, founder of Ziemba Insights, commented on the UAE’s long-term commitment to AI investment in Africa, asserting that such initiatives will continue to evolve, impacting both the UAE and the African continent.
“The challenges are significant and may frame which countries attract the most investment, but the priority is real,” Ziemba added. “Countries with more stable domestic power and the capacity to scale will be in a better position.” She emphasized that part of the UAE’s strategy is to develop a technology stack intended for global export. However, she acknowledged the complexities of navigating the US and Chinese ecosystems and technology access issues while addressing domestic challenges. “Africa is important to the UAE’s vision of energy, resource, and AI deployment,” she said.
Robert C. Mogielnicki, a senior resident scholar at the Arab Gulf States Institute in Washington, D.C., pointed out that the UAE’s investments in Africa reflect a higher-risk, higher-reward mentality that drives Gulf interest in advanced technologies. “Gulf countries like the UAE are investing at home, in key global markets like the US, and also in emerging markets,” he stated. “They hope these investments will yield significant returns both financially and strategically.”
Industry executives contend that the UAE’s funding could significantly accelerate AI deployment across African businesses and government services, transitioning projects from pilot phases to operational scales. “The funding acts as a powerful accelerant for AI adoption,” Bhatia remarked.
Jessica Constantinidis, innovation officer for the EMEA region at ServiceNow, echoed this sentiment, stating that the UAE investment “provides Africa with the foundational layer it has been missing to operationalize AI at scale.” She added, “Africa doesn’t need perfect infrastructure to lead in AI; it needs the right architecture: edge-first computing, physical AI for data generation, and workflow automation to turn intelligence into impact.”
Analysts believe that this investment could facilitate substantial advancements across various sectors, including logistics, energy, finance, and public services. “Africa’s AI infrastructure is at an inflection point,” Beidas concluded. “With foundational elements now in place, sustained investment and stronger execution will be crucial to achieving the continent’s AI ambitions.” McKinsey’s Jayaram noted that targeted partnerships could accelerate progress if aligned with local data strategies, reliable power, and human capital development, emphasizing the importance of collaboration in this evolving landscape.
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