Microsoft has announced a ZAR 5.4 billion investment to expand its cloud and AI infrastructure in South Africa by the end of 2027.
The move, will be building upon its ZAR 20.4 billion investment over the past three years that established the nation's first enterprise-grade datacenters in Johannesburg and Cape Town.
This infrastructure expansion will enable organizations across various sectors to access advanced cloud and AI solutions to drive innovation and efficiency throughout the South African economy.
President Ramaphosa welcomed the announcement as "a vote of confidence" in the country that signals to the business community that "South Africa's economy continues to hold immense potential and that it is a favorable place to do business."
In addition to the infrastructure investment, Microsoft will expand its digital skills initiative by funding Microsoft certification exams for 50,000 young people in high-demand areas such as AI, data science, and cybersecurity over the next twelve months, addressing the critical skills gap identified by the World Economic Forum as a key barrier to digital transformation.
This builds on Microsoft's earlier commitment to skill one million South Africans by 2026 and recent successes in training 150,000 people in digital and AI skills, with 95,000 receiving certifications and 1,800 securing employment through the company's Skills for Jobs program in 2024 alone.
Microsoft's combined investments in infrastructure, skills development, and sustainability initiatives—including commitments to become carbon negative, water positive, and zero waste by 2030—reflect the company's 30-year partnership with South Africa and its vision to help the nation lead Africa's transition from being merely a consumer of AI technology to becoming a producer on the global stage.
