Microsoft Invests $297 Million in AI and Cloud Infrastructure Expansion in South Africa

Microsoft to invest about $300 mln more in AI infrastructure in South Africa

JOHANNESBURG, March 6 (Reuters) - Microsoft (MSFT.O), opens new tab will invest an additional 5.4 billion rand ($296.81 million) in artificial intelligence (AI) infrastructure in South Africa, Microsoft Vice Chair and President Brad Smith said on Thursday. Smith also said at an event in Johannesburg that the world's biggest software maker would pay for technical certification exams for 50,000 individuals in high-demand digital skills. Microsoft announced in January that it was planning to invest about $80 billion in fiscal 2025 on developing data centres to train AI models and deploy AI and cloud-based applications. ($1 = 18.1936 rand) Reporting by Nqobile Dludla; Writing by Tannur Anders; Editing by Alexander Winning Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics:Artificial Intelligence

Microsoft to Invest ZAR 5.4 Billion to Expand Cloud and AI Infrastructure in South Africa

Microsoft aims to upskill one million South Africans by 2026 and fund 50,000 high-demand certifications. Microsoft has announced plans to spend ZAR 5.4 billion to expand its cloud and AI infrastructure in South Africa by 2027. This investment builds on the company's ZAR 20.4 billion investment over the past three years to establish enterprise-grade data centers in Johannesburg and Cape Town. Also Read: Microsoft Launches Dragon Copilot, AI Assistant for Clinical Workflow Microsoft says this round of investment will enable a wide range of organisations -- from start-ups to large multinationals and government entities -- to access cloud and AI solutions to improve operational efficiency and productivity, optimise service delivery, and drive innovation across the South African economy. President Cyril Ramaphosa welcomed the announcement, calling it a "vote of confidence" in South Africa's economy and business environment. Customers across various industries in South Africa and Africa, including financial services, healthcare, retail, agriculture, mining, and public sector, are already reaping the benefits of Microsoft cloud and AI technologies, the company said in a blog post on March 6. "For more than 30 years, Microsoft has been a committed partner to South Africa," said Brad Smith, Vice Chair and President of Microsoft. "This latest investment is part of our broader focus in helping South Africans build a future where technology drives prosperity and young workers have the skills they need to thrive." Also Read: Microsoft to Invest USD 3 Billion in India to Boost AI, Cloud, and Skilling: CEO Microsoft cited the World Economic Forum, which reports that 60 percent of companies in the Global South identify a critical skills gap as a key barrier to business digitally transforming by 2030. To address the shortage of AI and digital skills, Microsoft said it is expanding its skills development programs. Earlier this year, the company committed to skilling one million South Africans by 2026 and will fund 50,000 certifications in high-demand fields like AI, Data Science, Cybersecurity Analysis and Cloud Solution Architecture over the next year. In 2024 alone, Microsoft reported that over 150,000 individuals received digital and AI training, with 95,000 obtaining certifications and 1,800 securing jobs through Microsoft's Skills for Jobs program. Over the past year, Microsoft's commitment exceeded USD 100 million in software donations to South African educational institutions and nonprofits. Also Read: Microsoft AI Solutions Drive Transformation for Over 200 Businesses: December 2024 Edition Microsoft believes that South Africa has an opportunity to lead the way in enabling Africa to become a producer of AI technology, not just a consumer, the official release said, adding that the AI infrastructure operating in South Africa will be governed by Microsoft's AI Access Principles.

Microsoft to invest $300 million more in South Africa's AI infrastructure

JOHANNESBURG, March 6 (Reuters) - Microsoft will invest an additional 5.4 billion rand ($296.81 million) by the end of 2027 to expand its cloud and artificial intelligence infrastructure in South Africa to meet the growing demand for the company's Azure services in the region. Microsoft Vice Chair and President Brad Smith said at an event in Johannesburg on Thursday that the world's biggest software maker would pay for technical certification exams for 50,000 individuals in high-demand digital skills. The certification will be for cloud architecture, AI and cybersecurity, he added. Microsoft has already spent 20.4 billion rand to set up South Africa's first enterprise-grade data centres in Johannesburg and Cape Town. The country has become a major hub for data centres to handle the high computational demands of AI as companies seek to integrate the technology into various products and services. Microsoft plans to invest about $80 billion globally in fiscal 2025 on developing data centres to train AI models and deploy AI and cloud-based applications. ($1 = 18.1936 rand) (Reporting by Nqobile Dludla; Writing by Tannur Anders; Editing by Alexander Winning and Richard Chang)

Microsoft Plans $297 Million South Africa AI Investment

Microsoft Corp. will invest an additional 5.4 billion rand ($297 million) in South Africa by the end of 2027 to expand its cloud and artificial intelligence capacity in the country. Vice Chairman Brad Smith made the announcement at an event in Johannesburg on Thursday, ahead of an upcoming South African investment conference.

Microsoft Pours $297 Million Into AI And Cloud Expansion In South Africa - Microsoft (NASDAQ:MSFT)

Every week, our Whisper Index uncovers five overlooked stocks with big breakout potential. Get the latest picks today before they gain traction. On Thursday, Microsoft Corp MSFT committed 5.4 billion rand ($297 million) investment by the end of 2027 to expand its cloud and AI infrastructure in South Africa to meet the growing demand for Azure services in the region. The investment builds on the company's 20.4 billion rand investment over the past three years to establish the nation's first enterprise-grade data centers in Johannesburg and Cape Town. This investment round will enable many organizations to access cloud and AI solutions to improve operational efficiency and productivity, optimize service delivery, and drive innovation across the South African economy. Also Read: TikTok Invests $8.8 Billion in Thailand Data Centers, Bypassing US-China Tech Tensions The company said the money would pay for 50,000 young people's certification exams in digital skills over the next 12 months. Bloomberg reports that Microsoft will build new capacity in Centurion in South Africa's province of Gauteng in 2024. Microsoft has also agreed to build a $1 billion geothermal-powered data center in Kenya. Meanwhile, recent reports indicated Microsoft scrapping leases totaling hundreds of megawatts of capacity for data centers in the U.S., possibly signifying AI computing overcapacity. Microsoft recently reiterated its plans to spend $80 billion on AI data centers in fiscal 2025. Wall Street firms, including Bank of America, had highlighted Azure overshadowing the potential AI upside during the second-quarter report. Price Action: MSFT stock is down by 0.35% to $395.51 premarket at the last check on Friday. Also Read: Uber Expands Grocery Delivery, Adds FreshDirect to Uber Eats for First-Time Third-Party Access Photo by monticello via Shutterstock MSFTMicrosoft Corp $395.99-0.23% Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full Score Edge Rankings Momentum42.99 Growth62.34 Quality48.61 Value13.98 Price Trend Short Medium Long Overview Market News and Data brought to you by Benzinga APIs