New report highlights the transformative impact of digital technology in the region, as Google invests in artificial intelligence and connectivity solutions.
A recent report commissioned by Google and conducted by the London-based research consultancy Public First has projected that artificial intelligence (AI) could inject more than $30 billion into Sub-Saharan Africa’s economy over the next six years.
This optimistic forecast forms part of a wider analysis exploring the influence of digital technologies on economic growth across the continent.
Titled “The Digital Opportunity of Sub-Saharan Africa,” the report was unveiled at an event in Nairobi, where researchers shared insights gathered from a comprehensive survey comprising 7,598 online adults, 1,732 YouTube creators, and 1,752 online business leaders.
“Our research emphasizes the strategic importance of connectivity, cloud computing, and artificial intelligence,” stated Amy Price, Director and Head of Technology Policy at Public First.
Google’s Regional Director for Government Relations and Public Policy, Charles Murito, highlighted the growing potential of AI solutions tailored to local challenges as adoption accelerates across the continent.
“We’re using AI to build better maps for Africa to boost local businesses and enhance disaster management through our Open Buildings Project,” Murito explained.
The tech giant is also leveraging AI for monitoring locust migrations to bolster food security and enhance maternal health by using ultrasound technology to predict potential ailments in unborn children.
In April, Google collaborated with Kenyan health organization Jacaranda Health to develop multi-language large language models, enabling local teams across Africa to customize AI for their specific contexts. This partnership followed a $1.4 million grant from Google aimed at deploying generative AI to provide personalized SMS support to new and expecting mothers in Kenya.
According to the report, Google’s various platforms—including Search, YouTube, Google Cloud, and Google Play—contributed approximately $16 billion in economic activity to businesses, nonprofits, and developers across Sub-Saharan Africa in 2023. As smartphone penetration increases and mobile internet costs decline, Google’s Android operating system, utilized by over 84.9% of the continent, plays a crucial role in delivering AI capabilities. Mariam Abdullahi, Director of Android Partnerships at Google EMEA, emphasized their focus on affordability and accessibility.
Google is committed to responsible AI development throughout the continent, with research centers located in Accra and Nairobi and a product development center in Nairobi. Alex Okosi, Managing Director of Google Africa, noted that these centers are dedicated to addressing key challenges facing the region and improving local services.
AI innovation is gaining traction in several countries, particularly South Africa, Kenya, Egypt, and Nigeria, with Mauritius leading as the first African nation to release a national AI strategy. South Africa has also played a pivotal role in developing a pan-African AI Blueprint to guide member states in formulating effective policies.
The African Union Development Agency (AUDA-NEPAD), based in South Africa, has contributed to the formation of the “African Union Artificial Intelligence Continental Strategy,” reinforcing the focus on digital transformation across the continent.
The Economic Impact of Digital Connectivity
The report indicates that even marginal increases in internet connectivity can significantly impact economic performance. A mere 1 per cent boost in internet access could lead to a 5.7% increase in GDP. Google has committed to enhancing connectivity efforts in Africa, highlighted by its investment in the Equiano and Umoja submarine cables.
Research findings further suggest that investing 1 in digital technology in Sub−Saharan Africa could yield over $2 in economic value by 2030.
Google Search and Google Workspace have already aided knowledge workers in saving over 100 million hours weekly, translating to an estimated 11 billion productivity boost for the regional economy. Last year, Google’s search engine facilitated a
7.8 billion productivity increase by helping 6.5 million adults acquire new digital skills.
Reflecting the region’s entrepreneurial spirit, the report states that 76% of online adults in Sub-Saharan Africa consider themselves entrepreneurs.
Google’s initiatives, including the Google for Startups Accelerator and the Black Founders Fund, aim to empower budding businesses.
This study, released two years after Google pledged to invest $1 billion in Africa’s digital economy, offers policy suggestions emphasizing cloud-first strategies, expanding digital infrastructure, and enhancing STEM education to fuel AI and digital transformation.
Alex Okosi expressed optimism about Sub-Saharan Africa’s digital landscape, stating, “The opportunities for digital transformation in Sub-Saharan Africa are immense. We’re excited to be part of this journey, driving innovation and economic growth through our investments in connectivity, skills development, and entrepreneurship.”
This report underscores the vast potential of AI and digital technologies in reshaping the economic future of Sub-Saharan Africa, providing new solutions to local challenges while fostering growth across various sectors.
