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Home » AI Spending In Africa Set To Surge As Region Commits To An AI-Powered Digital Future
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AI Spending In Africa Set To Surge As Region Commits To An AI-Powered Digital Future

IDC's research estimates that AI will contribute $19.9 trillion to the global economy by 2030, accounting for 3.5% of global GDP.
DigitalTimesNGBy DigitalTimesNG21 January 2025No Comments3 Mins Read101 Views
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News Highlights:

  • AI investment surge in META region
  • There’s economic impact and AI-led transformation

Spending on AI in the Middle East, Türkiye, and Africa (META) totaled $4.5 billion in 2024 and is projected to surge to $14.6 billion by 2028, representing a compound annual growth rate (CAGR) of 34%, reports Digital TimesNG.

That’s according to the latest insights from International Data Corporation (IDC), with the global technology research and consulting firm attributing this rapid growth to the region’s steadfast commitment to transitioning toward an AI-driven digital economy.

As the META region continues to prioritize AI and generative AI (GenAI) strategies, investments in infrastructure, platforms, foundation models, governance, data architectures, and skills are accelerating. At the same time, organizations across the region are increasingly pivoting from experimentation to scaled adoption and from proof of concept to proof of value.

IDC will explore the challenges and opportunities presented by this shift in priorities as it hosts the META region’s most influential technology vendors, telecommunications operators, and IT service providers at IDC Directions META 2025.

Taking place on January 28 at the JW Marriott Hotel Marina in Dubai, this exclusive tech industry event will address the theme ‘Transitioning Your Customers to an AI-Fueled Future.’

IDC’s latest research highlights the transformative economic impact of AI, with the technology expected to contribute $19.9 trillion to the global economy by 2030 and account for 3.5% of global GDP. Every dollar spent on AI solutions will generate an economic ripple effect of $4.6 through indirect and induced contributions, reinforcing AI’s role as a key driver of innovation and productivity.

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“Organizations are embracing this transformation, with 89% of worldwide IT leaders projecting stable or increased budgets in 2025 to prioritize AI-led initiatives,” says Crawford Del Prete, IDC’s global president. “The META region is uniquely positioned to lead the global AI revolution. With the right investments in digital infrastructure and AI governance, organizations across the region can unlock unprecedented economic opportunities and set a global benchmark for innovation.”

IDC Directions META 2025 will showcase IDC’s latest research and insights into this transformation, offering actionable guidance to help businesses and governments unlock the full potential of AI. “AI adoption has undoubtedly begun transforming the region’s business landscape,” says Jyoti Lalchandani, IDC’s regional managing director for META, Central Asia, and India.

“However, the road ahead requires a sustained focus on building robust ecosystems, fostering skills development, and ensuring scalable cloud and datacenter solutions to fuel the next phase of digital growth.”

Designed to equip tech vendors, resellers, regulators, and service providers with critical insights, outlooks, and predictions, IDC Directions META 2025 promises essential guidance on navigating the region’s evolving AI-fueled landscape.

Attendees will also be able to customize the day’s agenda to meet their own specific requirements, choosing from a range of intricately tailored sessions hosted by IDC experts as they shine a spotlight on the key trends shaping ICT investments in their respective territories.

The event will bring together global and regional thought leaders to explore the transformative potential of AI, with key sessions addressing AI’s role in redefining digital business models, optimizing cybersecurity strategies, enhancing cloud infrastructure, and driving datacentre expansion.

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