Artificial intelligence (AI) is undergoing significant expansion across Africa, driven by ambitious investments and landmark initiatives. Two standout developments are:
- Safaricom’s $500M investment in AI infrastructure across East Africa
- Itana’s full-stack AI hub in Lagos, Nigeria
These initiatives reflect Africa’s transition from a passive consumer to an active creator of AI technologies, with tailored ecosystems emerging to solve local and continental challenges.
Safaricom’s $500 Million AI Infrastructure Investment
Strategic Vision
- Investment Details: Safaricom, East Africa’s leading telecommunications company, has committed over $500 million toward building AI infrastructure in the region over the next three years.
- Announcement: The plan was unveiled at the Connected Africa Summit 2025 in Diani, Kenya.
Objectives and Scope
- Infrastructure: Funds will be directed at upgrading telecom and data center infrastructure, enabling advanced AI services in Kenya and neighboring markets.
- AI Ecosystem: Safaricom’s strategy includes developing talent and supporting AI-driven solutions for sectors such as agriculture, healthcare, and financial services.
- Talent Development: Over 5,000 employees have already received AI training as part of a broader push for digital transformation.
Impact on African AI Landscape
- Leapfrogging Traditional Models: Safaricom aims to shift Africa from a technology consumer to a technology producer, leveraging AI to address unique African needs.
- Digital Economy: Enhanced digital infrastructure is expected to drive inclusive economic growth and scalable digital services across East Africa.
- Global Signal: The scale and vision of this investment mark Africa’s readiness to set its own AI trajectory, not merely follow global trends.
Itana’s New AI Hub in Lagos
Hub Description
- Project Scope: Itana is constructing a “full-stack AI and data growth zone” within Alaro City, near Lagos, as Africa’s first purpose-built enclave for the entire AI value chain.
- Integrated Ecosystem: The hub is designed to support foundational model development, application companies, and data center operations, all within a special economic zone.
Unique Features
- Ecosystem Depth: Unlike broader ICT parks such as Kenya’s Konza Technopolis, Itana’s zone specifically aggregates compute resources, talent, and regulatory flexibility for AI.
- Business Model: Companies can register with Itana for as little as $2,000, operate remotely, and benefit from fast-track licensing and regulatory support.
- Operational Status: The hub is already operational, with more than 30 AI-focused companies joining the ecosystem. Over 70% of these are foreign or diaspora-owned, demonstrating its international appeal.
Impact and Ambition
- Addressing Infrastructure Gaps: The initiative counters Africa’s historic reliance on foreign infrastructure for AI development by providing localized compute power and data storage.
- Talent & Innovation: Itana aims to cultivate “green unicorns”—AI companies founded in Africa that address local challenges while competing globally.
- Physical and Digital: The hub offers robust physical infrastructure—reliable power, broadband, and water—vital for running intensive AI workloads, while also supporting remote and distributed teams.
Broader Trends in African AI Development
- Wider Adoption: Nigeria, South Africa, Kenya, and Egypt now account for over 80% of tech and AI startup funding on the continent, with Nigeria home to 400+ active AI firms.
- Economic Potential: Research forecasts suggest AI could unlock up to $100B in annual economic value for Africa by improving productivity across sectors like education, health, and agriculture.
- Local Data and Sovereignty: African-led AI projects, like Safaricom’s and Itana’s, are crucial for data sovereignty and ensuring AI solutions are contextually relevant and inclusive.
Key Developments Table
| Initiative | Focus & Highlights | Geographic Scope | Scale & Status |
|---|---|---|---|
| Safaricom $500M AI Investment | Upgrade telecom, data centers; talent development; AI for local sectors. | East Africa (esp. Kenya) | $500M+, 3-year plan, ongoing |
| Itana AI Hub, Lagos | Full-stack AI ecosystem (compute, talent, biz support); special economic zone; globally accessible. | Lagos, Nigeria | 30+ AI cos., operational |
Conclusion
Africa is rapidly becoming an influential force in global AI, with major investment from both public and private sectors. Safaricom and Itana are showcasing a new era where Africa is building its own digital future—creating homegrown AI solutions, attracting foreign investment, and laying the groundwork for economic independence and innovation-driven growth.
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