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Monday, January 26, 2026

Africa’s Digital Ambitions Face Transmission and Fragmentation Risks

Africa is increasingly united in its ambition to build a competitive, AI-enabled digital economy. Governments and investors across the continent are scaling digital infrastructure, recognising data centres as the backbone of cloud computing, artificial intelligence, and modern digital services.

The opportunity is significant. Africa’s data centre market is projected to grow from US$3.49 billion in 2024 to US$6.81 billion by 2030, while the AI market is expected to expand from US$4.51 billion in 2025 to over US$16.5 billion by 2030. Together, these sectors underpin a broader US$1.5 trillion digital economy potential by the end of the decade.

Yet structural weaknesses threaten this trajectory. Transmission—both of power and connectivity—remains one of the continent’s most persistent barriers. Dr. Krishnan Ranganath, Regional Executive for West Africa at Africa Data Centres, argues that while power generation exists, outdated grids and weak fibre networks prevent effective distribution.

“Building data centres is the easy part,” he says. “If connectivity is unreliable or power transmission is weak, these facilities become stranded assets.”

Fragmentation compounds the challenge. Divergent regulations, data localisation rules, and uneven digital maturity across countries raise costs, limit scale, and undermine cross-border investment. Instead of a unified market, Africa risks developing isolated digital hubs that struggle to compete globally.

While momentum is growing—from Egypt and Kenya to Nigeria and South Africa—progress will depend on coordination. Africa’s cloud market is projected to reach US$45 billion by 2031, and fintech US$65 billion by 2030, but realising this potential requires aligned policies, shared standards, and regional collaboration.

“The question is not just data centres,” Dr. Ranganath notes. “It is how Africa builds a complete digital ecosystem—power, networks, skills, and markets working together.”

Africa’s digital future is within reach. But without fixing transmission fundamentals and overcoming fragmentation, the continent’s AI and digital ambitions risk falling short of their promise.

Africa’s AI Moment Arrives as Egypt Takes Center Stage

For years, conversations about artificial intelligence have been dominated by Silicon Valley, Europe, and East Asia. But that narrative is shifting fast. Africa is no longer watching from the sidelines—it is building, scaling, and increasingly shaping how AI is deployed for real-world impact. That momentum comes into sharp focus this February as Egypt hosts Ai Everything Middle East & Africa (MEA) Egypt 2026, the world’s first all-AI industry summit and showcase of the year.

Held on 11–12 February 2026 at the Egypt International Exhibition Center, the event places Africa firmly in the global AI spotlight. It arrives at a defining moment: artificial intelligence is projected to contribute more than US$1.5 trillion to Africa’s GDP by 2030, driven by rapid adoption in public services, finance, health, telecoms, and industrial systems.

Egypt as a Gateway for Africa’s AI Ambitions

Egypt’s role as host is symbolic and strategic. As a bridge linking Africa, the Arab world, and the Gulf, the country has positioned itself as a regional AI hub—ranking first in Africa for Government AI Readiness and third in the Arab region for AI Resilience. Backed by its Second National AI Strategy, Egypt is investing heavily in cloud infrastructure, digital public services, and Arabic-first AI models tailored to local realities.

By convening policymakers, investors, startups, and global technology giants, Ai Everything MEA Egypt is designed to move AI beyond policy documents into deployment—turning ambition into economic value across African markets.

More than 350 AI enterprises and startups from over 30 countries will showcase solutions spanning cloud computing, cybersecurity, data centers, fintech, healthcare, mobility, and public services. Global leaders such as Microsoft, AWS, Cisco, HPE, and Capgemini will share the stage with African and regional innovators—including Egypt’s own Olimi AI, whose multilingual agents understand Arabic dialects across North Africa and the Gulf.

This blend matters. Africa’s AI story is not about importing technology wholesale, but about localising intelligence—building systems that reflect African languages, institutions, and social contexts.

Africa’s Startup Powerhouse

Egypt now leads Africa’s startup ecosystem, accounting for 31% of total continental startup funding in the first half of 2025 alone. That surge reflects a broader trend: African entrepreneurs are leveraging AI to solve practical challenges—from healthcare delivery to digital payments and climate resilience.

At Ai Everything MEA Egypt, startups from across Africa, Europe, Asia, and the Middle East will demonstrate AI in action, reinforcing Africa’s role as both a market and a source of innovation.

Beyond technology showcases, the summit tackles deeper questions: how can African countries build sovereign AI systems, retain data control, develop talent, and ensure AI serves the public good? Leaders from the World Bank, UN agencies, development banks, and global AI firms will confront the realities of compute power, financing, ethics, and inclusion.

As Africa accelerates into the AI era, these conversations are no longer theoretical—they are urgent.

Ai Everything MEA Egypt 2026 signals something larger than an industry event. It marks Africa’s transition from AI consumer to AI architect. With rising investment, expanding infrastructure, and a new generation of innovators, the continent is staking its claim in the global AI economy.

The future of artificial intelligence will not be built in one region alone—and Africa, increasingly, is helping to shape it.