Africa AI sector to surge to $16.5B by 2030 as tech giants and startups drive growth

Africa’s artificial intelligence sector is set for a dramatic expansion, with Mastercard and other key players forecasting a jump from the current USD 4.5 billion to USD 16.5 billion in value by 2030 [1]. The anticipated growth is driven by increased adoption of AI in key industries such as finance, agriculture, and healthcare, signaling a shift toward digital innovation across the continent [1].

The momentum is being supported by both local startups and global investment. Tesla’s recent USD 16.5 billion collaboration with Samsung to co-develop AI chips is expected to indirectly benefit African markets by boosting global AI capabilities and increasing the availability of advanced tools and platforms [2]. At the same time, African entrepreneurs are increasingly applying AI to solve local challenges, such as optimizing logistics and enhancing financial access [1].

Despite this optimism, not all industry voices agree with the USD 16.5 billion forecast. Meta has publicly expressed doubts about the projection, though this remains a point of debate among experts. High-profile investors, including Elon Musk, have also entered the conversation, with reports indicating that Musk has committed a similar amount to AI development, further raising the profile of the sector [3].

Realizing this growth will require significant investment in infrastructure, education, and ethical frameworks for AI deployment. Mastercard has emphasized the role of public-private partnerships and policy support in unlocking the continent’s AI potential [1]. As the market continues to evolve, the next few years will be critical in determining whether the projected leap materializes or remains a bold but unfulfilled vision.

Source:

[1] Tech Trends » AI in Africa to top $16.5B by 2030, Mastercard. (https://www.kenyamoja.com/tech)

[2] AI Quick Feeds - Your Source for AI News & Updates (https://aiquickfeeds.com)

[3] Top of the Morning - Indian Podcasts (https://indian-podcasts.com/podcast/mint-business-news)