Microsoft, the global tech giant, has projected that Artificial Intelligence (AI) could inject a staggering $1.2 trillion into Africa’s economy by the year 2030. This projection is part of a broader estimate of $15.7 trillion as the potential contribution of AI to the global economy by the same year.
Theo Watson, a Commercial Lawyer with Microsoft Africa, presented these figures during his session titled “AI Opportunity in Africa” at the African AI Journalists Academy held virtually. Watson stated that the $1.2 trillion infusion could propel Africa’s GDP by 5.6% by 2030.
However, Watson noted the need for responsible regulation to harness the full potential of AI while mitigating risks. He advocated for regulations that prioritize ethical considerations and ensure AI advancements align with societal values and norms across the diverse African continent.
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“Responsible and sustainable innovation will ensure that AI progress aligns with the needs that define Africa’s vastly diverse cultures… Collaborating with relevant stakeholders will be key to ensuring that AI solutions are not just technologically advanced but also culturally attuned and genuinely beneficial to African societies,” he stated.
Microsoft’s commitment to responsible AI development was highlighted, with Watson outlining the company’s AI principles focusing on fairness, reliability, safety, privacy, inclusivity, transparency, and accountability since 2016.
Echoing these sentiments, Akua Gyekye, Government Affairs Director at Microsoft Africa, highlighted the transformative impact of technology on various sectors, including health, education, and agriculture. Gyekye cited examples from South Africa and Nigeria where AI applications were enhancing water management and agricultural productivity, respectively.
“Farmers in Nigeria and Kenya are getting customized advice on farming based on AI, advice on soil and weather data.
“This helps them to make evidence- driven decisions and increase yields using technology to do the research and help find the right use of AI to boost productivity of their workforce,” she said.
Gyekye proposed a blueprint for governing AI in Africa, advocating for transparency, academic and public access to AI, and safety mechanisms for critical infrastructure. She also stressed the importance of public-private partnerships to address societal challenges associated with AI deployment effectively.
Microsoft’s projections offer a glimpse into the potential economic and societal benefits awaiting Africa, provided that responsible governance and collaboration frameworks are in place as the continent prepares to embrace the AI revolution.
Since the launch of OpenAI’s ChatGPT, the market for Artificial Intelligence (AI) has witnessed exponential growth. According to industry reports, the AI market has expanded significantly, with a compound annual growth rate (CAGR) of approximately 35% since the introduction of advanced AI models like ChatGPT. This growth can be attributed to the increasing adoption of AI technologies across various industries, including healthcare, finance, manufacturing, and retail, among others.
Microsoft’s projections putting the value of the AI market to a staggering $15.7 trillion globally by 2030, underscores the transformative potential of AI in reshaping economies and societies across the globe. With Africa expected to capture a significant portion of this growth, the continent stands a chance to leverage AI-powered solutions to address pressing challenges and unlock new development opportunities.