Artificial intelligence (AI) is expected to add US$1.5 trillion to the African economy by 2030, if the continent captures 10% of the AI global market.
This is according to the recently published Africa AI Skills Readiness Revealed report by System Applications and Products (SAP), a German multinational software business.
The report, launched in Johannesburg, South Africa, following SAP research in Kenya, Nigeria, and South Africa, predicts that 230 million new digital jobs will be created in Africa by 2030.
Furthermore, the report estimates that over 650 million African citizens will require digital skills training or retraining in the coming years.
Africa's digital economy is expected to expand from 5.2% of GDP in 2025 to 8.5% by 2050.
SAP states that it previously conducted research in 2022/23 and partnered with research firm Vanson Bourne by the end of 2024 to better evaluate the level of AI skills in the aforementioned key African markets.
The study included written replies from 100 respondents working in both the private and public sectors.
“In our latest report, we find a world transformed by powerful AI and cloud technologies,” the executive said.
Pillay stated organisations were rushing to attract, retain and nurture AI talent.
“Our latest research reveals a universal need for more AI skills among African organisations this year.”
In response to a question on what SAP was doing to equip university students with the necessary AI capabilities, Pillay stated that the German software giant was ready to assist local institutions in preparing the continent for AI integration by ensuring that they produce approved experts into the market.
Africa's AI market is expected to be worth approximately $4.92 billion by 2025, accounting for 2.5 percent of the global AI sector.
According to SAP research, there are over 2,400 AI-focused companies in Africa, including 726 in South Africa, 456 in Nigeria, and 204 in Kenya.
However, nine out of ten African businesses report a shortage of AI expertise. To upskill or reskill personnel, two-thirds of businesses have implemented professional development initiatives that include AI specialisation.
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