https://www.digitalafrica.ai/news daily 0.75 2026-03-30 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/02b12ca3-1cc4-4b00-8a4e-209667bcdfc8/DI+AI+image+8.jpg https://www.digitalafrica.ai/news/new-office-in-cambridge-uk monthly 0.5 2026-03-30 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/0eb43980-5756-4328-a3a0-52771a671402/The+Bradfield+Centre+in+Cambridge+UK.jpg News - Digital Africa opens a new office in Cambridge, UK - The Digital Africa Development Agency has opened a new office in Cambridge, UK. We are thrilled to announce the opening of our newest office in Cambridge, United Kingdom, located at the vibrant Bradfield Centre. This milestone is the result of the strong momentum we’ve built together with our customers in 2025. As demand for telecom and digital‑technology solutions continues to grow across Sub‑Saharan Africa, we recognised the need for additional capacity and specialised expertise. Our Cambridge location will allow us to scale our delivery teams, bringing more engineers, project managers, and consultants on board to meet increasing project volumes. It also gives us a dedicated space to deepen technical expertise, focusing on cutting‑edge telecom infrastructure and digital transformation services. “Opening our Cambridge office marks a significant step forward in expanding our capacity to deliver expert operational and strategic support to our international customers across Sub‑Saharan Africa. It reflects the strong partnership we enjoy with our customers and reinforces our commitment to innovation, expertise, and local impact.” — David Eurin, Executive Director The collaborative environment of the Bradfield Centre aligns perfectly with our culture of innovation and teamwork. From this new hub, we will continue to deliver solutions that empower enterprises and governments throughout Sub‑Saharan Africa. We thank our clients, partners, and dedicated staff for their trust and support—without you, this expansion would not be possible. Stay tuned for upcoming announcements about new projects and hiring opportunities in 2026. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/another-seacable-west-africa monthly 0.5 2026-01-14 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1764775694506-B1PMTA9624MQBLWH9J69/oceanbeach.jpg News - Coming soon, another West Africa subsea cable - While existing cables like WACS and SAT‑3 keep the lights on, they’re aging, costly, and often the sole gateway for whole nations in West Africa. A purpose‑built, multi‑route cable—tightly coupled with terrestrial fibre and local IXPs—could slash wholesale prices, boost resilience, and unlock Africa‑to‑Africa traffic flows. Now is the moment to act and coordinated planning can shave months off a typical 30‑48 month rollout. West Africa’s digital landscape has leapt forward in recent years, yet large parts of the region still wrestle with fragile, overpriced, and uneven international connectivity. A dedicated submarine cable aimed at the continent’s most underserved markets would address three urgent needs—resilience, affordability, and inclusive growth—while unlocking new economic opportunities for hundreds of millions of people. To be truly effective, the cable must also be tightly integrated with terrestrial fibre networks and local Internet Exchange Points (IXPs) so that traffic can be exchanged locally, cached efficiently, and routed between neighbouring countries without unnecessary detours via Europe. Resilience. Many West African nations already host one or more submarine cable landings, but many of those systems are aging. Legacy cables such as WACS, SAT 3, and ACE were installed over a decade ago and are approaching the end of their design life. The newest 2Africa cable will only land in 9 mainland countries out over 20 nations. When a country’s only operational landing is an old system, a fault can isolate the entire nation from the global internet. An omnibus cable would create modern, redundant pathways, ensuring continuity of the digital economy services critical for long-term economic growth. Affordability. International wholesale bandwidth costs in the region remain among the highest in the world because the market is dominated by a limited number of carriers. Introducing another high capacity, open-access infrastructure commoditises the services and forces incumbents to compete on price, driving down wholesale rates. Moreover, several West African states—particularly those with extensive offshore continental shelves face dramatically higher cable branch construction costs. The new system should share infrastructure wherever possible: a common landing station can serve multiple nearby countries, and the last mile connection can be delivered over existing and to-be-built terrestrial fibre backbones rather than building an expensive, vulnerable branch for each nation. This hybrid approach reduces capital expenditure for local governments, lowers the per megabit cost of capacity, and translates into cheaper broadband plans for end users. Inclusive Growth. A growing share of international data traffic now moves directly between African countries, bypassing traditional European transit points. This reduces latency, cuts transit fees, and keeps revenue within the continent. To capitalize on that trend, a new cable must be designed with Africa-Africa traffic in mind, linking African data centre hotspots together. On the other hand, landlocked countries have no coastline, so they cannot host a physical cable landing. Here, virtual cable landing stations— Internet Exchange Point locations linked with landing sites—can extend the submarine system’s reach inland. When paired with a multi-route (we suggest 4 or 5 as a minimum), high-capacity terrestrial fibre backbone, virtual landings give landlocked states cost-efficient, low latency access to international connectivity. Coastal countries can support this development by offering access to dark fibre infrastructure. Supply chain obstacles. Even with a clear business case, building a submarine cable is a multi year undertaking. Three supply chain constraints are stretching timelines. First, global demand for subsea fibre has created backlogs of 12–18 months at the few specialised factories that can produce it. Securing the required length for a West African route therefore adds a year or more to the schedule. Second, only a limited fleet of purpose built ships can lay deep water telecommunications cable. They are booked for projects well in advance. Third, a number of countries still require extensive documentation, studies and approvals to obtain the necessary permits to operate and lay infrastructure in their territorial waters and coastlines. Consequently, the typical “lead time” from project approval to operational service ranges from 30 to 48 months. Early engagement with manufacturers, pre booking of installation ships, local authorities and coordinated planning with fibre backbone owners can shave months off the schedule, but the fundamental bottlenecks remain. The timing is unmistakable: West Africa’s digital future hinges on a resilient, affordable, and well integrated submarine backbone that replaces aging assets like WACS, SAT 3, and ACE, complements 2Africa and Equiano, accommodates the high cost of offshore landings through shared infrastructure, supports the emerging pattern of direct intra African traffic and the needs of land locked nations via virtual landing stations. Although manufacturing shortages, a limited fleet of installation ships and lengthy permitting processes stretch the lead time to three plus years, those logistical hurdles are surmountable with early planning and coordinated investment. By committing now to a purpose built cable that reaches both coastal hubs and inland capitals and by wiring each landing (physical or virtual) into robust terrestrial fibre and vibrant IXPs, governments, operators, and investors can ensure that every West African citizen shares in the high speed, low latency internet that powers today’s global economy. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/drive-demand-to-attract-capital monthly 0.5 2025-12-03 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/438c1300-c2ce-40d6-8239-5200e7b5b7c3/andrew-the-mechanic.jpeg News - Drive demand to attract capital - Focusing on infrastructure to develop the digital economy in Africa (and reap the rewards of a better-connected society) is taking the wrong end of the stick. It’s creating demand at the most local level that will drive private capital investment. At this week’s Africacom conference in Cape Town, I sat down for another DFI‑sponsored roundtable on how to draw private‑sector investment into Africa’s digital economy. A senior industry figure opened the discussion with a blunt question: “What are we going to do now so we don’t reconvene next year asking the same thing?” What followed was an intelligent—though, in my view, somewhat misguided—exchange among leading players about where subsea cables, terrestrial fibre backbones or FTTx deployments should be prioritized and how they ought to be funded. For years we have operated under the assumption that making cheap capital available to infrastructure providers automatically expands connectivity. While that strategy does push networks farther into rural and underserved regions, it hardly moves the needle on everyday adoption of digital tools by the people we aim to serve. The networks are left empty, as end-users do not have the ability to leverage them. Private capital dries out. The result is a series of forums that keep circling back to the same fundamental problem. Instead of focusing on infrastructure, DFIs should do more to empower the end‑users who actually generate demand for those pipes. Imagine a young mechanic named Jonas (a pseudonym) who is passionate about motorcycles and wants to open a bike‑repair shop in his town. Jonas would need a simple, mobile‑friendly website to showcase his services, a point‑of‑sale system that accepts mobile‑money payments, and a lightweight, locally‑developed ERP that integrates with the national mobile‑money platform and tax authority. This would let him track customers, manage cash and file taxes on time. He could start by setting up the site and POS at a nearby Internet café, then move to his own laptop once the business gains traction. DFIs can catalyze this kind of demand in two practical ways. First, they can seed local funding channels by partnering with community banks and micro‑finance institutions to direct low‑cost capital straight to entrepreneurs like Jonas. Second, they can support ecosystem builders—Internet cafés, local system integrators, POS distributors, web‑design studios and ERP developers—by providing targeted financing for their solutions. As end‑users adopt digital tools, private infrastructure owners—from mobile‑network operators to fibre providers—will naturally follow the emerging demand, investing where the market proves its viability. By redirecting a portion of DFI resources (and the industry’s attention) toward end‑user empowerment, we can spark genuine demand and ensure that the next roundtable isn’t a repetition of the last, but a celebration of measurable progress. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai Image courtesy of the Stromme Foundation. https://www.digitalafrica.ai/news/reliable-fibre-backbones monthly 0.5 2025-11-13 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1719403816453-6EB6H9SQ3Y4J3VTSN8T5/DI+AI+image+6.jpg News - Reliable fibre backbones in Africa - Relying on fibre backbones in Africa demands extensive monitoring, on‑the‑ground intelligence, and a robust maintenance organisation for both fibre operators and their customers. Building and maintaining fibre backbones across the continent’s vast and varied geography presents a unique set of challenges. Consequently, many fibre network operators—whether independent or part of a mobile carrier—struggle to achieve consistently high uptime. It is not uncommon for the monthly uptime of a specific route to dip below 90 %, even though overall network availability can still exceed 99 % when the network is sufficiently meshed. From the perspective of investors, global operators, or project management offices (PMOs), the core difficulty lies in assessing a route’s viability, the quality of its construction, and the operator’s ability to maintain—and repair—a hundred‑plus kilometres of fibre under harsh conditions. These conditions often include limited or non‑existent road access, extreme weather patterns, presence of armed groups or security concerns, heavy road traffic and severe erosion, or interference from wildlife. Relying solely on subcontractor reports can obscure significant risks and may even create compliance liabilities. Digital Africa Development Agency addresses these gaps with a fibre build monitoring and operations audit service for investors and large capacity customers. Our audits combine on‑the‑ground surveys, operations reviews, NOC (Network Operations Center) data mining. Together, these elements pinpoint critical pain points and generate actionable recommendations to strengthen both infrastructure and day‑to‑day operations. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/delivering-ai-in-africa monthly 0.5 2025-12-03 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1749138500126-2MKLTABAEMHHQTT8P14U/iStock-1347475555.jpg News - Delivering AI services in Africa - The race to roll out AI infrastructure and deliver AI services now reaches extraordinary proportions and geopolitical importance in the USA, Europe and China. Meanwhile we are developing ambitious but realistic delivery models to bring inference AI to Africa. There is very little uncertainty about whether we will use AI services from now on. While individuals might not want to pay (directly) for it, those who have access to AI generative services can leverage their impressive ability to summarise, translate or generate new text and images. Businesses aim to embed them in their routines and processes, and while there are reports of various degrees of success (in terms of ROI) it is fair to say that AI is here to stay. Global executives dream of what the future could be if AI models turn out to be better at creating businesses, innovation, and value than we have been so far. To power this demand, we see a rush to build infrastructure to train vast models (latest is about half a trillion parameters) and make them available via inference services. The challenge is there for most of countries, companies and individuals: how to control the data that is used in inference services. Most countries in Africa have now introduced GDPR-insprired data protection rules, meaning that models outside borders should not be provided with public or business data. This means that inference cannot happen outside borders, and AI inference services must be delivered locally. Digital Africa Development Agency has launched a fast-track, standardised programme for public agencies and private businesses to gain access to AI services locally. This involves focused investments in data centres, computing power, connectivity and service capabilities, to be available in most African countries (over time). ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/angotic2025-launch-of-ai monthly 0.5 2025-12-03 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/9b4f719e-c9b6-4c9c-850b-32a6c5dac7e7/20250614_110015.jpg News - Building Angola AI - ANGOLA TELECOM, DIGITAL AFRICA DEVELOPMENT AGENCY, MISTRAL AI AND AFD GROUP LAUNCH INITIATIVE TO IMPLEMENT ARTIFICIAL INTELLIGENCE INFRASTRUCTURE AND SERVICES IN ANGOLA. Angola Telecom, an Angolan Telecommunications Company, and Digital Africa Development Agency, announce the start of an investment program to support the implementation of Artificial Intelligence in ANGOLA TELECOM data centres and the implementation of MISTRAL AI models in Angola. The initial phase of this program, supported by the Agence Française de Développement, involves a proof-of-concept project to launch the MISTRAL AI models during ANGOTIC 2025 in Luanda, Angola, from June 12-14, 2025. The project presents use cases of AI models in Angola with localised computing infrastructure (AI factory) to be hosted in Angola Telecom data centres, as well as access to a dedicated and customised instance of MISTRAL AI Le Chat, tailored to Angola Telecom. The goal of this program is to establish a sovereign, large-scale AI factory in Angola capable of supporting a range of AI applications, in healthcare, agriculture, education, transportation, and more. The public and private sectors will be able to access AI resources in Angola to train and use AI models, without having to rely on offshore computing platforms. This is expected to improve data privacy, skills retention, and service quality while reducing costs. The program will also include training opportunities for job seekers and professionals. With a roadmap for AI infrastructure and services rollout, the initiative involves a multi-million dollar investment over the coming years. This partnership will advance Angola’s place. With this partnership, we will promote Angola position as a leading digital hub in Southern Africa, fostering the development of sustainable and inclusive digital services for the entire population and businesses in the region. ABOUT ANGOLA TELECOM Angola Telecom, founded in 1992, is an incumbent telecommunications operator in the Republic of Angola, a dominant operator in certain telecommunications segments, such as fixed telephony, and owner of the largest fiber optic network connecting the country to the world. For more information, visit our website at www.angolatelecom.ao ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai ABOUT AFD - AGENCE FRANÇAISE DE DÉVELOPPEMENT Agence Française de Développement (AFD) Group funds, supports and accelerates the transitions to a fairer and more sustainable world. Focusing on climate, biodiversity, peace, education, urban development, health and governance, our teams carry out more than 3,600 projects in France’s overseas departments and territories and another 160 countries. In this way, we contribute to the commitment of France and French people to support the sustainable development goals. https://www.digitalafrica.ai/news/local-ai-for-development monthly 0.5 2025-09-27 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1748941131305-I5P5DNWD5OS31MXBRZ0V/AI+for+heatlhcare.jpg News - Sovereign AI Ecosystems - Every country needs to build their own AI capabilities, from infrastructure to services with an ecosystem of professionals able to develop models, train and adapt them to local needs and create value locally. This is most true for African countries, and they should help the local private sector to set up their own AI Services. The AI Services should offer chat services to the public, based on a re-trained Large Language Model, to access local information such as government services, transport information, historical and regional information, health and education information; information-retrieval and analysis services for public administration (legal context, public database information, etc.); API for business use, such as enriching new or existing software (chatbot, educational software, etc.); and training services to government personnel, businesses and the public, to increase awareness, usage and benefits. The AI Services would have the following benefits: improved access to information, such as education, healthcare and e-government services (in particular via SMS-based queries, which do not require expensive mobile handsets and broadband subscriptions); enhanced communication, such as translation (English to local languages for example), citizen engagement (information, alerts); efficient public services, such as automated routine tasks (frequently asked questions), and providing information on government services; data analysis and insight, such as predicting trends in economic indicators, government initiative outcomes, social issues, as well as in research projects; automation of business processes, such as customer service, data entry and optimisation of operations (demand prediction, inventory management, logistics); access to technology and services, without the need to deploy expensive infrastructure (leapfrogging); encouraged entrepreneurship and investments, through business advice, market analysis, access to global insights, identification of investment opportunities’ and social and economic inclusion, by providing support to agricultural and other local practices, market and weather information, optimised agricultural practices and health information (in particular to young women). To enable AI Services, one would see the deployment of a low-cost, small-scale (but scalable) AI infrastructure in local data centres. This should be encouraged (both in terms of policy and in grant funding) by governments and international organisations. Once set up, a healthy and diverse ecosystem of software companies supporting the public and private sectors to leverage AI services would flourish. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/ai-what-for monthly 0.5 2025-09-27 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/fa5ec443-fd59-4675-a08d-8c7bfc07ac93/image-asset.jpg News - AI, what for? - I am not convinced that large companies have a clear vision for AI yet, but they will likely acquire smaller firms that do. The Mobile World Congress serves as a platform for major tech companies, telecommunications providers, and even nations to showcase their latest offerings. MWC25 was heavily focused on AI; however, it was challenging to discern the specific problems that large companies aimed to address with their AI solutions. Perhaps their primary goal was to impress the stock market. Many exhibitors prominently featured "AI" on their posters, but obtaining clear explanations from staff about how AI was being utilised to perform life-changing activities proved difficult. Upon further inquiry, some solutions were revealed to be basic machine learning applications, such as plate recognition or image processing. One demonstration involved AI assessing an "emotional score," which indicated I was "very interested" (95% score) in the content displayed. The practical value of this was questionable. Additionally, a phone manufacturer employed a feature long mastered by voice-activated assistants—adding an event to a calendar— if a customer purchased their latest device. In contrast, smaller companies, often found in less prominent locations such as Hall 8.1, were more forthcoming about their objectives. They presented clear and concise mission statements, summarised in 20 words. This straightforward approach was refreshing and made their goals easily understandable. The key takeaway was that with a robust dataset and a well-defined question (ideally related to the data), AI can be a powerful tool. Large corporations, in my view, are falling short in effectively communicating the benefits of their AI services (at best). Nevertheless, the applications of AI are expanding. AI does not need to be groundbreaking. No one enjoys sifting through vast amounts of data (CVs, lists, alerts, measurements, papers, etc.) because it is tedious and quickly overwhelms our cognitive abilities. It is possible that smaller companies will pioneer innovative AI solutions, which larger corporations will then acquire. This pattern is not unprecedented. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/ai-overinvestments-longterm-value monthly 0.5 2025-03-12 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/4077a62d-aefb-4cf3-989e-78faa4c06faa/AI+crystal+ball.png News - AI over-investments - AI: a story of over-investments and long-term economic value. There are large long-term economic benefits from using AI - uses cases are many. The value created by AI services will grow over time, as e-commerce has slowly but steadily taken its place in the retail industry. (see illustration) Meanwhile we are seeing a very large investment in infrastructure (data centres, GPUs) to power AI models and services. Some of this is over-investment, driven by the fear to miss out, as acknowledged by several industry leaders. Without a crystal ball, it is hard to know where to stop and what will trigger the start of a rationalisation period. But... There is a physical limit to everything: eventually, companies will slow down their investments, digest what they have and focus on sweating these assets. Hype will go away, we will get used to having these new tools; we will expect them to work like we expect light to come on when we switch a button -- being invisibly useful is the best outcome for a technology. Investors will ask -- when will this peak happen. I think we can triangulate the timeline. How many large companies in the US/Europe have already announced large investments in AI, as a total? Assess whether they are likely to repeat this level of investment next year. Compare with consensus expectation of revenue growth for the leading infrastructure suppliers. Wait a quarter (or two?) until they announce their results. https://www.digitalafrica.ai/news/leo-do-not-compete-with-fibre monthly 0.5 2025-09-27 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/b7c5cdc4-e9aa-4448-b77b-8a58c16a9aca/Starlink+map+11+Nov+2024.jpeg News - LEOs do not compete with fibre - LEO satellites do not compete with fibre. Starlink has updated its availability map (11 November 2024 screenshot), flagging key commercial hubs in Nigeria as SOLD OUT. A small number of commercial buildings, administrations and individuals/SMEs are served so far. However LEO satellites have their place in the ecosystem. Kuiper will soon follow, adding capacity to the market. And the ubiquity of the satellite service combined with a reasonable peak bandwidth capacity, make LEO a fantastic, affordable choice for broadband access in peri-urban and rural areas. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/africa-got-fibre monthly 0.5 2025-09-27 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/93d73a87-5c6d-481d-9f53-138c2f348afb/CPT+Africacom+2024.jpeg News - Africa has fibre but can’t use it - Africa has fibre but can't use it. Africacom (November 2024) again in Cape Town reflects the mood in Africa's wholesale digital markets. Attendance up, but few new ideas are emerging. In particular, the market for digital infrastructure seems stuck. Few new projects announced, same maps from Liquid and WIOCC, a couple of domestic players showing limited coverage. There are national and cross border links across Africa, but the ecosystem seems unable to use it properly. Small data centres (but SA) are popping up. Few big tech companies presenting use cases like operational efficiency and new product development. Time to rethink our development model, so the existing fibre can be of use. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/dcs-go-nuclear monthly 0.5 2025-09-27 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1728985344856-82SAX3HFWHV0W5JUSKRK/image-asset.jpeg News - DCs go nuclear - Data centres represent an increasingly large proportion of our energy consumption, with crypto and AI driving a surge in requirements. DC operators have been exploring different sustainable energy sources to power their data centres locally and cleanly. Google started this week a new trend by ordering several Small Modular (nuclear) Reactors from Kairos. Google, Microsoft and other hyperscalers have been deploying increasingly large data centre facilities to cope with additional demand for AI services (typically training their AI models). That is putting the electricity generation (power plants) and distribution (transmission lines) under stress. As the trend continues, data centre operators are turning to dedicated energy generation facilities to power their campuses. Small Modular Reactors (SMR) are nuclear power plants that are smaller than the average nuclear plant (50-300MW vs 1-5GW). They can be partially prebuilt in a factory and deployed faster. The International Atomic Energy Agency also suggests that they have advantages where transmission lines (for electricity) are insufficient. This trend complements other initiatives such as installing large arrays of solar panels locally or entering into long-term power purchase agreements with gas-powered plants, hydro-electricity plants (dams) and biofuel power plants. The move to nuclear by the private sector represents a step change in the electricity generation sector, where the size of investments required to build a full-size nuclear facility (several tens of billions of dollars) would require a national authority to take the lead. However, it is largely unknown whether the price per unit of electricity will be cheaper with SMR than with traditional nuclear plant. Investing in SMR signals an interesting strategy for DC operators (of a certain size) to secure long-term access to high-density, low-carbon, localised energy sources. The case remains open if this is a long-term trend or an experiment. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/so-you-want-to-be-a-telco monthly 0.5 2025-09-27 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/b39cc84c-9496-4762-9be9-d22bb6850ff6/corridor+discussion.jpg News - So you want to be a telco - Mobile operators have entered the fintech business first in regions where access to banking, insurance and other financial services is lacking; M-PESA made this strategy famous. Now banks are entering the telecom sector. It comes with opportunities and many pitfalls. Retail banks and insurance companies face similar challenges to telecom companies: they prioritize customer experience for growth and profits, their IT systems can be complex, and they operate in heavily regulated environments. Large subscriber bases interested in both financial and telecom services present a significant opportunity for cross-selling, retention, and data analysis. Revolut's recent launch of a lightweight MVNO through its financial services app demonstrates the potential for cross-selling. By offering data packages for local and roaming use, Revolut has successfully attracted customers due to the convenience of e-SIMs and low-cost roaming charges. While this appears to be a customer retention strategy, it may hold greater potential for the future. In Africa, many banks have recognized this opportunity and are exploring different ways to expand their subscriber base through digital services. Partnering with resellers or MVNOs to offer telecom services can be a more cost-effective way to acquire customers compared to traditional branch-based approaches. This allows banks to cross-sell financial services to a wider audience. However, managing fickle customer bases in the telecom sector can be challenging for financial institutions. Customers can switch SIM cards more easily than bank accounts, and market dynamics are constantly changing with fluctuating pricing and marketing promotions. To successfully manage the telecom side of their business, banks should assemble a dedicated team with incentives to cross-sell financial services. ABOUT DIGITAL AFRICA DEVELOPMENT AGENCY The Digital Africa Development Agency helps public and private organisations to maximise the impact of digital services on economic development and their stakeholders, by providing expert advice, market insights and operational support. More information at www.digitalafrica.ai https://www.digitalafrica.ai/news/african-clouds-not-so-big-yet monthly 0.5 2024-09-27 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1719404367432-I1N1EKDQ69AWCGBX2A8N/DI+AI+image+7.jpg News - African clouds, not so big yet - Hyperscalers are promising more investments on the African Continent, but it remains a small contribution to the scale of infrastructure and service revolution that the region requires to grab a seat on the world economic stage. AWS concluded its Johannesburg Summit last week with a juicy $1.7 billion dollar promise over the next five years to build more infrastructure and launch new cloud services. Earlier this year, Microsoft led the way with a $1 billion plan with G42 to boost the digital ecosystem in Kenya (hear, data centres and AI services), most likely to create a new MSFT region in East Africa. Google promised the same $1 billion in 2022. While these figures and the push to bring more investment is more than welcome and necessary, we believe the region remains shortchanged and the investment rather misplaced. The data centre infrastructure deployed (and in construction) to support AI services in any large city of Europe would dwarf the combined promises above. Companies have started to show that digital innovation can happen in Africa. However the digital ecosystem remains small. The demand for digital services is nascent, while growing. And the question is how to make this go faster. Is AI an opportunity for African developers and businesspeople to race ahead? It is time for African governments to review their policies (regulation, tax, immigration, forex) to encourage a. the development of incubators where digital education and innovation will take place, b. the inward flow of foreign investments in the most successful start-ups, c. the expansion of these companies at the regional level, to leverage the combined demand across the Continent. It is also time for global companies to take the leap into the Continent, with the adequate investment levels, to develop an ecosystem of services that will answer the needs of local populations and businesses. Coming with a $3.7 billion check to do it themselves is probably not the only answer. We would rather see 1 million $3,700 checks. https://www.digitalafrica.ai/news/less-fibre-for-you monthly 0.5 2024-09-09 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/a74348e9-7c44-4f54-a93a-c7f8f0d88aca/DI+AI+image+4.jpg News - Less fibre for you - There is a race between mobile operators and a handful of specialised companies to claim the largest terrestrial fibre network in Africa. Already millions of kilometeres of fibre routes cross the Continent. However this hides dramatic variations between countries, where some got more, and many have much less. Governments must prioritize the expansion of fibre optic infrastructure to ensure their nations remain competitive in the digital age. A significant disparity in fibre connectivity compared to neighbouring countries poses a serious threat to economic growth and technological advancement. Although wireless technologies like 5G and satellite broadband offer connectivity solutions, fibre optics remain the cornerstone of robust digital infrastructure, particularly for data-intensive applications and large-scale operations. The physical properties of fibre ensure reliable, high-speed data transmission, making it indispensable for sectors such as data centres, enterprise resource planning (ERP), and corporate data processing. Investing in fibre networks is crucial for attracting foreign investment, fostering innovation, and participating in the global digital economy. Unfortunately, many countries have faced challenges in deploying fibre infrastructure due to insufficient public funding, regulatory hurdles, and a lack of technical expertise. Failure to invest in fibre connectivity can have long-term consequences, hindering economic development and limiting a nation's ability to compete on the global stage. To avoid falling behind, governments must adopt best practices and prioritise the expansion of fibre optic networks. https://www.digitalafrica.ai/news/trump-harris-usa-africa monthly 0.5 2024-08-22 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/d69997b3-36e8-4c9d-bf31-72203708dfff/DI+AI+image+2.jpg News - American Africa - The upcoming Presidential Election in the USA is triggering concerns about the future of the relationship between the USA and Africa, even though both main contenders have, in practice, supported investments on the Continent. In 2018, the Trump administration passed the BUILD Act, transforming OPIC into DFC and increasing its investment limit by US$31 billion. Sub-Saharan Africa represents the largest share of DFC investments. This was broadly seen as a response to Chinese presence and significant investments in the region. In 2022, the Biden administration introduced the DTA initiative at the U.S.-Africa Leaders Summit, to expand digital access and literacy and strengthen digital enabling environments across Africa. This was followed by a multi-country (Ghana, Tanzania, and Zambia) by vice-President Harris in 2023, where she pronounced that “African ideas and innovations will shape the future of the world…. And so we must invest in the African ingenuity and creativity”. It remains to be seen which way this support will go from 2025 onwards. Investments (private and public, including by DFIs) in infrastructure, energy, digital economy, and the development of a stronger SME ecosystem (the best way to create jobs for the young African population), are critical for the development of all 54 countries of the Continent. Billions of USD are needed and billions of USD are available, and we need to find a way to accelerate the deployment of that capital. https://www.digitalafrica.ai/news/dig-under-the-sea monthly 0.5 2024-07-22 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/c3706cdc-c462-42f4-b5ec-5f97240ea394/polytechnique+insights+-+deep+sea+mining.png News - Dig under the sea - Seabeds could become the next frontier - subsea consortiums beware! Interest in seabed mining is increasing as the pressure on extracting rare metals and minerals is pushing nations to explore new, geopolitically-neutral areas. The location of the richest seabeds, except in the middle of the Pacific Ocean, often coincides with the routes taken by subsea cables. As Institut Polytechnique de Paris recently reports, coastal states have rights over resources located in their exclusive economic zones; beyond that, the sea is a common zone where the status of mining remains to be defined. Yet it is a zone rich in resources, particularly sulphide clusters, cobalt-rich crusts and polymetallic nodules. The International Seabed Authority (ISA) is negotiating a regulatory framework for the exploitation of deep-sea resources. These negotiations are giving rise to a new geopolitical sphere where traditional states alliances are questioned, and companies play an increasingly influential role. Subsea cable owners and consortiums should take part in the discussion and ensures their rights, alongside other users of seabeds such as pipeline and electricity cables, are protected. Recent landslides have cut several cables, one may not need more disruption. https://www.digitalafrica.ai/news/infrastructure-glory-days monthly 0.5 2024-07-05 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1719403816453-6EB6H9SQ3Y4J3VTSN8T5/DI+AI+image+6.jpg News - Infrastructure glory days - Careful picking of investment opportunities and backing management can work For several decades investors have been looking at Africa as the next Eldorado for infrastructure development, in particular in the digital space, attracted by the population size and lack of essential infrastructure. Many billions of dollars have been invested, but most still argue that this is the tip of the iceberg compared to the need. In the meantime, USA, Europe, China have powered forward and built vast campuses of data centres (good timing for an AI surge), criss-crossed their countries with fibre and rolled out more base stations that we can count. Money is arguably available for investment, what’s the issue with Africa? African countries still puzzle investors. Many business plans dream of hockey sticks where demand will rocket and supply happily follow, creating a superb case for value creation and shareholder returns. This has been done before in Africa - look at the business of the main mobile operators in the largest countries, where service take-up grew many multiple times what was hoped for. Unfortunately this seems to be the exception. Many data centres are still looking quite empty, a result of a Build-It-They-Will-Come aspirational models. The ecosystem of digital services is growing but from a very low base and one does not see a growth inflection point in the numbers yet. The yield of many fibre projects is very low; while traffic has increased, the ability to pay a premium for high-speed networks has not appeared. However, select investments in African infrastructure and digital services have good potential. One needs to be overly picky when choosing projects to back and very involved in supporting management. Ecosystems (creating traffic, value and profits) will take time to emerge. We see innovation in African companies, but not enough professionalism (management experience, international thinking, etc). Glory days will come, one needs to be patient. https://www.digitalafrica.ai/news/eurin-joins monthly 0.5 2024-07-01 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/12120b10-fa8f-4a6f-b82e-2fdf053513c0/GD_liquid0139.jpg News - Eurin joins Digital Africa - The Digital Africa Development Agency announces today that David Eurin has joined the Agency as its Chairman and Lead Partner. Eurin joins the Agency from Liquid Intelligent Technologies where he was Senior Vice President and CEO of Liquid Dataport, the international network and satellite division. Before Liquid, Eurin was Partner and Head of Africa for TMT management consultancy Analysys Mason, based in Paris and London. He will take the helm of the Agency and bring a wealth of experience in the telecommunications and technologies sector in Africa to the Agency’s customers and partners. https://www.digitalafrica.ai/news/fibre-worries monthly 0.5 2024-06-12 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1718033063990-34ZCFZXRTDA36PUGTZN5/image-asset.jpeg News - Fibre worries - Why is it so hard to offer reliable fibre networks in African countries? Building a fibre network that connects cities and countries together, from enterprises sites to data centres, and sometimes all the way to homes, is not that hard, even in Africa. Plenty of contractors can be found with either lots of cheap workers (shovels and spikes) and machinery. Managing the quality of the build is tricky, as contractors continuously cut corners (usually they don't dig to the 1.2m depth one would require) so we need to be on their back all the time. Finding equipment, material (fibre, manholes, poles, etc) is straightforward and can be imported if necessary. Local management can handle this alright. Where it breaks, literally, is to maintain the infrastructure. Any shortcoming in the quality of the build will very quickly show, e.g. manholes not at the right place, shallow dig will get fibre to show and be broken, poor quality poles will break, etc. Reliable networks are not break-free. Good networks will see a break every 300km every month in Africa context. So well managed maintenance teams need to be around, equiped with vehicles, spares, tools, and located at critical points (not too far from any point). Roads can be bad (or absent, so think motorcycles), police/other forces can bar roads, wild animals can present a significant danger at night. A 4h turn-around time (from time of detection to resplice) is critical to call the network "reliable". Of course, fibre networks must be meshed, with at least three routes between any point (i.e. any significant town must see three fibre routes on the map). Once set up, the networks can be commercialised. Interconnections must be managed and accounted for (inventory management) and quality managed (forget about opening your manholes to any CSP team without chaperons). The best set up can be ruined quickly. Networks are expensive to build ($25-30/m is a good benchmark) and infamously expensive to maintain and commercialise. Pricing must be managed. We have seen a move by larger players to pay up-front for a proportion of the build cost, with very small ongoing payments. This won't support any form of maintenance, and fibre owners will eventually subsidise their large customers in this scenario. https://www.digitalafrica.ai/news/a-new-start monthly 0.5 2024-06-12 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/47b0589e-b0d0-4bee-b167-de707e241af8/Umoja.png News - On the road again - Google announced in May 2024 a new multi-million US$ digital infrastructure investment in East Africa, from Kenya to South Africa via several landlocked countries (Uganda, Rwanda, DRC, Zambia, Zimbabwe), thanks to super large data user Google and their customers. The terrestrial fibre portion from Kenya to South Africa was rolled out by Liquid Telecom. There is a new subsea cable (to be built) between South Africa and Australia. The terrestrial fibre portion is expected to serve landlocked countries across South East Africa, bringing additional capacity to capital cities. This may lower the cost of IP Transit for ISPs and Mobile Operators in countries where retail Internet prices are still higher than average. The new route can also serve as redundancy for subsea cables along the East coast of the Continent - several cuts were felt on both sides of Africa recently. It can only be a step on the road for Google, creating a worldwide, redundant system of seacables and terrestrial fibre to lower the cost to access digital content (and services) for its billion customers. https://www.digitalafrica.ai/deals-and-operations daily 0.75 2025-11-21 https://www.digitalafrica.ai/deals-and-operations/valuation-support monthly 0.5 2024-06-26 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1719403816453-6EB6H9SQ3Y4J3VTSN8T5/DI+AI+image+6.jpg Deals and Operations - Valuation support - Our team will work with your transaction team to analyse market conditions (now and in the future), assess the strengths and challenges of the target company, and create a business plan anchored on realistic but ambitious assumptions. This will be aligned with your own organisation’s objectives and strategic positioning. We will help you, as you may require, in the negotiations with the existing investors in the target company and their advisors, as well as with internal documentation to support the investment. Our team has decades of experience in identifying, vetting, valuing and closing transactions in the telecommunications and technology sector in Africa. https://www.digitalafrica.ai/deals-and-operations/business-planning monthly 0.5 2024-06-26 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/1719404367432-I1N1EKDQ69AWCGBX2A8N/DI+AI+image+7.jpg Deals and Operations - Business planning - We will support your team to build a reasonable but ambitious case for your most complex and strategic projects. Based on our shared insights, market research, benchmark and our planning experience, we will create an operational and financial model showing the risks and rewards of your project. We have decades of experience in structuring Excel-based financial models that use both bottom-up and top-down approaches to quantify the revenue and margin opportunities of many infrastructure and service-based projects. Assumptions will be based on thorough research and discussions to assess timelines, market shares, revenue potentials, products and services, operational and investment costs, as well as working capital and other financial costs. We will produce documentation that can be audited and understood internally and externally to the project as well as Investment Committee (or Board of Directors) presentation material. https://www.digitalafrica.ai/deals-and-operations/negotiations monthly 0.5 2024-06-26 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/a74348e9-7c44-4f54-a93a-c7f8f0d88aca/DI+AI+image+4.jpg Deals and Operations - Partnership negotiations - We will help you negotiate the best possible deal with your future partners, using our experience in setting up joint ventures and partnerships across the African continent. It takes two engaged and willing parties to create a superb deal, and it’s also important to be well prepared, know what the ideal outcome should look like, and have a realistic and practical alternative (in case the negotiation does fail). Our team can embed itself in your negotiation team, or provide advice before and during the negotiations. We have experience in commercial, technical and legal discussions, and we will use our background as well as the necessary additional research to prepare you with the best structure possible. When the partner is still to be identified, we can work with your team to identify and short-list a number of possible partners, and assess what a possible deal might look like. https://www.digitalafrica.ai/deals-and-operations/operational-support monthly 0.5 2025-11-21 https://images.squarespace-cdn.com/content/v1/6666ed2aa5c71a1295ce5820/a4ceb7ce-7b27-493c-98a3-309e243d408e/DI+AI+image+1.jpg Deals and Operations - Operational support - Your sales organisation, pre-sales and service delivery, pricing and market positioning, customer experience, and many other operational functions can benefit from our decades of experience in structuring and running telecommunication business functions. We will work hand-in-hand with your teams to discover and analyse where most improvements can be made, in the short and long terms. We will bring different best practices and processes, so we can refine together how this would best fit your existing organisation, people and strategic objectives. Once the analysis is done and the direction set, we can further help you implement and monitor the changes, within your team or as a audit specialist. We will document your new ways of working, processes and IT system requirements, decision-making processes and people skillsets. We can also train your staff, create internal presentations to help with change and motivate your teams, cementing the best choice forward. 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