Google’s products and services, such as Search, Ads, Google Play, YouTube, Google Cloud and Google advertising tools generated an estimated $16 billion in economic activity across Sub-Saharan Africa in 2023 for businesses, nonprofits, publishers, creators, and developers. This is equivalent to boosting the revenue of over 1 million small and medium-sized businesses.
This was revealed in a recent report conducted independently by Public First and released by Google, which explores how digital tools and infrastructure are driving and accelerating economic growth throughout the region.
The report titled “The Digital Opportunity of Sub-Saharan Africa,” shows that every $1 invested in digital technologies in Sub-Saharan Africa is projected to generate over $2 in broader economic value by 2030. Also, a 1 percent increase in internet access could boost GDP by nearly 6%.
“The opportunities for digital transformation in Sub-Saharan Africa are immense. We’re excited to be part of this journey, driving innovation and economic growth through our investments in connectivity, skills development, and entrepreneurship. The impact we’re seeing today is just the beginning, and we’re committed to helping unlock the full potential of this dynamic region,” Alex Okosi, Managing Director, of Google Africa told media representatives at the launch of the report.
In 2021, Google committed to invest $1 billion in Africa to support the continent’s digital transformation. This investment focused on enabling fast, affordable internet access for more Africans, building helpful products; supporting entrepreneurship and small businesses, and helping nonprofits to improve lives across Africa.
“Digital technology has already had a powerful impact on people’s lives across Sub-Saharan Africa. Further innovation is now set to turbocharge these benefits, with every dollar invested in tech returning two dollars to the region’s broader economy. Our research emphasises the strategic importance of connectivity, cloud computing and artificial intelligence – and explores Google’s leadership in these areas,” stated Amy Price, Director & Head of Technology Policy, Public First.
To further increase the reach and reliability of digital connectivity for Africa, Google is investing in Umoja, the first-ever fibre optic route to directly connect Africa with Australia.
Umoja will enable African countries to more reliably connect with each other and the rest of the world. Establishing a new route distinct from existing connectivity routes is critical to maintaining a resilient network for a region that has historically experienced high-impact outages.
The report also offers strategic policy recommendations to maximize the potential of artificial intelligence in Africa, which could boost the Sub-Saharan economy by $30 billion.
It emphasises the need for prioritising cloud-first policies and expanding digital infrastructure to support AI and broader digital transformation. It also stressed the importance of building AI fluency and strengthening STEM education, ensuring that the region’s workforce is equipped with the skills necessary to thrive in a digitally driven economy.
More highlights from the report:
● Through programs like Developer Scholarships and Digital Skills for Africa, Google trained over 6.5 million individuals in 2023 alone, leading to a $7.8 billion increase in productivity.
● Moreover, 60% of young adults in the region have used Google Search to apply for jobs in the last six months, reinforcing Google’s role in fostering career development.
● The report shows that 76% of online adults in Sub-Saharan Africa identify as entrepreneurs. Google’s initiatives, such as the Google for Startups Accelerator and the Black Founders Fund, are providing crucial support to these entrepreneurs, helping them transform innovative ideas into successful businesses.
● The report estimates that AI could increase the region’s economy by over $30 billion. Google’s ongoing commitment to responsible AI development, through its research centres in Ghana and Kenya, is set to play a pivotal role in this growth.
● YouTube has empowered a generation of digital entrepreneurs. 9 in 10 YouTube Creators agree that YouTube has given them a platform to share their creativity and culture with others – whilst also monetising their content.
For more information and to access the full report, visit here.
Business Insider
