Digital technology firm Cassava Technologies will invest R 1.75 billion (US$ 103 million) into the Gauteng province as part of a broader R 3.6 billion (US$ 218 million) investment into South Africa’s digital ecosystem.
The commitment aims to build on Cassava’s presence in the country, which already spans more than 110,000 km of fiber and five data centers. This investment will be made through Cassava’s business units: Liquid Intelligent Technologies, Cassava Intelligence South Africa, and Africa Data Centres.
The R 1.75 billion has been earmarked to support the expansion of fiber networks, data center capacity, and cloud and cybersecurity infrastructure in Gauteng. The capital will further assist in establishing further AI factories in the province, following the launch of Cassava’s first earlier this year in partnership with NVIDIA.
The investment was facilitated by the Gauteng Growth and Development Agency (GGDA). Earlier this month, GGDA Chief Executive Officer Sthembiso Dlamini conducted a site visit to Cassava Technologies’ Johannesburg office.
“Beyond strengthening Gauteng’s digital infrastructure, this investment will help drive digital inclusion by expanding access to connectivity, supporting digital literacy, and creating opportunities for skills development that enable meaningful participation in the modern digital economy,” Dlamini said in a statement.
“The unique combination of highly developed first-world economic infrastructure and a huge emergent market economy has given rise to a strong entrepreneurial and dynamic investment environment, and key public-private partnerships will ensure that South Africa continues to retain its position as an attractive investment destination,” Hardy Pemhiwa, CEO of Cassava Technologies, said in a statement earlier this year.
Not only will the capital injection improve digital infrastructure in Gauteng, it will also create jobs in the ICT, engineering, construction, and digital services sectors. This will make the province even more attractive to investors than it already is. Johannesburg, the provincial capital, is a top data center destination and analysts report that 76 percent of new IT capacity will be located in the city.