Microsoft (MSFT, Financials) announced a $290 million investment to expand its cloud and artificial intelligence infrastructure in South Africa by 2027.

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The action builds on the company's earlier $1.1 billion data center investment in Cape Town and Johannesburg.

The most recent investment is to promote access to AI-powered cloud services, thereby supporting companies, government agencies, and startups. Cyril Ramaphosa, the President of South Africa, greeted the news as evidence of faith in the nation's economy.

Microsoft will pay certification tests for 50,000 South Africans in AI, data science, cybersecurity, and cloud computing portion of the program. To close the digital skills gap in the nation, the firm has also pledged one million South Africans by 2026 to get training. Brad Smith, Microsoft Vice Chair and President, said the initiative complements the long-term initiatives of the business to equip employees with the required technological competencies.

Emphasizing sustainability as part of its AI growth, the business also reiterated its commitment to becoming carbon-negative, water-positive, and zero waste by 2030. With a 34-gigawatt portfolio spread across many nations, it has expanded its usage of renewable energy.

Having been in South Africa for over thirty years, Microsoft has supported worker projects and digital learning. Over 150,000 individuals received training in digital skills and artificial intelligence in 2024; 95,000 of them obtained certificates and 1,800 of them were hired. The firm said that the most recent investment supports its long-term commitment to help South Africa's economy flourish and employment generation be sustained.