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Vodafone and Microsoft have joined forces in a $1.5 billion investment deal to boost the adoption of artificial intelligence (AI) and cloud computing in Africa. As part of the agreement, Vodafone will invest the funds over the next decade to develop cloud and customer-focused AI services in collaboration with Microsoft. The partnership will leverage Vodafone’s connectivity services and Microsoft’s technology expertise to enhance digital transformation across the continent.
The collaboration also includes Microsoft’s investment in Vodafone’s managed IoT connectivity platform, which will become a separate entity by April 2024. This new company aims to attract partners and customers, driving growth in applications and expanding the platform’s connectivity to more devices, vehicles, and machines.
The digital services resulting from this partnership will utilize generative AI technology to provide personalized and differentiated customer experiences. These services will adhere to Vodafone‘s responsible AI framework, emphasizing unbiased, ethical privacy, and security policies. Key areas of collaboration between the two companies include generative AI, scaling IoT, Africa digital acceleration, enterprise growth, and cloud transformation.
Margherita Della Valle, Chief Executive of Vodafone Group, expressed enthusiasm about the partnership, emphasizing its potential to accelerate the digital transformation of business customers, small and medium-sized enterprises, and improve consumer experiences.
Satya Nadella, Chairman and CEO of Microsoft, highlighted the opportunities that AI and cloud technology can unlock for organizations worldwide. He expressed excitement about applying advanced cloud and AI technologies in collaboration with Vodafone to enhance the experiences of millions of people and businesses in Africa and Europe.
Microsoft plans to further scale M-Pesa, Africa’s largest financial technology platform, through African digital acceleration initiatives. This involves housing M-Pesa on Azure, Microsoft’s cloud platform, and enabling the launch of new cloud-native applications.
Additionally, the companies are launching a purpose-led program aimed at benefiting 100 million consumers and one million SMEs in Africa. The program aims to enhance digital literacy, provide skilling initiatives, conduct youth outreach programs, and offer digital services to underserved SMEs.
Overall, this partnership between Vodafone and Microsoft seeks to drive digital transformation, promote economic growth, and empower businesses and individuals across Africa.
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