South Africa and the United States are looking to deepen cooperation in the technology sector as both countries explore new opportunities in digital infrastructure, innovation and economic growth.
Communications and Digital Technologies Minister Solly Malatsi met with U.S. Ambassador to South Africa Leo Brent Bozell III in Pretoria on 17 June 2026 to discuss ways of strengthening bilateral ties and expanding collaboration in the digital economy.
According to Malatsi, the discussions focused on unlocking greater economic cooperation, particularly in information and communications technology (ICT), a sector increasingly viewed as a key driver of growth, investment and job creation.
“Our discussion highlighted the significant untapped potential for greater economic collaboration, particularly in the information and communications technology sector,” Malatsi said after the meeting.
The minister added that innovation, digital transformation and infrastructure investment could help create new opportunities for South Africans while supporting long-term economic development.
U.S. Technology Firms Continue Expanding In South Africa
The meeting comes at a time when several major American companies are expanding their presence in South Africa.
Over the past few years, global technology firms have committed billions of rand to local infrastructure, cloud computing and digital skills development projects.
Among the most notable investments, Visa launched its first African data centre in Johannesburg in 2025 as part of a 1 billion rand investment programme.
Google Cloud established its first African cloud region in Johannesburg, strengthening local access to cloud services and digital infrastructure.
Meanwhile, Microsoft announced plans to invest an additional 5 billion rand by 2027 to expand cloud and artificial intelligence infrastructure. The company has already invested more than 16 billion rand in South Africa and is supporting programmes aimed at training one million South Africans with digital skills.
Amazon Web Services (AWS) has also expanded operations in the country through new facilities and the AWS Skills Centre in Cape Town, the first such centre established outside the United States.
Bozell described these investments as examples of “commercial diplomacy in action,” arguing that American businesses bring not only capital but also technology transfer, workforce development and long-term commitments to local economies.
Policy Certainty Remains A Key Concern
Despite expressing confidence in the future of the relationship, Bozell reiterated concerns previously raised about South Africa’s investment climate.
Speaking earlier this year at the BizNews Conference, he argued that future growth in U.S. investment would depend heavily on policy certainty and a predictable business environment.
Bozell pointed to issues such as property rights, the Expropriation Act and aspects of Broad-Based Black Economic Empowerment (B-BBEE) policy as areas that continue to attract scrutiny from foreign investors.
According to the ambassador, international businesses make long-term decisions based on stability and clarity. When regulatory frameworks become uncertain or compliance requirements are perceived as burdensome, investors may reassess their exposure to a market.
He noted that more than 500 American companies currently operate in South Africa and support approximately 250,000 jobs, but argued that significantly greater economic cooperation remains possible.
Bozell also identified several areas where collaboration between South Africa and the United States could expand, including digital infrastructure, critical minerals, entrepreneurship and technology-driven economic development.
While acknowledging that differences may persist on certain foreign policy and domestic issues, he said both countries share a strong interest in promoting investment, innovation and economic growth.
As South Africa seeks to accelerate digital transformation and attract greater foreign direct investment, the technology sector is increasingly becoming one of the most important pillars of economic cooperation between Pretoria and Washington.
Source: Department of Communications and Digital Technologies, BizNews Conference remarks, and public statements by U.S. Ambassador Leo Brent Bozell III.