Photo source: Condia
Tech giants are intensifying efforts to meet the growing demand for digital infrastructure, particularly in light of the AI boom. The trend is exemplified by recent large-scale investments in data centres and global connectivity projects.
Google, a key player in this arena, has joined a $90 million equity funding round for Cassava Technologies, a company pivotal in boosting Africa’s digital infrastructure.
Cassava Technologies has secured a total of $310 million in funding, with $220 million allocated as a credit facility for one of its subsidiaries. The $90 million equity investment includes contributions from the U.S. International Development Finance Corporation (DFC), Finnfund, and Google. This financial boost is expected to fortify Cassava’s financial position and fuel its expansion of digital infrastructure and services across Africa.
“It’s a pivotal milestone that we expect to unlock immense value and catalyze the further expansion of our digital infrastructure and services to bridge the digital divide on the continent,” said Hardy Pemhiwa, CEO and president of Cassava.
Cassava Technologies, which emerged as a spinoff from African telecom company Econet in 2021, operates across various digital sectors including data centres, fibre networks, renewable energy, cloud services, and cybersecurity. Africa remains its primary focus, but Cassava also has a presence in the Middle East, India, and Latin America.
One of Cassava’s subsidiaries, Liquid Intelligent Technologies, collaborated with Google on the terrestrial portion of the Umoja subsea cable project. This cable network traverses several African countries, connecting Kenya to South Africa. Additionally, Liquid C2, another Cassava subsidiary, has partnered with Google and Anthropic to introduce advanced cloud, cybersecurity, and AI solutions to African businesses.
The investment comes at a crucial time, as Africa has experienced widespread internet outages throughout 2024, often attributed to issues with undersea cables.