Africa risks becoming a subordinate player in the global artificial intelligence economy unless it gains control over its cloud infrastructure, according to Melanie Hui, CEO of Luminate. Speaking at the Build 2026 Conference in Abuja, Hui warned that the continent’s reliance on foreign-owned infrastructure could lead to significant financial losses. She emphasized that this dependency mirrors historical patterns of resource extraction, with Africa often relegated to supplying raw materials and labor rather than driving innovation.
The Cost of Dependency
Hui highlighted Nigeria as an example, stating that the country loses millions of dollars annually due to its dependence on cloud services controlled by a few foreign tech giants. Undersea fiber-optic cables, which carry Africa’s internet traffic, often follow historical trade routes, symbolizing the continuity of power relations where value is extracted from the continent. Hui stressed that hosting data centers within a country’s borders does not equate to digital sovereignty, as control over these facilities often remains in foreign hands.
Beyond Data as a Resource
Hui challenged the analogy of data as the new oil, asserting that data embodies people’s identities, behaviors, and lives. She warned against treating African communities as passive data sources for foreign product development, emphasizing the need for active participation and ownership. The issue of language representation in AI platforms was also raised, with Hui noting the lack of support for Africa’s diverse linguistic environment, which hosts a third of the world’s languages. This oversight limits the inclusivity and effectiveness of AI solutions on the continent.
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In the middle of her address, Hui offered a perspective on the practical implications for African nations. She cited India’s Ministry of Agriculture as an example, where AI was used to predict monsoon patterns for nearly 40 million farmers, demonstrating the transformative potential of AI when foundational layers—such as local data, infrastructure, and actionable demand—are in place. Hui emphasized that without control over their digital infrastructure, African countries may struggle to harness AI for local development. She urged stakeholders to ask critical questions about infrastructure control, value capture, and who holds the power to challenge dominant digital systems when they fail the public good.
The Role of Regulation and Safeguards
Contrary to the belief that regulation hinders innovation, Hui argued that safeguards are essential for progress. She cited examples of societal harms caused by unregulated technology, including algorithmic bias on gig-worker platforms, technology-facilitated abuse, and flawed identity-verification systems. Hui praised recent regulatory actions, such as Nigeria’s competition watchdog taking on Meta over data exploitation, as steps towards a more balanced digital economy. She also highlighted the success of Nigerian e-hailing drivers in unionizing, demonstrating the power of collective action in challenging dominant digital systems.
Hui concluded by calling on philanthropic foundations to support long-term ecosystem development, backing researchers, civil society, and labor movements. She emphasized that the global AI environment is still evolving, presenting an opportunity for Africa to shape an AI economy that reflects its own agency, capability, and imagination. “The global AI order is not settled,” she said. “That places a profound responsibility on this generation to build an AI economy rooted in African agency, capability, and imagination.”
