What happened
Cassava Technologies, with Nvidia's backing, is securing up to $700 million to expand its African data centre network. This initiative will integrate AI chips into the infrastructure, aiming to reduce the cost of AI services and broaden access for organisations, including non-profits, across the continent. The deployment of advanced AI infrastructure is intended to provide essential AI resources, fostering innovation and development in sectors such as healthcare, agriculture, and education.
Why it matters
The expansion introduces a new dependency on Cassava's AI-integrated data centre network for organisations seeking reduced-cost AI services. This increases due diligence requirements for procurement and platform operators to assess the security, reliability, and compliance frameworks of these new AI infrastructure providers. A potential oversight burden arises for IT security and compliance teams in managing data governance and regulatory adherence when leveraging externally hosted AI capabilities, particularly concerning data sovereignty and processing locations within Africa.
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