This is the first in a series of opinion pieces leading up to the G20 Summit in November, where we will explore key developments, themes, and discussions shaping the event.
Last week’s G20 Foreign Ministers meeting in Johannesburg marked a significant milestone as the first such gathering on African soil, and only the second with the African Union represented as a full G20 member. But the notable absence of US Secretary of State Marco Rubio has created diplomatic ripples that threaten to overshadow the event. South African Foreign Affairs Minister Ronald Lamola nevertheless declared the meeting a success and downplayed the significance of Rubio’s no-show, highlighting that the US had diplomatic representation from its embassy staff in Pretoria. The reality is unmistakable though: this was a deliberate diplomatic snub, and it stings.
For South Africa, the G20 Presidency carries not only profound historical and symbolic weight, but it is also an opportunity to advance its ambition to become the preeminent voice of the Global South on the world stage. Rubio’s snub reflects not just the new administration’s refocusing away from foreign affairs and onto US domestic priorities, but also President Trump’s own disdain for and direct repudiation of the three key issues South Africa has sought to advance through its G20 Presidency: Solidarity, Equality, and Sustainability. It’s for this reason that South African leader President Cyril Ramaphosa responded so forcefully when he affirmed that his country would “not be bullied” in his recent State of the Nation Address.
A Strategic Dilemma for Tech Companies
As the G20 Leaders’ Summit approaches, technology companies – particularly US ones – face a strategic conundrum: how deeply should they engage with South Africa’s G20 agenda, and if so, how visibly? President Trump has repeatedly shown his willingness to penalise perceived disloyalty. Many corporations have already begun restructuring aspects of their business to align more closely with the administration’s ideological position on social issues. The temptation to limit or step back from engagement with the G20 under these geopolitical tensions is understandable. But this would be a big mistake and a waste of a rare opportunity.
It’s well known that the growth potential for technology companies across Africa is extraordinary. The continent accounted for over half of the world’s 20 fastest-growing economies in 2024. And with more than half of global population growth between now and 2050 expected to occur in Africa, the expanding consumer base presents unprecedented opportunities.
This is why we’ve seen Big Tech make such Big Bets on Africa, with Google having pledged USD 1 billion to support digital transformation across the continent, focusing on affordable internet access, digital skills training, and startup support. Meta has also invested heavily in internet infrastructure, with the 2Africa subsea cable project expected to be one of the largest of its type globally. Amazon Web Services has expanded its cloud infrastructure, with new data centres in South Africa, and it continues to develop programmes focused on digital skills development across multiple African nations.
Building Lasting Partnerships in Africa
But despite this enormous potential, African markets present unique challenges that can make them difficult to penetrate successfully, particularly for foreign companies. Regulatory systems can be complex and antiquated, decision-making processes can be opaque, and sometimes things just don’t move as fast as Western firms are used to. It’s for this reason that securing the support of local government partners is absolutely essential for success. In Africa, political decisions at the executive level can make or break ventures worth billions. And African leaders, just like their counterparts elsewhere, value loyalty highly and have even longer memories.
Herein lies the opportunity for technology companies looking to do business in Africa. By engaging substantively and visibly with the G20 2025 agenda, companies can demonstrate clearly their commitment to Africa and to the Global South during a time of high geopolitical tension, proving to African leaders that they are not just fair-weather partners but trusted allies. This would be a reputational and political boost that would pay dividends – both literal and figurative – for years to come for companies seeking to expand their African operations or venture into new markets.
Navigating the Risks and Rewards
Nevertheless, companies must navigate carefully to maximise opportunities while minimising risks amid the geopolitical tensions surrounding the Summit. Success will require finely calibrated strategies informed by on-the-ground intelligence and a sophisticated understanding of the issues at stake in both African and US contexts. Access Partnership has teams on the ground in all three G20 Troika countries – Brazil, South Africa and the US – and is following these developments closely. To find out more about how our international affairs expertise can help you, please contact Nick McQueen at [email protected].
