Generative AI Adoption Surges in South African Corporates Amidst Governance Challenges
Generative AI adoption in South Africa has risen significantly, but governance remains a critical concern.
Key Points
- • 67% of South African firms adopted GenAI in 2025, up from 45% in 2024.
- • Only 14% of organizations have a formal company-wide GenAI strategy.
- • 32% of companies engage in shadow GenAI usage, highlighting unsanctioned tool use.
- • 86% of GenAI users report enhanced competitiveness with the technology.
The adoption of generative AI (GenAI) technologies in South African enterprises has seen a notable rise, increasing from 45% in 2024 to 67% in 2025, as reported in the South African Generative AI Roadmap 2025. The report, conducted by World Wide Worx in collaboration with Dell Technologies and Intel, outlines significant trends in the corporate sector's usage of GenAI tools. ChatGPT continues to lead with a remarkable 93% usage rate, while Microsoft’s Copilot has jumped to second place, now utilized by 74% of corporations, up from 62% the previous year.
Despite the clear benefits reported by users—86% noted increased competitiveness, 83% improved productivity, and 66% enhanced customer service—the report highlights a concerning lack of formal governance. Only 14% of organizations have established a company-wide GenAI strategy, and a mere 13% have governance frameworks in place to address ethical and operational challenges. Additionally, a significant 32% of businesses admitted to shadow GenAI usage, whereby employees utilize AI tools without organizational sanction, raising further concerns about compliance and regulation.
Arthur Goldstuck, CEO of World Wide Worx, emphasized the importance of developing clear governance frameworks to mitigate potential risks associated with the unsanctioned use of AI technologies. The findings point to a divided approach within South African enterprises: those who strategically and ethically incorporate GenAI versus those who adopt it impulsively, which may lead to regulatory challenges in the future.