Industry
IoT and Digital Engineering
Bringing Together IoT and Digital Engineering to Create Rich Experiences
Highlights
- Key African innovation and technology trends for 2025 predict IoT powering efficiency and sustainability across sectors with AI reshaping industries..
- Responsible organizations will look to deploy GenAI-powered threat detection and response systems to address GenAI threats.
- The growth of online retail in South Africa further exemplifies the opportunities and challenges of digital transformation with the sector positioned to break the R100-billion mark by 2026.
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Tech-driven transformation
Tech transformation is proceeding apace, with rapid adoption of new solutions revolutionizing business. These trends present exciting opportunities, but they come with significant risks that require proactive management, writes Ganesa Subramanian Vaikuntam, Vice-President and Global Head: Cybersecurity Business Group at TCS.
The year 2025 promises to be a pivotal one for African business, with several key trends shaping the continent’s future. Many of these trends are tech driven, and they offer immense opportunities for growth and development.
However, navigating this new landscape requires a proactive approach to cybersecurity and a commitment to sustainable and inclusive innovation.
IoT acceleration
IoT remains a transformative force in modern business. From smart agriculture and connected healthcare to optimized logistics and smart cities, IoT – effectively deployed – can improve efficiency, enhance sustainability, and address critical challenges.
In the marine logistics space, for instance, IoT can make an enormous difference, given that international shipping carries around 90% of global trade.
However, the industry is under pressure to evolve, with the International Maritime Organization (IMO) requiring that its members cut their annual greenhouse gas (GHG) emissions by 50% by 2050 from 2008 levels.
TCS and Damen Shipyards collaborated to create the Triton IoT platform, which has helped Triton ships to improve fuel efficiency by around 12%. When deployed at scale, these IoT benefits have the potential to significantly improve the efficiency and the environment impact of the logistics sector.
This is particularly relevant for African economies, which are almost entirely reliant on imports with a lengthy global supply chain for commodities like fuel and manufactured goods.
The AI impact
AI is now acknowledged as a game-changer across numerous sectors. However, it comes with significant cybersecurity risks. The rapid pace of AI innovation must be matched with robust leadership, governance, and responsible implementation.
A recent survey found that 89% of senior corporate leaders were concerned about security risks. At the same time, it was found that only 24% of Chief Information Security officers were comfortable that their organizations were able to adequately balance AI risk and value creation.
Building cyber resilience
These AI risks also underscore the critical importance of cybersecurity. A recent report, the TCS 2025 Cybersecurity Outlook emphasises the need for a proactive, integrated approach to security.
With GenAI being exploited by cybercriminals for advanced attacks and new malware, and the growth of quantum computing, and 5G expansion, organizations must fight fire with fire. Responsible organizations will look to deploy GenAI-powered threat detection and response systems to address GenAI threats.
An “automation-first” approach can also help to ensure strong cyber defence against new technologies.
Organizations are also moving towards zero-trust architecture, which requires continuous authentication and limited access to minimize threats. More businesses are also using integrated platforms to orchestrate and automate cybersecurity.
New technology, new info risks
Similarly, the world is entering an era where many legacy technologies are reaching the end of their sell-by date, and new solutions are entering the economic and social mainstream.
In the energy space, for instance, distributed, regional electricity supply systems will only become more common – often replacing the national utility model. Electric vehicles are now firmly in the mobility mainstream, with a need for extensive charging networks.
Connected factories with integrated value chains are now also increasingly the norm in manufacturing. In all these cases, IoT devices will have to be deployed to ensure hardening of the system, secure communication, and continued business growth.
Connected logistics
Supply chains, too, involve the sharing of sensitive data that must be carefully protected to maintain operational integrity.
Changing geopolitics and shifting partner ecosystems mean that today, new supply chains are constantly being created. These networks are increasingly digitally connected – to optimize efficiencies as well as sustainability.
This again requires a sophisticated cyber-protection strategy to maintain the integrity of these systems. Supply chains must be flexible, but also resilient, with full regulatory compliance.
Fintech innovation
The financial landscape is undergoing a significant technological transformation. Among these fintech impacts is the rise of instant payments. Real-time transactions offer immense potential for financial inclusion and economic growth, but also present challenges related to security and regulation.
Navigating this evolving landscape requires expertise and collaborations with partners experienced in the fintech space. The growth of online retail in South Africa further exemplifies the opportunities and challenges of digital transformation. According to research, South African e-commerce reached R71-billion in 2023, which made up 6% of the country’s total retail sales. This leaves the sector well positioned to break the R100-billion mark by 2026.
Sustainability imperative
Sustainability is now accepted as a fundamental principle that must underpin all technological advancements. With 196 countries committed to the Paris Agreement, Africa’s export economies must embrace the same protocols to comply with the stringent emissions requirements of their trading partners in the industrialised world.
TCS advocates a four-horizon journey to sustainability. This begins by developing a sustainable ecosystem within an enterprise; then expanding that across the value-chain. Once these two horizons have been achieved, cross-industry ecosystems can be established, and finally, cross-sector regenerative economies.
We believe this is the future of sustainable development, but it will be technology that makes the transition a viable, efficient one. From energy management to value-chain optimisation, efficiency standards and circular economies, technology promises to be the enabler.
The integration of technology into our lives manifests in a range of evolving trends. Remaining aware of them will give organizations the chance to drive innovation, sustainable growth, and a more prosperous future for the continent.