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REBALANCING INTELLIGENCE: How the Next Wave of AI Investment is Set to Flow South

The Global South is rapidly emerging as the next hub for AI innovation. Despite hosting over 23,000 startups, it has received only $12.1 billion in AI funding compared to $108.3 billion in the Global North. With 87% of investors planning to increase regional investments, this shift could unlock $10.3 trillion in economic value by 2038 and drive a more inclusive global AI economy.

PUBLISHED BY FII INSTITUTE

October 27, 2025
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The Global South is emerging as the next frontier for AI innovation and investment.
Our latest report, “Rebalancing Intelligence: How the Next Wave of AI Investment is Set to Flow South” , reveals a profound shift: while the Global North attracted $108.3 billion in AI funding, the Global South received only $12.1 billion — despite hosting 23,000+ AI startups and immense untapped potential.

With 87% of global investors planning to increase AI investments in the region within the next 24 months, the balance is beginning to shift.

Generative AI alone could unlock $10.3 trillion in new economic value by 2038, driven by competitive talent, affordable energy, and growing domestic demand.

Now is the time to invest to build local ecosystems, empower inclusive growth, and shape a more balanced global AI economy.

Explore the full insights!


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