South Africa’s technology industry is experiencing a significant shift as artificial intelligence (AI) adoption increases demand for specialised information and communications technology (ICT) skills. While businesses are increasingly investing in AI-driven solutions to improve productivity, automate operations and strengthen digital capabilities, a shortage of experienced technology professionals is emerging as a major challenge.
New findings from the 2026 Institute of Information Technology Professionals South Africa (IITPSA) ICT Skills Survey reveal that artificial intelligence is changing the country’s employment landscape, creating demand for specialised technical expertise while placing additional pressure on businesses to develop and retain skilled workers.
The survey, conducted in partnership with Africa Analysis, examines ICT skills supply and demand in South Africa and explores how AI is influencing recruitment, workplace productivity and the future of technology careers. Its findings were released at the IITPSA Workforce Intelligence Conference in Johannesburg on 30 October 2026.
AI adoption is creating demand for specialised technology professionals
One of the most significant findings is that artificial intelligence is not simply replacing existing technology jobs. Instead, it is changing the skills businesses require to remain competitive.
According to the survey, employers are increasingly looking for professionals who can develop, implement and manage AI technologies within their organisations.
Some of the specialised positions experiencing growing demand include AI engineers, machine learning engineers, generative AI specialists, prompt engineers and AI governance and compliance officers.
These professionals play an important role in helping organisations integrate intelligent technologies into business processes, manage digital risks and ensure that automated systems operate responsibly.
The growing demand also extends beyond artificial intelligence. Cloud computing, cybersecurity, data analytics, software development and data engineering remain essential capabilities as businesses expand their digital operations.
Lehlohonolo Mokenela, Managing Director at Africa Analysis, explains that organisations experiencing significant ICT skills shortages are also among the strongest adopters of AI.
This suggests that businesses are increasingly using artificial intelligence to address existing talent constraints rather than treating technology as a complete replacement for human expertise.
Workplace experience remains a major obstacle
Despite increasing demand for specialised professionals, South Africa continues to face challenges in developing an experienced technology workforce.
The IITPSA survey identifies a lack of workplace experience as the biggest contributor to ICT skills shortages, accounting for 24% of the challenges reported by participating organisations.
Education and training gaps follow at 20%, while a lack of diversity accounts for 16%. The migration of skilled professionals, commonly referred to as brain drain, contributes another 12%.
These findings highlight a gap between the qualifications available in the labour market and the practical experience employers require.
For businesses recruiting technology professionals, academic qualifications alone may not be sufficient. Organisations increasingly need employees who can apply technical knowledge to real business challenges, manage complex systems and work with emerging technologies.
The situation also creates difficulties for graduates entering the ICT industry, particularly when employers expect previous workplace experience for specialised positions.
Expanding internships, graduate programmes and practical technology training could help bridge this gap.
AI is improving productivity rather than eliminating most jobs
Concerns about artificial intelligence replacing human workers remain widespread. However, the survey presents a more balanced picture of how South African ICT professionals are experiencing the technology.
Nearly 80% of surveyed practitioners indicated that AI had reduced their workload or the complexity of their tasks. Fewer than 10% reported that AI had increased their workload or task complexity.
The findings suggest that artificial intelligence is increasingly being used to support employees by automating repetitive activities and improving efficiency.
The survey also found that only 6% of ICT practitioners believed they faced a high risk of losing their jobs because of AI. Meanwhile, 27.4% identified a moderate risk, 45.3% considered the risk low and 21.4% believed there was no risk.
These figures indicate that many professionals see opportunities in learning to work alongside AI rather than competing against it.
However, employees will need to develop new capabilities as organisations introduce increasingly sophisticated digital systems.
Businesses are competing for specialised talent
The shortage of experienced ICT professionals is also influencing how South African companies recruit and retain employees.
According to the survey, 44% of participating organisations offer flexible working schedules to attract and retain talent. Another 41% provide development programmes, while 36% offer increased salaries and 29% provide performance bonuses.
International recruitment and outsourcing are also becoming part of the industry’s response.
The research found that 28% of organisations look overseas for specialised skills and experienced professionals. Nearly 52% outsource IT functions to overseas companies.
Although these approaches can provide access to specialised expertise, they also highlight the importance of developing local technology capabilities.
For South Africa, retaining experienced professionals and creating opportunities for emerging ICT talent will be important in building a sustainable digital economy.
Traditional education pathways face increasing pressure
Another important concern highlighted by the research is the speed at which technology is evolving compared with traditional education and training systems.
Universities and Technical and Vocational Education and Training (TVET) colleges remain important sources of technology skills. However, the survey indicates that existing training pathways are struggling to keep pace with changing industry requirements.
Weak foundational literacy and numeracy, declining participation in science, technology, engineering and mathematics (STEM) pathways, limited workplace learning opportunities and the migration of experienced professionals are among the challenges affecting the development of digital talent.
The IITPSA supports expanding workplace-based learning, internships and graduate development programmes. Stronger partnerships between educational institutions and industry could also help ensure that training programmes reflect the skills employers actually need.
Micro-credentials, professional certifications and alternative learning opportunities are expected to become increasingly important as workers seek to remain relevant in an evolving technology environment.
What the developments mean for South Africa’s digital economy
The growing demand for specialised ICT skills presents both an opportunity and a challenge for South Africa.
Artificial intelligence has the potential to improve business productivity, support innovation and create new professional opportunities. However, businesses will need access to skilled people who can implement these technologies effectively.
For employers, investing in employee development and continuous training could become just as important as investing in new software and digital infrastructure.
For technology professionals and graduates, developing practical AI knowledge, cybersecurity capabilities, cloud computing expertise and data analytics skills could improve their competitiveness in the changing employment market.
The latest IITPSA findings demonstrate that the future of South Africa’s technology industry will depend not only on how quickly businesses adopt artificial intelligence, but also on how effectively the country develops the human skills needed to support that transformation.
As AI becomes more deeply integrated into everyday business operations, building a skilled, adaptable and experienced ICT workforce will be essential to ensuring that South Africa benefits from the opportunities of the emerging digital economy.
