In our fast-paced digital world, we often speak of great progress and prosperity for all that technologies such as artificial intelligence (AI) are supposed to bring. Yet while the benefits of digitalisation are celebrated in the Global North, a troubling pattern is emerging in the Global South: digital colonialism.
How click farms fuel neocolonialism
Digital colonialism describes how large technology corporations from wealthy countries exploit digital infrastructures, data and, above all, the labour of poorer nations for their own benefit. This strongly echoes earlier forms of colonialism.
We often hear of an “African economic miracle” that is supposedly being driven by numerous new tech start-ups, especially in the financial technology (FinTech) sector. But these uplifting narratives conceal an uncomfortable truth: although digital services are expanding rapidly across the African continent, they contribute very little to the overall economy—only about 8 per cent of gross national product. Africa still relies primarily on the export of raw materials, and its countries have little control over the revenues generated from them.
At the same time, demand for raw materials such as cobalt for AI development is rising dramatically. More than half of the world’s cobalt reserves are located in the Democratic Republic of the Congo. Yet the major profits and the technology required for extraction remain outside Africa, flowing instead to companies in the Global North.
Exploitation in click farms: modern forced labour hidden from view
One of the clearest examples of digital colonialism is the outsourcing of poorly paid and insecure jobs to so-called “click farms”. Large technology companies such as Google, Microsoft and Facebook subcontract essential but often monotonous tasks to firms like Scale AI or Amazon’s Mechanical Turk. These tasks are indispensable for AI systems to function at all—for example, preparing vast quantities of data for machine-learning processes or moderating content on social media platforms.
This work, often referred to as “ghost work”, is usually badly paid, insecure and extremely demanding. An estimated ten million people worldwide work on such training data, mostly in low-wage countries, often earning just 1 to 2 US dollars per hour. Because these tasks require no special qualifications, companies deliberately exploit economic poverty on the African continent. More than a third of Africa’s population—426 million people—live in extreme poverty, surviving on less than 1.90 dollars per day.
Neocolonial patterns intensify human trafficking and forced labour
The stark inequality between the Global North and South encourages modern slavery and makes people more vulnerable to human trafficking. When large corporations dominate entire markets – such as in financial technology, where five of Africa’s seven “unicorns” (companies valued at over one billion dollars) are based – workers in the Global South have very few alternative employment options.
The rapid success of FinTech apps such as M-Pesa, which allow money to be sent via mobile phone numbers, appears at first glance to be inclusive. In reality, however, it is merely a tool for moving money; it does not increase the amount of money actually available. Critics such as Abeba Birhane point out that these FinTech models in Africa often replicate old colonial patterns: profits flow to Western shareholders, while the poorest communities remain trapped in debt.
Working conditions in click farms are frequently characterised by a lack of labour rights, low job security and extreme psychological stress. Content moderators in particular are forced to view disturbing material involving violence, crime or abuse, leaving many traumatised. Trade unions, NGOs and journalists report exploitation, hopelessness, control and surveillance. All of this occurs while multinational corporations in the Global North maximise their profits, in some cases by exploiting tax loopholes.
Outsourcing: a deliberate shifting of responsibility
Outsourcing work represents a deliberate transfer of responsibility. Large technology companies benefit from the labour performed, while the often inhumane working conditions in the Global South remain unseen or ignored.
In many African countries, data protection laws are weak or non-existent. This allows companies to extract data at particularly low cost, further increasing these states’ digital dependency. Local solutions are often obstructed, as governments prefer to sign contracts with corporations from the Global North rather than develop their own infrastructures or innovations. This entrenches inequality and perpetuates old colonial power dynamics.
What we can do
Raising awareness in the Global North is crucial. We must understand that Africa’s development prospects do not depend solely on the adoption of digital solutions. Rather, the key questions are how Africa participates in the global market and what products it develops itself. A “decolonial” approach to AI is essential. This means taking the voices of marginalised people seriously, acknowledging historical inequalities, and shaping AI policy in ways that advance social justice.
Translated by Anna Smith
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