Lagos, Abuja, Rivers lead Nigeria’s corporate AI shift as firms embrace automation

Lagos, Abuja and Rivers are emerging as the leading centres of Nigeria’s corporate artificial intelligence (AI) transition, with a new report showing that 74.1 percent of digitally enabled firms in the three locations are already using AI tools to automate operations, improve productivity and support business growth.

The report, titled ‘AI Adoption in Nigeria’ and released by Wow Effect Communications, paints a picture of a country where AI is rapidly moving from experimentation to operational use across businesses, education and workplaces, even as concerns grow over widening digital inequality.

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According to the findings, Nigerian firms are increasingly deploying AI for research, writing, planning, customer engagement, workflow support and productivity improvement, signalling a shift from casual use of tools like ChatGPT, Gemini and Claude into broader commercial adoption.

The report noted that businesses in Lagos, Abuja and Rivers currently represent some of the strongest indicators of enterprise-level AI usage in Nigeria due to their relatively stronger digital infrastructure, higher internet penetration and concentration of corporate activity.

It added that the growing use of AI by businesses reflects a wider transformation already taking place across Nigeria’s digital economy.

Among the key findings, 88 percent of Nigerian respondents in a major international survey said they had used an AI tool within the last 12 months, while 84 percent reported using generative AI platforms.

The study further revealed that 93 percent of respondents use AI to learn or understand complex topics, 91 percent apply it for work-related support, while 80 percent use AI for business or career exploration.

Williams Popoola, chief strategy officer at Wow Effect Communications, said AI is already becoming part of everyday digital life for many Nigerians who are connected to the internet.

“AI is no longer a distant concept for many Nigerians. It is already being used to learn, work, solve problems and explore economic opportunity.

“What matters now is whether access, skills and public understanding can keep pace. If they do, AI can support productivity and inclusion. If they do not, the benefits will remain concentrated among those who are already digitally advantaged,” Popoola said.

The report warned that despite the momentum, AI adoption in Nigeria remains uneven and largely concentrated among populations with stable internet access, digital skills and modern devices.

With Nigeria estimated to have about 107 million internet users in early 2025, the report said access to digital services is still heavily shaped by geography, affordability, education levels and connectivity infrastructure.

It warned that the rapid rise of AI could deepen existing inequalities if large sections of the population, especially in rural communities, remain excluded from digital access and skills development.

“To truly harness the power of AI for national development, we must prioritize bridging the existing digital gaps. Ensuring equitable access to technology and fostering digital literacy across all demographics will be crucial in preventing AI from exacerbating existing inequalities and instead making it a tool for widespread empowerment,” Popoola advised.

The report said the implications of AI adoption now extend beyond the technology sector into education, employment, small business development and public policy.

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It explained that students and self-learners are increasingly relying on AI to improve understanding and acquire skills, while workers are using the technology to improve efficiency and output.

Entrepreneurs and small businesses are also adopting AI for market research, writing, planning and customer interaction as competitive pressure grows within Nigeria’s digital economy.

The study further urged policymakers and regulators to focus on infrastructure development, affordability, trust, digital literacy and responsible innovation to ensure the benefits of AI are broadly shared.

It also commended the Federal Government’s adoption of a National AI Strategy, describing it as an important step toward building a more structured and responsible AI ecosystem in the country.

According to the report, the future impact of AI in Nigeria will depend largely on how government, businesses and other stakeholders respond to current gaps in connectivity, access and digital education.

The report was developed through a review of international survey findings, official statistics, regulatory materials and other publicly available research, alongside analysis conducted by Wow Effect Communications.