How the Skills Development Levy and SETAs can support staff training, including upskilling teams to use AI — explained honestly.
dgm is an independent integration partner for osFoundry — it is not affiliated with osFoundry’s maker (OS LLC) and has not yet completed an integration project for any client.
The Skills Development Levy and the SETAs can support staff training, including upskilling teams to use AI. They fund training, not the purchase of AI software.
How skills-development support works
- The Skills Development Levy and the Sector Education and Training Authorities (SETAs) fund training in South Africa.
- This support can be directed toward upskilling staff, including building the skills a team needs to use AI tools well.
- It funds training and skills development, not the purchase of an AI subscription.
- Confirm the current eligibility and process with the relevant SETA before relying on it.
What it means for an AI project
- The value here is people: building the capability to use AI effectively, which is often what determines whether an AI project succeeds.
- A team trained this way can then use a tool like osFoundry, but the support funds the training, not the software.
The honest framing
Public support in South Africa funds the company’s own research, development or innovation, or gives it a tax break — it does not buy an off-the-shelf AI subscription. The section 11D R&D tax incentive offers a 150% deduction on approved R&D, requires pre-approval by the Department of Science and Innovation and has been extended to 31 December 2033; the Technology Innovation Agency (TIA) and the Small Enterprise Development and Finance Agency (SEDFA, formed in 2024 from SEDA and SEFA) fund innovation and small enterprises; and DTIC sector programmes such as the Global Business Services (GBS) incentive and the automotive APDP support specific industries. Separately, Broad-Based Black Economic Empowerment (B-BBEE) is a procurement and empowerment scorecard, not a grant: a supplier’s B-BBEE level affects how many procurement points its customers earn, so it shapes who buyers prefer rather than paying for software. dgm is not a registered or accredited provider of any of these programmes; it can advise a beneficiary or act as a subcontractor.
Related articles
- Incentives that help attract AI talent in South Africa
- Making AI affordable for South African SMEs
- Funding an AI project in South Africa
Where dgm comes in
dgm is an independent integration partner that helps organisations in South Africa adopt the osFoundry platform — from identifying the first practical use case, to setting it up, to connecting AI to the systems you already run. dgm can help identify which parts of your activity might qualify — without committing that any incentive will be granted. dgm operates separately from osFoundry’s maker (OS LLC) and has not yet completed an integration project for any client, so everything above is a proposed service rather than a delivered outcome. If you would like to weigh up a practical first step, dgm would be glad to think it through with you. Arrange an introductory call with dgm.
This article is general information and is not legal, financial or tax advice. Incentives, tax rates and regulations change; always confirm the current position with an official source (SARS, the Department of Science and Innovation, the dtic, the Information Regulator, the FSCA or the relevant authority) or a qualified adviser before you act.