Our four insights from Mobile 360 – Africa 2018

Between 17 and 19 July 2018, the GSMA Ecosystem Accelerator team as well as a number of our Innovation Fund portfolio start-ups took part in the fifth GSMA Mobile 360 – Africa conference held for the first time in Kigali, Rwanda. Bringing together over 1,000 stakeholders from across the continent, it gathered a mix of start-ups, mobile operators, regulators, tech hardware manufacturers, NGOs and large corporates to discuss ‘Digital Africa’. We thought we’d share some key takeaways from the week.

Realising the potential of Africa’s start-ups

Proof of the emergence of a generation of African tech entrepreneurs, a significant number of this year’s edition participants were actually local and regional start-ups.

The GSMA Ecosystem Accelerator team ran a pod to showcase the work of the start-ups funded and supported by our programme and more specifically the eight African start-ups which joined our portfolio as part of our second cohort earlier in 2018:Ensibuuko (Uganda), Farmcrowdy (Nigeria), Jamii Africa (Tanzania), LipaMobile (Uganda), Lynk (Kenya), Musanga (Zambia), MaTontine (Senegal), Sudpay (Senegal). The event was the opportunity for some of these entrepreneurs to connect with large mobile industry players and more specifically with mobile operators. Gerald Otim from Ensibuuko, cloud-based core banking software customised for savings and credit cooperatives, shared that ‘being here through the GSMA gives [his start-up] credibility’ and ‘automatically improves the relationships’ with key stakeholders including investors and potential partners in the mobile industry.

Most of the GSMA Ecosystem Accelerator Innovation Fund start-ups also pitched their solutions on the main stage of the conference.

Onyeka Akumah, CEO of Farmcrowdy, presented their win-win service for remote investors and for small scale farmers in Nigeria. Through Farmcrowdy’s online platform, individuals can invest in farming projects, while farmers get access to funding; currently working across 10 states in Nigeria with over 7000 farmers.

Farmcrowdy’s CEO, Onyeka Akumah speaking on stage

Farmcrowdy’s CEO, Onyeka Akumah speaking on stage

The GSMA Ecosystem Accelerator Pod, in the Innovation Showcase

The GSMA Ecosystem Accelerator Pod, in the Innovation Showcase

The Zambian start-up, Musanga, is simultaneously tackling logistics and unemployment local challenges. Musanga enables SMEs to send parcels across Lusaka through a network of independent cyclists, and drivers who can hence unlock some extra income through the platform.  Between February and July 2018, their user base has grown by 92 per cent to 600 users and 54 per cent of their beneficiaries (cyclists, drivers and business customers) are women.

Musanga’s CEO Njavwa Mutambo and Head of Impact Deborah Carey at ‘Start-Up Ignite’

Musanga’s CEO Njavwa Mutambo and Head of Impact Deborah Carey, at ‘Start-Up Ignite’

In the ‘Joining the dots between Entrepreneurs and Employment’ session, Lynk’s Chris Maclay explained how their start-up (a digital platform connecting households and businesses with verified domestic workers, artisans and blue-collar professionals) brings digital identity to informal workers in Kenya (currently 83 per cent of employment in Kenya takes place in the informal sector) giving them opportunities to formally sell their projects and take on high value projects. As of July 2018, Lynk has delivered over 15,000 jobs resulting in over $1.4 million of platform sales.

The importance of young entrepreneurs taking a user centric approach to reach the underserved was a key theme throughout Mobile 360 – Africa.  For instance, Seedstars’ Claudia Makadristo, highlighted how it is young people who decide to create real solutions to address local problems, despite having everything working against them. This was reinforced by Aurelien Duval-Delort (from Orange Bizao’s) pointing out that ‘copy and paste’ user cases do not work in Africa, instead entrepreneurs must continue to focus on local innovation, providing local solutions.

Investment in the region’s tech start-up ecosystem is growing and testament to the change entrepreneurs are bringing. As of 2017, according to figures from Partech Ventures, 124 tech start-ups across the continent raised a total of $560 million – a 53 per cent year-on-year increase.

Mobile operators are strengthening their game in the African start-up ecosystem

From the conversations on stage at the conference, it is clear that mobile operators are strengthening their game by looking to partner with start-ups. Some are also creating in-house innovation centres to play a first-hand role in the changing ecosystem and primarily so that they can remain relevant.

Safaricom’s Dr Skikoh Gitau explained how they set up an Innovation Centre to strengthen their game and to anticipate the future by trying to meet the users’ needs. Another example is Mezzanine, founded by Vodacom in 2009 to develop Mobile Solution Platforms throughout Africa (and across different industries including health, agriculture, utilities and education), but remaining a separate entity from Vodacom and Safaricom (to provide agility and to be able to work across borders where Vodafone is not present).

MTN Rwanda’s Arthur Rutagengwa explained how it is the mobile operator’s vision to be relevant to all sectors by establishing partnerships with start-ups addressing day-to-day challenges.

Aurelien Duval-Delort, founder and CEO of Bizao, Orange’s API integration platform in Africa, said, “It’s really difficult for telcos to work with every start-up that knocks on their door. But start-ups shouldn’t say they’re ‘lucky’ when they manage to work with telcos anymore. It should be standard.”

Panel - Session 2: Access to Adoption: Actions for Increasing Consumer Engagement (from left to right): Christin Roby, West Africa Correspondent DEVEX; Fernando Gordo, CTO Huawei; Aurelien Duval-Delort, CEO Bizao; Karanvir Singh, CEO Yegomoto; Mahir Sahir, Head of Google Africa.

Panel – Session 2: Access to Adoption: Actions for Increasing Consumer Engagement (from left to right): Christin Roby, West Africa Correspondent DEVEX; Fernando Gordo, CTO Huawei; Aurelien Duval-Delort, CEO Bizao; Karanvir Singh, CEO Yegomoto; Mahir Sahir, Head of Google Africa.

Will Wakanda become a reality?

The notion of whether a real African nation like Wakanda and connecting communities (through mobile phones) will become a reality imminently is at the forefront of many industry discussions. Sean Ndiho Obedih, CEO of Sobek Capital, stated that we are only at the beginning!

Building this reality implies bringing digital solutions to all communities, which is what a number of start-ups on the continent are doing. One such example is the Senegalese start-up, Sudpay, founded by Samba Sow, which provides a mobile solution for MSMEs and small merchants to pay municipal taxes (used to finance local health, education, infrastructure and waste collection expenses) to local authorities transparently using mobile technology. Samba Sow discussed how partnerships with the GSMA, Orange Money, Tigo Cash, E-money and UNCDF have contributed to Sudpay’s growth.

Two other start-ups bringing technology to communities are LipaMobile and MaTontine. LipaMobile, founded in Uganda, provides an integrated cashless platform (leveraging mobile money payments) for parents, school admin, school canteens vendors and suppliers to exchange value for education expenses, supplies and school services through their product, Xuldime. MaTontine provides a solution to digitise traditional savings circles (‘tontines’) and facilitate access to credit and financial services.

Bernie Akporiaya, Managing Director at maTontine and Laban Jemba from LipaMobile speaking at the ‘Welcome to Wakanda’ session on the BetterFuture Stage

Bernie Akporiaya, Managing Director at maTontine and Laban Jemba from LipaMobile speaking at the ‘Welcome to Wakanda’ session on the BetterFuture Stage

Five rules to lead the African ‘Digital Revolution’

JP Nsengimana representing Smart Africa, asked the audience to question the purpose behind the conference and what it will take to lead the African ‘Digital Revolution’. His recommendation for African tech leaders to drive this ‘Digital Revolution’ is to use the following five Ps, a good summary of the discussions held over the three days:

1. People – creating user centric solutions;

2. Policies – working in conducive environments;

3. Partnership – won’t solve a problem alone;

4. Platform – where tech makes a difference; and

5. Profits – need to make money!

To get a visual flavour of what it was like to attend GSMA Mobile 360 – Africa this year, check out this video – showcasing the bright future for the continent due to the buzzing start-up scene. We look forward to seeing you for the 2019 edition!

The Ecosystem Accelerator programme is supported by the UK Department for International Development (DFID), the Australian Government, the GSMA and its members.

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