- September 7 2023
2023 latest steps for online PSiRA renewal
The Private Security Industry Regulatory Authority (PSiRA) understands that in today’s digital age convenience and efficiency are key. That is why the agency has made significant strides in simplifying the renewal process for security professionals. In this article, we’ll guide you through the steps of carrying out your PSIRA renewal online. What’s needed for PSiRA renewal online booking? The prerequisites for scheduling PSiRA renewal online are as follows: Old PSiRA certificate Certified ID copy The fees are as follows R40.00 for certificate renewal. R60.00 for card renewal. In order to stay compliant with PSiRA regulations, both individuals and businesses must engage in certificate renewal at the relevant PSiRA regional offices. The renewal procedure differs depending on the category, with security personnel needing to renew their certificates every 24 months, while businesses must renew theirs annually. Adhering to these renewal deadlines is crucial to uphold the validity of certificates and to continue operating within the security industry in alignment with PSiRA’s guidelines. Now let’s move to the online processes. 1. Prepare your documents Before you dive into the online renewal process, ensure you have all the necessary documents on hand. These typically include a certified copy of your ID, proof of payment, and any supporting documents relevant to your specific category or level of registration. 2. Visit the PSIRA website Open your web browser and head over to the official PSIRA website (www.psira.co.za). Once on the homepage, look for the “Online Services” section. Click on it to proceed. 3. Create or log in to your account If you already have an account, simply log in using your credentials. If not, you’ll need to create one. Follow the instructions provided to set up your account. Ensure that you use a secure password and keep your login details confidential. 4. Select “Renewal” After logging in, navigate to the “Renewal” option. Here, you will find all the necessary information and forms for renewing your PSIRA certification. 5. Fill out the PSiRA renewal form Carefully fill out the online renewal form. Be sure to provide accurate information, including your personal details, certification level, and any additional documents required. 6. Upload supporting documents Scan or take clear photos of your supporting documents and upload them to the system as instructed. Ensure that the documents meet the specified requirements for clarity and certification. 7. Pay the renewal fee Once you’ve completed the form and uploaded your documents, you’ll need to make the renewal payment. PSiRA accepts various payment methods, including credit cards, EFT, and bank deposits. Follow the prompts to complete your payment securely. 8. Review and submit Before finalising your renewal, take a moment to review all the information you’ve provided. Double-check that everything is accurate and up to date. Once satisfied, submit your renewal application. After submitting your renewal, you will receive a confirmation email from PSiRA. This email will contain important details regarding your renewal status and the expected waiting time for processing. 9. Collect your new PSiRA certificate upon renewal Once your renewal is approved, you will receive a notification. Then you can go ahead to get your renewed PS-RA certificate. Final thoughts on PSiRA renewal Renewing your PSIRA certificate renewal online is an easy and efficient process that saves you time and effort. By following these steps, you can ensure your security career stays on track without the hassle of traditional paperwork and queues. Learn how to check your PSiRA with your ID here.
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- September 7 2023
What are the building blocks for a successful MVNO operation in Nigeria?
This article is the second part of a guest submission by Ernest Akinlola, an MVNO expert and the Managing Director of Bboxx. Read the first part here. Whilst MVNOs are now proliferated around the world, each jurisdiction is governed by specific regulations and the success of an MVNO will depend on how well it can navigate its specific environment. The requirements for operating a successful MVNO business are fairly universal across regions, but the unique dynamics of each nation will necessitate different approaches to applying strategy. The growth in MNVOS Following Virgin Mobile’s introduction and enormous success, other MNOs saw the potential of the MVNO business model, and a new industry was created. To ride this new wave, One 2 One/T-Mobile, O2, Vodafone, and Orange all introduced MVNO offerings. Currently, the UK has over 24 successful mobile virtual network operators (MVNOs), each with a unique business model that makes use of its own inherent strengths in its specific industry sectors, such as utilities, diaspora, retail, broadcasting, etc. You can see from the figure that MNOs had such a strong belief in the MVNO concept that they not only hosted 3rd party brands but also built their own fully owned MVNOs as flanker or fighter brands. Today, MNO flanker brands make up over 25% of MVNO’s in the UK. Utilizing unique techniques, many of these well-known branded MVNOs have achieved incredible success, frequently ranking higher in customer perception than the real host MNO on which they operate their service. On the One2One network, Virgin Mobile frequently took first place for the best network, and Tesco Mobile recently won the Most Reliable Network category at the Trusted Reviews Awards 2022 last year. Such is the efficiency of a successfully executed MVNO approach that O2, the host MNO of Tesco Mobile, placed 7th while providing the actual network! Tesco Mobile also took 1st place in a number of other categories, including Customer Care and Net Promoter Score (NPS). Tesco Plc converted every customer touch point by utilizing its strong supermarket retail network and gas stations. Lycamobile is arguably the most recognised MVNO in the world and evolved out of Lycatel Calling Cards which focused on the diaspora customer segment in the UK. The pivot from the protracted process of using a calling card to make international calls to a sim card was a game changer. Sim cards were sold through 1000’s of mom-and-pop shops, leveraging the existing and long-established distribution channels of the calling cards. As COO, I was responsible for rolling out the MVNO concept to an additional 7 countries across Europe, utilising the same capabilities of distribution and installed base of customers. Lycamobile is now active in 60 countries. All these successful MVNOs utilised 3 common catalysts for growth: (i) an installed customer base (ii) an established distribution channel (iii) a differentiated proposition. How can nascent Nigerian MVNOs emulate this success? The MVNOs above were launched over an 18-year period with a maximum of 4 a year. This afforded them the opportunity to take learnings from previous incumbents prior to launching new propositions. 18-year timeline to launch 24 MNVOs. Nigeria’s MVNOs will tread a different path and will all materialise within the same time frame, similar to the launch of PSBs. This implies there will be a glut of product offerings in the market, all seeking to gain market share. MVNOs will not have the luxury to study the traction of their competitors, understand their capabilities, identify opportunities in the market, and then refine their strategies prior to launching. Nigerian MVNOs will have to double down on their service differentiation from the onset, be crystal clear on strategy, and invest in resources to execute. Pre-Launch Steps for Nigerian MVNOs Business Plan A business plan is a fundamental requirement for any business start-up and it should be no different for an MVNO. In the case of Nigerian MVNOs, it’s important to tailor the business plan in line with the capabilities of the licence acquired. Wholesale agreement The wholesale agreement governs the commercial relationship between the MNO and the MVNO. These types of partnerships only work if the wholesale agreement works. A badly negotiated contract can undermine the whole business model and prove to be an existential threat for the MVNO. MVNO /MNO relationships do turn sour so the importance of a robust agreement cannot be underestimated. There are 8 essential elements that form the basis of a successful wholesale agreement. Technical partner Also crucially important is the selection of the right technical partner to support the MVNO operations. There are several key criteria that MVNOs must use to assess the capabilities of the technical partner. Stakeholder- Relationship Management Both the MVNO and MNO must appreciate the nuances that will emerge in this new relationship and adopt all the 6 proven strategies to ensure that there is commercial congruence at all times. Business Case The business case needs to factor in all the key assumptions an MNO business case would adopt with the appropriate modifications specific to the MVNO. For example, whilst it is logical to assume that the MNO bears all the capex of hosting the MVNO, it is incorrect to assume that the MVNO will not incur any capex at all. There are at least 5 scenarios where an MVNO will have to incur a capex outlay. Market Niche As mentioned above the Nigerian MVNOs will launch into a mature telecoms market, with established MNOs and at the same time as other MVNO launches. So it stands to reason that building traction and scale is not going to be without challenges. The segmentation strategies adopted by the MVNO will need to be forensic and clearly thought through using proven methodologies. Distribution Channels Establishing a distribution channel from scratch is expensive and time-consuming. So the MVNO needs to critically assess other routes to market, leveraging its own network of contacts. Brand Choosing which brand to launch with is one of the most difficult considerations. Does the MVNO build a brand from scratch
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- September 7 2023
Kenya’s ICT regulator suggests revamping existing laws amid WorldCoin controversy
Local ICT authorities lacked legal backing to manage the operations of WorldCoin. Now, the Communications Authority (CA) wants regulatory sandboxes to police new technology. Kenya’s Communications Authority (CA) has suggested establishing regulatory sandboxes to oversee new technologies like digital currencies. The Authority’s suggestion comes amid scrutiny of WorldCoin’s approval to collect biometric information from Kenyans. Tools for Humanity, which owns WorldCoin, collected critical biometric information by offering a token worth KES 7,000 ($50). “There is a need to develop an appropriate overarching legal framework for regulation on new and emerging technologies, including digital platforms, social media, and Over-the-Top services,” said Ezra Chiloba, CA’s director-general. The limitations of the existing laws were showcased last month when it emerged that WorldCoin had been registered as a data processor in Kenya. The licence allowed Tools for Humanity to onboard Kenyans onto its system using iris scanning machines. When it became apparent that these activities were not fully compliant with data privacy laws, Kenya’s ICT ministry, among other agencies, argued that WorldCoin’s licence did not grant any authority to collect personal data. “The licence does not in any manner endorse an entity’s compliance with the Data Protection Act or its subsidiary regulations, nor is it a valid license for an organisation to operate In Kenya,” Eliud Owalo, Kenya’s ICT cabinet secretary, argued. The Kenyan parliament also criticised data commissioner Immaculate Kassait over the WorldCoin controversy, accusing her of failing Kenyans. The WorldCoin iris-data collection activity raised concerns about data privacy and government involvement in digital identities. Kassait defended her office, arguing it issued an order to stop WorldCoin’s operations. In what can be seen as a failure to execute the mandate of the office of that data protection commissioner, Kassait said that she was not aware that Worlcoin was breaking privacy laws and only received that information after public outcry. WorldCoin has halted its activities in Kenya. It is also unclear what will happen to the already collected biometric data, although Owalo promised to explain it to parliament a few weeks ago. Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now!
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- September 7 2023
A tech group is empowering deaf kids in northern Nigeria
This article was contributed to TechCabal by Victor Eyike via bird story agency. When Amina Isa walked into her classroom to mingle with her new classmates after relocating to a new town, she found herself completely isolated. Born with a hearing impediment and unable to speak, Isa communicated using sign language. No-one in the class of 40 knew what she was saying. Of the 25.5 million Nigerians living with disabilities, according to the United Nations, some 9.5 million are deaf. In many rural and isolated communities across Africa, families, governments, even religious institutions continue to contribute to deaf marginalisation through negligence, lack of support, exclusion, and discrimination. Isa had relocated to the town with her parents and hoped to find a school with suitable learning conditions. Despite promises, it soon became clear to the young student that the school had no facilities at all, to help her overcome her disability. Experiences like Isa’s is why Wuni Bitrus and Pantong Dashwet set about building a suitable medium of learning for persons with hearing disabilities, in their local community in Jos, Plateau State, in 2017. The pair started Deaf Technology Foundation to provide digital skills training, in programming and robotics, for deaf children aged 5-12 years. “Persons with hearing disabilities are heavily neglected. Especially in Northern Nigeria. We came up with this idea to teach programming to deaf kids in northern Nigeria. We reached out to families with such cases and the response was overwhelming,” Bitrus explained of their early endeavour. The founders started small with just a computer on which they used to teach 10-20 students the basics of computer programming. Today, the group has successfully empowered over 1600 deaf children with programming skills. The students are coached on functioning in a digital and information-driven world, applying digital and ICT skills and successful living in a rapidly-changing and transforming society. Beneficiaries are able to develop their own tools. Students Mercy Grimah and Mercy Kure developed an automatic hand-sanitising dispenser thanks to their robotics training, while other outcomes have included animation, healthcare applications, games, autonomous robots and smart homes gadgets. “I have been able to develop some amazing projects with robotics. It’s amazing what they are doing for deaf kids. Most of us don’t have funds to sponsor our education. They have taught us to excel in programming competitions and added value to us in the labor space,” Grimah said, using sign language. Taught to be articulate when signing, the students also get to engage in extra curricular activities such as basketball and other sports, in addition to their programming training. Bitrus and Dashwet also organise the annual “Week of Code” event at a special needs school in Plateau State. During the week, students are introduced to programming and internet technology (IT) and given the opportunity to learn and collaborate with students from other schools. “Our vision is to build an ecosystem of software developers ages 9 -12, empowering them to lead productive lives. The mission is to catch them young and empower them with the tools and skills to participate in the digital economy,” Bitrus explained. The operation has grown faster than expected. “Lack of funding is always a major problem we encounter. We have a huge volume of students but lack computers and other technical accessories to aid their learning,” Bitrus said. The duo’s organisation is not slowing down, however. They have managed to recruit volunteer teachers who mentor the students in programming and robotics. Next, they hope to get other NGOs on board and expand to other states in Nigeria with a mission to create an inclusive learning environment that gives deaf students equal access to quality education. That includes providing interpreters, captioning and other visual aids and fostering a culture of respect and understanding in the classroom, to reduce discrimination and encourage inclusion. These are key requirements for learning establishments. But for now Bitrus and Dashwet are taking things one step at a time, hoping to ensure that in the future, learners like Isa don’t experience the kind of trauma she did, on her first day of school. Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now!
Read More- September 7 2023
Sama’s AI business will hire 2,100 Kenyans after exiting content moderation
Sama no longer offers content moderation services to its clients. However, it has since picked up computer vision and AI work and looks forward to hiring more locals amid a wrongful termination case with Meta moderators. Kenya’s trade cabinet secretary (CS) Moses Kuria, has revealed that Sama will hire 2,100 Kenyans in the next two weeks. The new hires will work in the business process outsourcing (BPO) industry, focusing on computer vision artificial intelligence (AI). They will work on various projects, including labeling images and videos for machine learning algorithms. According to Kuria, this development has been motivated by Kenya’s plan to create 1 million BPO jobs, a goal Sama has pursued since entering the Kenyan market in 2015. The first batch of 600 employees has already started working, while an additional 1,500 will be hired in the following weeks. This will increase Sama’s headcount from 3,400 to 5,500, with a leadership team that is entirely Kenyan. In a media meeting last Friday, Evelyn Njiiri, legal counsel at Sama, hinted at the Kenya government’s plan to work with the company, citing the need for public-private partnerships. “We also need to partner with the government, maybe in the universities, to teach computer vision AI if such an opportunity to do so. And there are so many other companies which are teaching AI from the basics. We are at the very bottom of the supply, but the whole supply chain will need to be moved after the end. We also need to be more proactive as opposed to being reactive,” Njiiri said. “The government is keen to turn Kenya into a digital economy by creating a conducive operating environment for the private sector. We congratulate Sama for their commitment to nurturing Kenyan youths on the AI Value chain,” State Department of ICT and the Digital Economy principal secretary (PS) John Kipchumba Tanui said. Sama is now focusing on computer vision AI work after discontinuing content moderation. According to Sama’s legal representative, who spoke to the media last week at Sama’s Nairobi offices, content moderation accounted for only 3% of the company’s work. Sama had also fired 184 content moderators, who have since sued the company for unfair dismissal. The case, last heard in court at the beginning of June 2023, is ongoing. It did find Meta responsible since the moderators performed Meta’s work. However, the judge presiding over the case mentioned that Sama was just an agent. At the same time, Sama argued otherwise, saying that Meta was its client and did not have the legal authority to act on Meta’s behalf, adding that it did not have work for the dismissed moderators. “We exited content moderation to focus on computer vision. When you know what you are good at, you would want to focus on that,” Sama said. The company added that it left that line of business as a strategic business decision, not to mitigate the fallout from the ongoing case. Sama primarily employs young people from disadvantaged backgrounds. The male and female headcount is also nearly evenly split, reflecting the practices of other companies like Safaricom. This topic has garnered widespread attention on the web, with local political and youth leader Brain Mutiga emphasising the importance of providing such opportunities to the underprivileged. “It will be good if sons and daughters of the poor get the priority. We cannot always have children of our leaders who have unlimited opportunities still benefiting from such offers in the name of ‘Kenyan youth,’” Mutiga said on X.
Read More- September 7 2023
Nigeria’s election tribunal’s ruling puts technology in the spotlight
Nigeria’s election tribunal ruled that the electronic transmission of election results isn’t mandatory. The ruling raises questions about the use of technology in future elections. On Wednesday evening, the Nigerian presidential election petition tribunal ruled that the electronic transmission of election results isn’t a mandatory provision of the Electoral Act 2022. In its judgment, the five-man panel upheld the victory of Bola Tinubu in the 2023 presidential election. The leading opposition candidates, Atiku Abubakar and Peter Obi had filed petitions accusing the Independent National Electoral Commission (INEC) of technologically manipulating results, among other things. “By the provision of Section 52 and Section 65 of the Electoral Act, INEC is at liberty to prescribe the manner in which result can be transmitted. INEC cannot be compelled to electronically transmit results,” the tribunal held in its ruling. The opposition parties hoped that introducing the biometric voter accreditation system (BVAS) and the INEC result election viewer portal (IReV) by the electoral umpire would be game-changers. The Electoral Act mandates INEC to electronically transmit results from the polling units to the collation systems to eliminate events of ballot destruction or theft from significantly affecting the results. But on election day, BVAS and iREV failed to meet expectations. Only 45% of Nigeria’s election results were available on IReV three days after the elections closed. Expectedly, this questioned INEC’s credibility and reduced public confidence in the results. INEC cited “technical glitches” for the delays. Though the Electoral Act allows INEC to transmit election results electronically, it also gives the commission the power to transmit the election results in any manner it deems fit. Section 60 of the Act states that “the presiding officer shall, after counting the votes at the polling unit, enter the votes scored by each candidate in a form to be prescribed by the commission as the case may be.” Days after announcing the presidential election results, a TechCabal article argued that the failure of BVAS and iREV put technology in the spotlight. Considering billions of naira of public funds spent on these technologies, many Nigerians were confident that the elections would ensure transparency. With the presidential election tribunal’s ruling, the big question is the place of these technologies in Nigeria’s elections moving forward.
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- September 7 2023
Amina Patterson on how to address challenges facing SA’s early-stage startups
Amina Patterson, a seasoned startup ecosystem builder in South Africa, speaks on how to address the challenges facing the country’s early-stage startup ecosystem. With a decade of experience in the South African startup ecosystem, Amina Patterson’s work has seen her engage and collaborate with over 60 startups. In her role as head of business operations at AlphaCode, one of the country’s leading accelerators, she acquired hands-on and first-hand experience in the challenges facing startups. From that experience and insights, she has continued her ecosystem-building work as founder of Solve4x, a firm focused on helping corporates efficiently support startups. She is also an entrepreneur-in-residence at the Allan Gray Orbis Foundation, assisting startups with business model validation and commercial resource accumulation as well as facilitating market, funding introductions, and ecosystem progression. On this episode of Ask An Investor, TechCabal caught up with Patterson to learn more about her work as well as the state of the early-stage startup ecosystem in South Africa. TechCabal: Please share more about your journey in the SA startup ecosystem AP: Over the past decade, my journey in the South African startup ecosystem has been a dynamic and transformative one. I’ve had the privilege of designing innovative solutions for corporates aimed at supporting and empowering small and medium-sized businesses. This experience has allowed me to witness first-hand the immense potential and creativity that startups bring to the market. At the core of many ground-breaking solutions are startups that possess an unwavering dedication to addressing the most pressing challenges faced by their customers, all while maintaining a strong client-centric focus. It’s this spirit of innovation and tenacity that has consistently inspired me throughout my career. In 2018, I took a pivotal step in my journey by becoming deeply involved with the AlphaCode Incubate Programme. This decision marked a turning point in my career, as it allowed me to immerse myself in the world of startups more intimately than ever before. Since then, I’ve never looked back. Working closely with AlphaCode and its startups has been an incredibly enriching experience. Over the lifespan of my career, I’ve had the privilege of collaborating with more than 60 startups across various sectors. This hands-on involvement has given me valuable insights into the challenges and opportunities that startups face in South Africa’s dynamic business landscape. It’s been a journey filled with learning, growth, and an unwavering commitment to nurturing the entrepreneurial spirit that drives our nation’s innovation. Looking ahead, I’m excited to continue my work in the South African startup ecosystem, leveraging my experience to support and mentor the next generation of visionary entrepreneurs. I firmly believe that startups are the lifeblood of innovation, and by empowering them, we can collectively contribute to the growth and success of our nation’s economy. What motivated you to pursue a career in the ecosystem? AP: I’ve always been deeply captivated by the world of entrepreneurship. It’s a realm that’s defined by its roller-coaster ride of highs and lows, its potential to transform communities and nations, and the unwavering mindset required to build a business from the ground up. From a young age, I found myself drawn to the stories of visionary individuals who dared to dream big and take risks. What truly ignited my passion for the ecosystem was the realisation that being a part of it grants you access to some of the brightest minds on our continent. These entrepreneurs, driven by their boundless creativity and determination, are on a mission to tackle pivotal socio-economic challenges head-on. Their resilience and innovative thinking inspire me every day. I chose to pursue a career in the ecosystem because I wanted to contribute to the remarkable journey of these entrepreneurs. I wanted to play a role in helping them turn their ambitious visions into reality. It’s not just about fostering economic growth; it’s about being a catalyst for positive change and progress. Over the years, as I’ve worked closely with startups and witnessed their transformative potential, my motivation has only grown stronger. I’ve seen first-hand how nurturing and guiding these entrepreneurs can impact their businesses, the broader community, and the nation. The satisfaction of being a part of this journey and witnessing the ripple effects of their success is what drives me every day. In essence, my career in the ecosystem is a testament to my unwavering belief in the power of entrepreneurship as a force for good. It’s a journey that keeps me inspired, motivated, and deeply committed to supporting the brilliant minds that shape our future. What is your favourite part about the work you do? AP: Being exposed to exciting solutions that challenge the status quo. Meeting new entrepreneurs and working with them to overcome the hurdles in achieving product market fit and building thriving, scalable businesses. What is the most challenging part about the work you do? AP: The most challenging aspect of my work is witnessing promising businesses grapple with market access hurdles due to outdated corporate processes. Startups often face lengthy sales cycles as they strive to validate their concepts, significantly impacting their time-to-market. Additionally, the fragmented nature of support within the startup ecosystem, coupled with similar mandates, can create competitiveness. We need to re-evaluate the value chain of support that can be offered to growing startups. Entrepreneurs become jaded by receiving the same kind of support over and over again. Early-stage investments are still hard to come by in SA. What do you think needs to be addressed to increase the level of pre-seed/seed investing in SA? AP: To foster greater pre-seed/seed investing in South Africa, we must address the risk-averse nature of current investment mandates. These mandates often prioritise maximising returns and lack flexibility. A fundamental mindset shift is required among LPs (Limited Partners) and corporate sponsors, primarily institutional or international investors with limited knowledge of the South African startup ecosystem, to overcome this challenge. More flexible, patient- and milestone-driven funding models are needed. These models should accommodate the unique market dynamics and challenges faced by startups in South
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- September 7 2023
TechCabal Daily-A $2 million blueprint
In partnership with Share this newsletter: Lire en Français اقرأ هذا باللغة العربية Happy pre-Friday The climate finance scene is sizzling hot. The African Development Bank recently launched a fresh $1 billion fund to fast-track climate financing for youth-led businesses across Africa. Don’t keep this news to yourself; share it with your friends. In today’s edition Bolt to deploy $685,000 in Kenya for electric mobility Itana raises $2 million to build a digital free zone Betting firms in Kenya face additional taxes Bayobab Group lands long-distance operator license The World Wide Web3 Event: The Moonshot Conference Opportunities Mobility Bolt to deploy $685,000 in Kenya for electric mobility Image source: Zikoko Memes Bolt is expanding it fleet of electric vehicles in Kenya. The taxi-hailing company currently has 40 electricity-powered bicycles (e-bikes) being used for deliveries in Nairobi. It plans to deploy at least KES100 million ($685,000) to include electric cars within the next 12 months. Electric partnerships: Per Nation, the company will work with electric car manufacturers and banks to enable the financing of electric vehicles. This coincides with Kenya’s renewed efforts to embrace e-mobility; the country has set up a task force to develop a roadmap and potential economic incentives like tax breaks to boost the adoption of electric mobility. Zoom out: As the worldwide automotive industry plans to transition toward electric vehicles, the Kenyan government has unveiled plans to roll out electric motorbikes across the country. Last week, Uber also launched an electric motorcycle in Kenya—One Electric— but is only available in Nairobi for now. Get a working card from Moniepoint With the Moniepoint personal banking app, you get reliable payments every time and a card that always works. Enjoy seamless payments powered by the infrastructure that 1.5 million businesses trust. Download the app. Funding Itana secures $2 million to build a digital free zone Image source: TechCabal Itana, formerly Talent City, has raised $2 million in a pre-seed round to build a digital city. The round was led by LocalGlobe, Amplo, Pronomos Capital, and Future Africa. Founded by ex-Andela and Flutterwave co-founder Iyinoluwa Aboyeji, Luqman Edu, and Coco Liu, Itana said the funding will be used to build a digital free zone in Africa. Sidebar: A digital free zone typically refers to a specific geographical area or region where various digital businesses are exempt from certain taxes, regulations, or restrictions. Itana says its other incentives include business visas, banking, capital repatriation, supportive legislation for businesses, and insulation from all effects of socio-economic instability in Nigeria. ICYMI: Last year, Itana launched a digital residency program for people to try out the e-governance system, global connectivity, and the promise of a strengthened digital economy in Africa. It also partnered with Binance and the Charter Cities Institute to build a 72,000-square-meter charter city to house 1,000 residents and 2,500 remote workers. The digital free zone will serve businesses that are mostly online without requiring them to have an extensive physical presence in the physical free zones in Lagos, Nigeria. Zoom out: Another initiative, Silicon Zanzibar, is also making its move to lure both local and international African innovators back to the continent. It does not have a snazzy digital persona like Itana or Afropolitan—another digital society—but it shows innovators are still trying to create a hub for innovation in Africa. Policy Betting firms in Kenya face additional taxes Image source: Zikoko Memes Kenya’s betting regulator, Betting Control and Licensing Board (BCLB), has proposed a new gambling tax in the country. Betting firms will now pay 15% of their gross gaming revenue and 1% monthly levy. This is in addition to existing requirement to withhold 20% of the winnings paid out to bet makers. Why? Betting is a lucrative industry in Kenya, and it looks like the more the government taxes the firms, the more money the betting firms make. Last year, the Kenya Revenue Authority gained about KES6.64 billion ($44 million) in excise taxes from the the KES88.5 billion ($605 million) bets Kenyans placed in 2022, up from KES5.1 ($34 million) billion gained in the previous year. Zoom out: The government is set to launch its own betting firm, National Lottery. It is expected to generate KES34.52 billion ($238 million) in taxes. The country will channel the bulk of the new gambling taxes to be channelled to the Sports Fund. Unlock new opportunities for your business Unlock new opportunities for your business with Vesicash! Seamlessly expand into emerging markets using our secure, all-in-one and cost-effective payment infrastructure. Contact Vesicash via our website www.vesicash.com or reach out to our dedicated team at info@vesicash.com Telecom Bayobab Group lands long-distance operator license Image source: TechCabal Bayobab, previously known as MTN GlobalConnect, has received regulatory approval in Nigeria for its National Long-Distance relationship (NLD) Operator License. What is an NLD licence? It is a licence that allows operators to provide long-distance voice and data services within Nigeria more accessible even in villages where there are little to no telecommunications infrastructure. Sidebar: In 2018, MTN Nigeria and Huawei commercially deployed a similar low-cost long-distance voice and mobile broadband services for remote local rural areas. Zoom out: The NLD license is a significant opportunity for the company to grow its business and contribute to the development of Nigeria’s digital economy. Crypto Tracker The World Wide Web3 Source: Coin Name Current Value Day Month Bitcoin $25,719 + 0.00% – 11.76% Ether $1,629 + 0.43% – 11.09% BNB $215 + 0.33% – 11.33% Cardano $0.25 + 0.23% – 11.71% * Data as of 12:22 AM WAT, September 7, 2023. Elevate your business with One Liquidity’s seamless integration. Choose from 10+ services to craft a custom solution. Join Obiex, Wewire, and others in providing trading, liquidity & compliance services. Start now with zero upfront fees. One integration. One solution. One Liquidity. Events The Moonshot Conference Early bird tickets are still selling out fast for Moonshot by TechCabal! If you’re an international fan eager to be part of this incredible event, the time has come for you to secure your
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- September 6 2023
How early-stage South African startups can survive the VC crunch
South African venture capital ecosystem experts explain how startups can survive the difficult environment startups exist in. With the VC funding crunch nearing its second year, African startups which have for the last six years enjoyed some access to venture capital, have had to adapt to a negatively charged environment. The lack of free-flowing VC capital, with its stringent growth expectations is not necessarily a bad thing, especially for founders looking to build businesses that will be robust enough to survive any funding environment. That’s the sentiment echoed by the ecosystem players TechCabal spoke to for this article. According to Clive Butkow, CEO of Johannesburg-based VC firm Kalon Ventures, this epoch is making founders focus on what they have always needed to focus on: sustainable growth. “You had a case where founders were raising capital, even when they could have bootstrapped their way to some significant traction,” Butkow told TechCabal. “ They ended up having to give away a huge chunk of the business because they had very limited leverage.” Butkow adds that instead of prematurely pursuing venture capital and falling under the “growth at all costs” spell, founders should rather consider bootstrapping as well as funding via the business’s revenue. The current funding environment, according to Butkow, is helping founders to execute their visions more independently, in the process building strong businesses in which they have decision-making and execution powers. Amina Patterson is the co-founder of Solve4x, a South Africa-based firm focused on helping corporates design programmes for early-stage startups and also led the operations of one of South Africa’s most prominent accelerators, AlphaCode. From her experience working with over sixty startups, most startups that embarked on the VC-raising journey were not ready for the hustles and bustles that came with the process. “I would say between 80% and 90% of startups I have worked with wanted to raise capital but what we saw after doing the requisite due diligence was that perhaps 10% of them, at most, were ready to raise that type of capital,” she told TechCabal. She adds that in most cases, founders failed to have important conversations before raising capital. These include conversations on equity dilution which, as the business grows and gets more investors, might lead to misalignment and eventually, arguments about shareholding. To address this lack of education on how venture capital works, Patterson believes that accelerators have a role to play. The VC funding raising culture had permeated the ecosystem so much that those conversations, important as they are, were secondary to the fundraising process. “Unfortunately with a lot of accelerators, they provide programmes for upskilling entrepreneurs and do some business development but rarely do they focus on getting to the nitty-gritty of what is in a term sheet. How does this link back to your existing financials and your go-to-market strategy? How does this link to your future ambitions of raising capital at a later date?” Patterson added. One accelerator trying to address this knowledge gap is the Johannesburg-based I’M IN Accelerator. The firm makes preseed investments in early-stage startups, with a particular focus on black-founded startups. According to Palesa Tabai, program lead at I’M IN, the accelerator has investor readiness frameworks in place which they use to gauge startups’ readiness to raise venture capital. She adds that with most startups trying to raise funding, they are unable to prove beyond reasonable doubt that their product will meet venture-level growth trajectories. That is where the readiness frameworks assist. “We assess a startup’s market, business and technology readiness level through working with our in-house experts in the due diligence process. This helps founders to really understand what they are getting themselves into if they decide to take VC investments and help them gauge whether they are ready or not,” Tabai told TechCabal. Tabai adds that through the due diligence process, most founders come to the realisation that it would be more practical and efficient to either bootstrap the business or pursue alternative funding avenues, including grant competitions. With the VC downturn showing no signs of slowing down, startup founders have to get themselves familiarised with the new operating environment. According to Will Green, co-founder of Co-Labs, African founders hold an advantage in that prior to the availability of venture capital, founders still built strong businesses with strong fundamentals. “Compared to the rest of the world, venture capital is a relatively new concept in Africa. We have founders who were building even prior to the VC rush,” Green told TechCabal. “I believe new-age founders can benefit extensively from the experiences of those founders who were building tech startups before the VC boom of recent years.” Green believes that like the dotcom bubble of yesteryears which saw the likes of Google, Apple and Amazon come out with stronger and more resilient business models, the current VC crunch will in retrospect see the emergence of such sustainable businesses on the continent. As the saying goes, pressure makes diamonds and at the moment, the African venture capital ecosystem is under a significant amount of pressure in the VC crunch. Contrary to 2021 when funding announcements were a daily occurrence, nowadays, layoffs, and shutdowns have become the daily occurrence. Through all this, most ecosystem experts TechCabal spoke to believe that this “market correction”, undesired as it is currently, will produce resistant entrepreneurs and companies which will stand the test of time in the future. Currently, there has to be a collective effort between founders, investors, and other stakeholders to ensure that the crunch does not swallow even the promising startups. The new batch of founders, used to using venture capital to achieve moonshot growth targets, have to familiarise themselves with the concept of building businesses whose unit economics make sense. Investors and accelerators have to play the role of providing reality checks for founders. Due diligence before writing checks can help founders, who are sometimes overtly confident in the capabilities of their startups, avoid giving away equity way too much equity way too early in the
Read More- September 6 2023
“Facebook’s contractor forced me to work alongside my rapist”
This story was contributed to TechCabal by Mukanzi Musanga and first appeared in Open Democracy Facebook’s former content moderation firm has been accused of shielding an employee who allegedly raped two colleagues and sacking one of his victims to protect the company’s reputation. Two former employees in Sama’s Kenyan office have told openDemocracy that managers fostered an unsafe work environment by ignoring or minimising their allegations of rape against one of their colleagues. The allegations, which have been reported to the police but are not part of any ongoing legal challenges, are the latest made against Sama by its former African employees. The US-based tech firm is being sued – along with Meta, which owns Facebook – in Nairobi for unlawful redundancy and blacklisting after laying off all 260 of its content moderators in Kenya in March, having ended its contract with Facebook. Hope Mandi, one of the women alleging rape, moved from South Africa to Nairobi in May 2021 after landing a job at Sama. In the same month, Mandi moved into an apartment complex on the Imara Daima estate. She says that weeks later, she was raped by a colleague who lived nearby and had come to her apartment in what appeared to be a friendly visit. Mandi said they were chatting when he first tried to kiss her and then raped her after she asked him to stop. Mandi said that after the man left: “My immediate thought was to report him to Sama. The first person I confided in was a colleague, who informed the management of the assault.” She was taken to a hospital chosen by Sama’s in-house counselor. Once there, the counselor handled all the paperwork. Mandi claims Sama was trying to control everything and keep a lid on the rape. Having only recently moved to Kenya, Mandi assumed Sama would assist her in filing a local police report. But she says a senior manager instead told her not to involve police. “Afterwards, there was no further action from the company. They went quiet except for the calls from the counselor, who repeatedly tried to persuade me to forgive him,” she said. In one instance, Mandi told openDemocracy, she was on the phone with the counselor when, without warning, they added her alleged rapist to the call so that he could apologise – despite her having already refused to meet with him face-to-face. Mandi also feels she was compelled to suppress her emotional distress at work and continue to sift through Facebook content “where people were being sexually violated”, while her own assailant sat a short distance away. “He attacked and raped me but faced no consequences despite me reporting him to Sama,” she said. Sama’s global service delivery vice-president, Annepeace Alwala, told openDemocracy that the organisation provides “a safe and respectful environment” for employees and treats all allegations of misconduct seriously. Alwala alleges that Mandi withdrew the sexual assault complaint that she initially provided. “We can state that in this first instance, which took place outside of work, the only witness recanted their statement, and therefore we had no way to action any allegations of wrongdoing.” Mandi refutes this, claiming she never withdrew her statement. “That is such a lie,” she said. A second attack Another former Sama employee told openDemocracy that, just over a year after Mandi’s alleged attack, she was assaulted by the same man. Zani Mazwai also worked in Sama’s Kenya office and moved into Mandi’s apartment building in August 2022. Just after 4 a.m. on 11 September, Mazwai was awoken by a call from the man, who still lived nearby. The man said he needed Mazwai’s help and came to her door. Although half asleep, she was concerned about him and let him in. She says he pounced on her and raped her, then fled. “I was in so much shock that I couldn’t process what had just happened,” said Mazwai. “I was able to call Mandi, who immediately came over and took me to her apartment.” Mandi took Mazwai, who was “crying and distraught”, to the hospital for a medical examination. Mazwai says officials at Sama wanted to handle the alleged attack internally through a disciplinary hearing for the colleague she said attacked her. She claims they told her she’d need to be in the same room as him to “give an account of what happened.” “I felt uncomfortable about this, so I decided to file a police report instead. I also told my whole family about it,” she said. “The senior officials were not happy that I filed charges because they wanted to handle it internally.” Mandi then revealed to Mazwai that the man had raped her too, and also recorded a formal statement with the police. Two months later, in November, Mandi said she was falsely accused of “coming to work drunk and unable to walk or talk.” She was fired the following month and given a severance payment of 50,000 Kenyan shillings ($350) earlier this year. “That was less than a month’s salary,” she said. “I was so angry about everything at that time so I didn’t dispute it. I didn’t want anything to do with Sama.” When asked about this, Alwala from Sama declined to respond, citing a need to protect “employees’ privacy and confidentiality”. Mandi believes Sama got rid of her to protect their image. “Firing me was an attempt to cover up the fact that they had sheltered a serial rapist, who had previously assaulted me, then done the same to another moderator. This looked bad for them,” she said. Meanwhile, Mazwai was given some time off work after her assault but was soon asked to go back, and her request to work from home declined. In March, she was among the 260 content moderators let go by Sama and is now a party to the lawsuit alleging unlawful redundancy and blacklisting. Alwala stated that the company suspended and sacked the alleged assailant after becoming aware of Mazwai’s police report. Getting justice After Mazwai filed a police report, an arrest warrant was issued for
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