Kenyan Women Create Their Own 'Geek Culture'
npr.org
npr.org
I'd be very interested to see a group acting as a "liaison" between these communities to help solve problems more efficiently. Example: You're developing a sensor network to measure rain levels across cell phone towers? I have an algorithm that can measure this data effectively and correct for error so you don't have to. We already do this today with the overload of SaaS startups -- you're building some monitoring platform? Use Librato to capture the metrics. You need a disaster response application that can aggregate data and display the most severely affected areas? Use Parse for the backend and OpenStreetMaps for the geo -- no need to do it yourself. If you're solving a problem, there is a 70% chance that somebody either solved it already, is currently trying to, and/or has a good idea about how to solve it. Increase the collaboration to a more personal, local level, and you've got something big.
The point is that throwing your Alien-Ware in the back of your Volvo to go to a lan party across town is a ridiculous (to the point of being non sequitur) comparison.
It's fantastic to see Sue and M-Farm getting this kind of exposure.
http://wezatele.com - I interned there early this year. http://mfarm.co.ke http://kopokopo.com http://frontlinesms.com - I did some work there last year. http://ushahidi.com - nonprofit, so I'm not sure it qualifies, but one of our better known exports. http://pesapal.com - I dislike the obvious play on PayPal, but they're an awesome team
There are many more, but those are the ones that immediately came to mind.
There's something of a running joke that every second startup is an M-something, presumably due to the runaway success of mpesa, a mobile money service by one of the telcos, Safaricom.
Some more established players, not startups in any sense, are Craft Silicon and Seven Seas technologies.
On consumer-facing startups, which are my expertise, I can say that the problems currently facing Kenyans online are basic content issues(online news, classifieds, downloads etc). If you stick to the basics, it's really easy to get some traction going. Revenue-wise, HNers would love Kenya. The absolute best internet revenue model in Kenya is to charge your users one-time monthly subscriptions. Paid classifieds like cheki.co.ke and eatout.co.ke are making hundreds of thousands of dollars annually with this model. Ad-based revenue follows an extreme power-law. The digital budgets flow mainly to Google and Facebook. E-commerce is there, mainly in the tourism and daily deals spaces. Skimming commissions off the top of transactions is not very lucrative right now, haven't seen any success stories. All in all, the online space is more of a land-grab right now, than a gold-rush. On acquisitions, there are VERY few. Most big companies would rather partner or compete. Most acquisitions are done by private equity companies or high net-worth individuals, and they only buy startups that absolutely kill it on each and every front(user growth, revenue growth, profit growth, brand awareness etc).
PS: My company shares the same investors with the M-Farm team.
The fact that Kenya now has hundreds of miles of fiber optic cable is awesome. The fact that most of the internet I use in the USA ends up last-mile-ing over coaxial lines laid in the 1970s is terrible and unlikely to change in the next 10 years.
(Of course, our non-digital infrastructure is crumbling for largely the same reasons, so that's even more stuff to worry about).
Here in silicon valley, both the city of Palo Alto and the city of Santa Clara (see http://svpfiber.com or email me if you want to get in on an in-progress project) have municipal fiber rings. It's aimed at businesses, and /only/ does the last mile (which is to say, once you get to the data centre you will still have to pay someone for transit to the internet. And you will have to pay to trench to your house, so you are probably looking at $500/month minimum and maybe $10K one time to trench in to your house. Still, worth it to not live in Sacramento. Ugh.)
I mean, what I'm trying to say is that there are really good tubes, here in America. I, myself, have 12 gigabits of burst capacity (a 6.2 gigabit commit) Yes, our last mile for most people is shit. But the last mile for everyone, everywhere is shit. Just like in Africa, I personally predict that it's going to be wireless, for most of us. And for most of you? wireless is just fine. I mean, yeah, cheap fiber for everyone like they are said to have in Japan, or in Kansas or in Sacramento would be super great, but I don't think that only having that in a few places will cripple us. I mean, when it really matters, even here in America, if fiber matters to you, you can get it by paying a small (compared to developer salaries) fee, or by moving somewhere unpleasant.
Second, are coaxial lines really that bad? You do need literally bundles of fiber for backbone activity, but last-mile? DOCSIS 3.0 is 42Mbit/channel, with as many channels as the endpoints can support. Comcast has already offered 305Mbit. We will need fiber last-mile one day, but not nearly any time soon.
I suspect the real limitation is a grab-bag of things like:
- Increasing speeds highlights damaged coax, which would then require repair
- Slowing the growth in speed means they can continue to charge a lot for service that is easy to provide
- The true bottleneck is probably somewhere in the ISP, for example routing infrastructure, which would need to be upgraded
I invested in this African company: http://unreasonableinstitute.org/profile/mwilkerson/
It was a little easier as the founder was from the US and I met him here, and then he returned to Africa to continue running the operation. Wish more African founders had the opportunity to raise money here.
I personally would love to start such an organization.
It's been on my mind since I made the comment; if you've interest I wouldn't mind discussing it with you if you'd like to e-mail me at the address in my profile.
Jamila,C.E.O MFarm
http://finance.yahoo.com/q?s=nafax
I don't recommend investing in tiny enterprises in developing countries, because you're heading for shakedown street at that point. But if you think it's a growth sector, go for it.
2. Find a local subject matter expert; someone who is plugged into the startup community and understands what the context is like. This person may need to get paid, but not much (it's a limited amount of work). You really should have a contact in each local market (not that hard to find).
3. Set up weekly calls with your collective and assign individuals specific verticals to monitor/research. For example, you take e-commerce, your friend takes UGC, and a third person takes marketplaces; similar to the way that conventional fund operates.
4. Find local counsel--even if you insist that the companies be re-incorporated in Delaware.
5. Schedule monthly calls to go over deal flow. Spend more time (virtually is fine) with those companies that receive approval from the collective. Make sure you have had enough time to verify that the founders do what they say they do. Look at traction and budget.
6. Review the docs and disburse funds. Monitor the investment.
As you can see, it's not a complicated process, but it does take time and energy. Do you have that (as well as sufficient capital to put at risk)?
Perhaps a whole new series of novels based on the concept of the "The No. 1 Ladies' Geek Startup" ?