Investors update: August 24 2023 - Endeavor Egypt’s new scale-up program

Endeavor Egypt’s new scale-up program to back startups

Highlights

• Cairo-based enabler Endeavor Egypt has launched XceleRise, a scale-up program to aid access to capital and market expansion for all startups that promote sustainability, in partnership with GIZ Egypt.
• The 15-month program is designed to equip entrepreneurs with industry knowledge, market insights, and connections necessary to scale their operations internationally and raise capital.
• Founded in 2008, Endeavor Egypt is the local arm of the global entrepreneurship movement “Endeavor”, which aims to drive sustainable economic development by supporting local entrepreneurs.

Source: Wamda

Our Takeaway

One of the defining trends of Africa’s venture capital landscape in 2022, per a Briter Bridges report, was a notable growth in the early-stage support framework available to startups on the continent, involving angel networks, seed funds, and accelerator programs. Accelerators, incubators, and pitch competitions provide crucial access to capital and mentorship to startups, and the benefits of this in the African startup landscape—which is playing catchup to ecosystems in advanced economies—can’t be overstated, especially in times of economic uncertainty. 

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TikTok to open Kenya office in bid to moderate content

Highlights

• TikTok agreed to moderate content on the popular social-media platform in Kenya, the East African nation’s president said after meeting CEO Shou Zi Chew.
• The news follows last week’s move by the country’s parliament to investigate the use of TikTok after receiving a petition demanding it be banned for promoting “violence, explicit sexual content, hate speech, vulgar language and offensive behavior.”
• State House officials also said that TikTok would open a regional office in Nairobi and hire more Kenyans to work for the platform.

Source: Bloomberg

Our Takeaway

Kenya is one of the most active countries on TikTok. Per the Reuters Institute Digital News Report 2023, Kenya has the highest TikTok usage rate worldwide, with 54% of users in the country using the app for general purposes and 29% for news. The Chinese-owned social network reaches 44% of 18–24s across markets and 20% for news and is growing fastest in parts of Asia-Pacific, Africa, and Latin America. This shows how rapidly smartphone and internet penetration is growing in Africa, driving the uptick in social media and digital services adoption. 

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Google launches accelerator program for African AI startups

Highlights

• Google has launched a new accelerator program to support Artificial Intelligence (AI) startups in Africa. 
• The “Google for Startups Accelerator: AI First”, initiative seeks to recognize startups keen on delving into AI’s possibilities across the continent while highlighting their significant contributions in addressing some of the region’s most pressing challenges through the use of AI. 
• The program is open to startups currently up to the Series A stage based in Africa or building Africa-centric solutions with AI and machine learning.

Source: Ventureburn

Our Takeaway

The new 10-week equity-free accelerator program draws learnings from past initiatives such as the Google for Startups Accelerator: Africa, The Google for Startups Black Founders Fund, and The Google for Startups Accelerator: Women Founders, the primary aspiration remains consistent: to support and highlight African-driven solutions. Since its inception in 2018, the Google for Startups Accelerator: Africa program has supported 106 startups from 17 African countries. Collectively, these startups have raised over $263 million in funding and created over 2,800 direct job opportunities in the region.