Chained to the Rhythm: Safaricom Fires Back

Welcome to The Afro Pivot Point

Showing You What's Art and What's Not in African Tech

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It’s been an eventful week in African tech. Safaricom has responded smartly to Starlink’s new pricing, Interswitch is grappling with recent fraud issues, and Spleet faces challenges with mismanagement. Wasoko and MaxAB are joining forces, and there’s new leadership at Safaricom and DOB Equity. I hope your week has been as amazing and productive as mine.

Here’s what’s up in African tech:

What's Art

Safaricom has upped its game by increasing speeds on its internet packages in response to Starlink's new pricing model. Here’s what’s new: 

• Bronze Package: Now 15Mbps (up from 10Mbps) 

• Silver Package: Now 30Mbps (up from 20Mbps)

•  Gold Package: Now 80Mbps (up from 40Mbps)

Diamond Package: Now 500Mbps (up from 100Mbps)

What's Not

Interswitch's Major Loss: 

Nigerian fintech giant Interswitch is reeling after losing ₦146 Million that was initially recovered from fraudsters. The funds, held in a tier-2 Nigerian commercial bank, were reportedly “fraudulently hacked into,” leading to significant financial setbacks for the company.

Show me the Spleets

Nigerian rental management startup Spleet is in hot water after an audit revealed the mismanagement and misappropriation of $1.5 million. This led to the removal of CEO Adetola Adesanmi in March 2024, marking a major shakeup in the company’s leadership and casting a shadow over its operations.

New Kids on the Block?

Safaricom PLC has appointed James Ludlow as its new Director, effective 28 August 2024, replacing Francesco Bianco. Ludlow, a seasoned HR strategist from Vodafone, steps into the role with high expectations.

Nairobi and Netherlands-based private equity fund DOB Equity has announced Karen Serem Waithaka as its new Chief Executive Officer.

On Every Block

Blockchain startup Haraka_xyz introduces a new microlending model for local communities.

MentoLabs, another player in the blockchain space, is now live on Token Terminal. Mento is one of the most used applications on Celo, with around 400k daily active addresses.

Money Moves

Bolt announced a 10% increase in base fares across all its ride categories. The move is aimed at improving driver compensation and working conditions.

Kenyan e-commerce startup Wasoko has completed an all-stock transaction with Egyptian firm MaxAB, paving the way for a much-anticipated merger. The new entity, set to unify under a yet-to-be-revealed brand name, is expected to tap into fintech to diversify operations and boost revenue.

Flutterwave has received a Payment Systems Operator (PSO) license from the Bank of Uganda. This allows the fintech to offer services like payout disbursements, invoicing solutions, and mobile money integration.

Interswitch East Africa (Kenya) Limited, in partnership with Elie Technologies, unveiled Tumatap, a contactless payment solution for merchants and customers. This solution transforms smartphones into POS systems without the need for additional hardware.

Ampersand, a Rwandan electric motorbike manufacturer, has topped up its total funding to US$ 21.5 million after receiving US$ 2 million from investors in its Series A funding. The investors who participated in this raise include AHL Venture Partners, Everstrong Capital, and Beyond Capital.

SYSPRO Africa is expanding its influence in the Kenyan market, offering ERP systems that integrate AI and machine learning. These systems aim to automate data processing and reduce manual labor.

A Few of My Favourite Things

Watching:  Industry  on HBO. Anyone else think Harper’s downfall will be televised?

Reading: Kenyan Wallstreet to step up my investment game

Loving: Payd’s fresh perspective on payments within the gig economy.

Listening to: Founder’s Podcast by David Senra. Specifically loved the Estée Lauder one.

Celebrating: New Personal Bests at the gym. (40 kg squats, come on!!)

Till next time, cheers!

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