Wednesday, 16 September 2015

WILL TECHNO CITY BE AFRICAN SILICON VALLEY? MAYBE NOT



KONZA TECHNO CITY VS SILICON VALLEY

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a)      ***Kenyan innovation spirit***
Kenya has been dubbed as the ‘silicon savanna’ in Africa due to its success in terms of innovations and technology.  Companies have been born in this line; SST (Seven Seas Technology), Craft Silicon, Onfon Media, Weza Tele, Symbiotic Kenya, M-Farm, Ushahidi… among many others. We all know and many times have used M-PESA to send money back home in the village to our parents and relatives. Initially we had to either go home ourselves, send someone who belonged to our vicinity who was going home that weekend or even send a driver/ conductor with an envelope of which we were 50-50 whether the prestigious cargo would reach the hands of the intended destination. We call all this- M-PESA revolution- the 2007 deliverance.
I remember when potus offered an official and friendly visit to Kenya 0n 24th-26th July (of which others proclaimed it as a warm homecoming) he said that M-Farm was helping and advising thousands of farmers on when to plant, cultivate, fertilize, harvest and even where to sell their produce. Ushahidi is helping citizens send confidential information from Zimbabwe to Baghladesh yet it was born here in Kenya. Wow!
When M-Shwari –a partnership between Safaricom and Commercial Bank of Africa (CBA) – was launched in 2013,  it took about a month to have over a billion in savings and 23  billion in short loans. The designers seem to have known the real disease and definitely resulted to deliver the best medicine ever.
Equitel, Equity Bank Group mobile-services arm, had at first launched in the midst of controversy; we all watched the battle of titans. At last the consumers might say they got what they would term as envious in their life: choice.
The government has not been left behind in this. Huduma centers have seen a couple of things get done. They have merged the state services on one doorstep; renewal of driving licenses, application of national IDs, registration of new businesses… among others. Also, systems that were once criticized over the years due to failures on being disorganized and scattered all over different buildings were seen brought together for the sake of the common mwananchi to the point of some other African countries revealing that, they too, would replicate the same to their countries. A nice move!
These and more have sent a clear signal in the outside world. Global corporations which like terming themselves as (Inc.) have seen a silver lining in our country. In 2013, International Business Machines -mostly referred to as IBM- set a research lab in Catholic University of East Africa, Langata campus. They have done some progress.  GSMA also set in here – along Ngong road to increase some warmth next to I-hub and Nailab. Microsoft E.A. …aaaaaaah! ...the list is endless.
Well, we may not be able to name all the success stories and THE-NEXT-BIG-THINGS we have witnessed in the previous years because they are beyond our expectations and thoughts.
Now my fellows let me not lose focus on my point here. I may glorify all of us and most notably these initiators and fail to get my …eeh…thesis. Back in 2012, Konza city was launched to foresee more innovation prospect as Silicon Valley did back in 1940s-50s. l know that we may not replicate SV as it has been hard to do so by even other countries like Israel, London- UK, Dubai among others. Konza is somehow different from SV in a couple of things.
b)      ***SV Foundation and history *** (courtesy of Wikipedia)



                              An air-view of Silicon valley 

Before I analyze the differences, and even the similarities, let’s see more of Silicon Valley (SV). It is the southern region of San Francisco Bay Area in northern California –San Jose in Santa Clara valley. It is next to SRI (Stanford Research International). It has been the leading tech-hub with 1/3 of all venture capital in USA. The name comes from semi-conductor companies that were set in 70s-80s which used silicon to make chips and transistors, now used in electronics.
In 1940s-50s, Fredric Terman, Dean of Engineering in Stanford University started to encourage his students to become self-employed (as has been a Kenya’s cry off late). Two students, William Hewlett and David Packard joined to form  Hewlett-Packard Company –HP, the giant PC, servers and printer maker till date. So, when students came with ideas, they could be vetted and developed in the research lab arm of Stanford University- SRI and once valid and sustainable, they could be “thrown” outside the school for further development and business set up. Many ideas came up and followed the same route and expanded in the Santa Clara valley.  Later, other companies followed the bee to eat the honey- Microsoft, Adobe, Macintosh (Apple), Cisco and others. More research heated to develop more sophisticated products like GUI interfaces, the computer mouse, Ethernet, laser printers, O-O-programming. There was more than a mere drive that saw SV trail the journey towards computer development and technology at large - THE DRIVE THAT COULD NOT BE EXPLAINED.
 Let me end with this –I-don’t know how to describe kind of- information from Wikipedia.
In most inventive towns in US, California carries 12 and 10 out of them comes from SV (meaning, half of US inventions come from SV). San Jose/ SV filed 3867 patents in2005, followed by Sunnyvale with 1881 utility patents. By the way, how many innovation patents were filed in Kenya in 2014?  Between 5 and 10, I surely don’t know.

c)       ***Will Techno city be the SV of Africa? ***
***Konza Techno city was launched in 2012 by the government of Kenya under the ICT Board and marketed by Kenya Vision 2030. It is located in Makueni County in a 5000 acres piece of land, 64 km south of city of Nairobi. It is said to cost 1.2 trillion (approximately US$ 14.5 ). (Source: Wikipedia)
It will host BPO (Business Process Outsourcing), ventures, a science park, a convention center, a shopping mall, hotels, international schools, a health facility all allowed by Parliamentary Account Committee.  It’s a sustainable, world-class tech-hub also dubbed as ‘where African silicon savanna begins’.


                                  How Konza is/ will be 


d)      ***the difference between Konza and SV***

1.       SV was developed out of scarcity in resources but abundance in ideas. When the students developed their ideas, they were released outside to the market and the ‘outside’ was Santa Clara valley. They created their own offices with anything they had, thanks the little help the university offered. The venture capitalists arrived later when they realized there could be something to bite after all. The market defined the success or even failure of someone’s project. It was where author Ellen Goodman said ‘act and the world will judge the result of your actions’.
Konza is the opposite, developed out of scarcity in ideas but abundance in resources. A master-plan has been drawn, cost of 1.2 trillion presented, 5000-acre land surveyed, water, electricity and roads developed. I have seen the master-pan, wow! It is indeed overwhelming. That’s pretty good.
 We might see almost all of the prestigious space being taken by incomers. Yes, they have the ideas, research labs and of course the best human intelligence. Well, the government may decide to reserve at least 30% for Kenyan companies. It’s better.  But even if it does so, we might miss a point because of Konza’s foundation: developed out of scarcity in ideas but abundance in resources. We may suffer from lack of well developed ideas worth the investment carried in the area. When that happens, Konza may not fulfill its mission: a sustainable, world-class tech-hub, ‘where African silicon savanna begins’.

2.       SV was highly linked with the power-source: the university research lab and Stanford University at large. Taking both to be located opposite to each other and a road dividing them (a thought, I’ve never been in US leave alone SV) I can spiritually see ideas criss-crossing the path from SRI to SV. I can also see Terman visit SV occasionally to see the progress of his children in this new land – A REAL PROGRESS. I can also see him try to get feedback from the market on how the products are fairing and where to advise his students to improve – A NICE ECOSYSTEM.
Konza on the other side stands stand-still. It’s alone like a lone survivor. I will not say it’s not linked with anything but not with the power-source.  Any country that will invest in human intelligence will emerge to be the best economy in history”. Prof. Kachieng’a noted in one of his articles. Kachieng’a is a lecturer in the school of Engineering in Technical University of Kenya (TU-K). I don’t know Prof. Kachieng’a personally, but his articles (which he pins in the admin block) amaze me. US has done it; invest in human intelligence. They have grown to be the wealthiest economy in history and hence, the global super-power.  They have done it by joining networks- the power-sources. You will bear with me that almost all tech-giants in US were founded by drop-outs (like me). They had nothing materialistic, just a brain/ idea, a computer and a garage (Google in Wojcicki’s home and Apple in Steve’s garage) or even a dormitory for Zuckerberg’s case. IDEAS rule the world.
 It is because university collaborations and networks with industry are like combining a data center with the power-source. There will be no down-times, no slumps and no down-trodding.
 
Well, that’s fine and well spoken for now but don’t forget to check to my site www.dcskenya.com and see full digital migration in the payment industry.