A Continent at the Tipping Point of Tech Sovereignty
Africa’s tech story is no longer just one of potential—it is now one of momentum. With $187 million raised by startups in May, strategic accelerator programs led by Google, and grassroots developer movements fueled by Microsoft, the continent is charting its own digital future with more clarity and courage than ever before. These narratives are more than headlines; they are signposts of transformation. They reveal a generation of innovators no longer asking for a seat at the table—but building one. A new class of founders is emerging, deeply rooted in the problems of their communities yet sophisticated enough to deploy global technologies like AI, cloud, and machine learning to solve them. The convergence of capital, capacity, and collaboration across ecosystems signals something profound: Africa is not waiting to be saved by innovation—it is authoring it. In the coming months, as new stories unfold and more startups rise, BlackSolvent will remain a mirror to this momentum, documenting the wins, the pivots, and the quiet revolutions taking place in code, in capital, and in culture. Africa is not next. Africa is now.
Funding on the Rise: African Startups Secure $187M in May, Signaling Optimism Across the Ecosystem
In what appears to be a turning point for Africa’s entrepreneurial landscape, startups across the continent have raised a combined $187 million in funding during the month of May. This rebound follows months of investor caution, signaling renewed optimism about the region’s innovation potential and its long-term profitability.
Though still below the record highs of 2021 and 2022, this May’s fundraising volume marks a notable increase compared to previous quarters in the post-pandemic, high-inflation era. Investors appear to be refocusing their portfolios around startups with clear product-market fit, scalable operations, and climate-smart strategies.
Key Deals Highlight Strategic Industry Shifts
At the forefront of the funding surge is M-KOPA, a Kenyan-founded fintech platform that facilitates asset financing for low-income users. The company secured $51 million in debt financing, which it plans to deploy in scaling its smartphone financing and solar home system programs across East and West Africa.
Hot on its heels is Spiro, a startup leading the electric motorcycle market in Africa. The company closed a $50 million debt round, which will fuel its efforts to build charging infrastructure, expand its fleet, and drive electric mobility adoption in urban centers like Lagos, Kampala, and Kigali.
Also noteworthy is the $85 million acquisition of Adumo by Lesaka Technologies, a deal that underscores the ongoing consolidation within the African fintech space. Adumo, a South African payments platform, had built a diverse portfolio serving merchants and small businesses. Its integration into Lesaka is seen as a power play for dominance in Southern Africa’s SME finance ecosystem.
Another major move came from the investor group behind Paystack, which quietly acquired Brass, a digital bank catering to small businesses in Nigeria. While the deal’s financial details remain undisclosed, insiders suggest the acquisition will streamline operational tools for SMEs, particularly in cashflow management and expense automation.
Funding Trends Reflect Maturity and Investor Selectivity
Analysts say the May rebound is not just a fluke but a result of recalibrated investor expectations.
“We’re now seeing a move away from blitzscaling and more toward sustainable, impact-driven growth,” says Adesuwa Okunbo Rhodes, managing partner at Aruwa Capital. “Founders who show clear unit economics and regulatory awareness are the ones getting funded.”
This shift is evident in the preference for debt financing, which made up more than half of the May deals. Debt offers founders the advantage of non-dilutive capital while allowing investors to reduce exposure in volatile markets.
Additionally, cross-border mergers like the Adumo acquisition reflect a growing appetite for integration and scale, especially in fintech where regulation and infrastructure often create bottlenecks. These types of deals are beginning to reshape Africa’s fragmented tech ecosystem into a more consolidated and competitive terrain.
The Road Ahead: Encouraging but Still Fragile
Despite the positive figures, funding remains 30–40% lower than this time in 2022. Many startups continue to face challenges in scaling, particularly with infrastructure, payment systems, and regulatory hurdles in smaller markets.
Still, the surge in May could represent the beginning of a new chapter—one where smart capital meets mission-driven innovation. With giants like Google, Microsoft, and Mastercard expanding their Africa-focused programs, startup founders across the continent may find themselves better supported to build long-term, impactful businesses.
Google Doubles Down on Africa’s AI Future, Opens 2025 Accelerator Applications for Groundbreaking Startups
In a significant boost to Africa’s rapidly growing artificial intelligence (AI) ecosystem, Google has announced the opening of applications for the 2025 cohort of its Startups Accelerator: Africa program. This year’s edition, focused exclusively on AI-first startups, reaffirms the tech giant’s long-term commitment to nurturing innovation that solves Africa-specific challenges through cutting-edge technologies.
The accelerator is part of Google’s broader initiative to democratize access to AI development tools while supporting visionary founders in building scalable, sustainable businesses with real-world impact. This year’s program is not just a training ground—it’s a launchpad into the global innovation stage.
Backing Ambition with Resources and Visibility
Selected startups will benefit from an intensive three-month virtual accelerator that offers:
- Up to $350,000 in Google Cloud credits
- Technical mentorship from Google’s global network of engineers
- Leadership training and investor matchmaking
- Access to Google’s AI/ML tools, APIs, and experimental resources
The program is open to startups across the continent building AI-driven products in sectors such as agriculture, healthcare, climate resilience, education, finance, and public infrastructure. Startups should be seed to growth stage, with an MVP already in the market and traction that shows potential for regional or global scale.
According to Folarin Aiyegbusi, Head of Startup Ecosystem, Sub-Saharan Africa at Google, “AI is no longer a buzzword—it’s the next frontier of opportunity. But for African founders to fully participate in this revolution, they need access to infrastructure, expertise, and a platform that believes in their local insights. That’s what this accelerator aims to deliver.”
The African AI Landscape: Poised for a Leap
AI adoption in Africa is still in its nascent stages, but its potential is immense. Startups are already using machine learning to predict crop yields, detect fake pharmaceuticals, improve logistics in informal markets, and personalize education for under-resourced classrooms.
In 2024, three out of the top five most-funded African startups used AI at their core. With a rising pool of technical talent and growing internet penetration, the continent is positioned to leapfrog legacy systems and offer innovative solutions to both local and global problems.
Google’s accelerator offers a unique opportunity for founders to harness this momentum while avoiding common pitfalls in the AI development lifecycle—especially issues related to bias in data, ethical deployment, and infrastructure costs.
A Platform to Build, Grow, and Belong
The accelerator is part of Google’s larger Africa Digital Transformation vision, which includes recent investments in subsea cables (like Equiano), talent development through Google for Education, and small business digitization programs.
What sets this initiative apart is its emphasis on local relevance combined with global reach. Past alumni of the accelerator, such as Healthtracka (Nigeria), Tambua Health (Kenya), and Credrails (Pan-Africa), have gone on to raise millions in funding and form global partnerships after participating.
For Google, the accelerator is as much about impact as it is about innovation. “We’re not just betting on technology we’re betting on the people who are bold enough to reimagine their countries, one algorithm at a time,” Aiyegbusi added.
What’s Next: How to Apply
Applications for the 2025 cohort are now open and will close in early June. Startups can apply via the Google for Startups Accelerator Africa website.
With its focus on AI with purpose, the program is set to elevate African founders into the global AI conversation, giving them tools not only to build tech but to shape the future of how tech is built.
Microsoft’s AI + Azure Africa Tour Empowers Local Innovation with Cloud, Code, and Community
As Africa continues to stake its claim in the global tech economy, Microsoft is deepening its engagement on the continent with the AI + Azure Africa Tour, an ambitious initiative designed to empower developers, startups, and enterprises to build, scale, and deploy locally relevant solutions using artificial intelligence and cloud computing.
Launched as part of Microsoft’s broader commitment to digital transformation in emerging markets, the tour is currently making stops across major African cities—including Lagos, Nairobi, Cape Town, and Accra—hosting workshops, hackathons, pitch sessions, and training bootcamps for Africa’s growing ecosystem of tech innovators.
Building Bridges Between AI Capability and African Ingenuity
At the heart of the tour is Microsoft’s strategy to make Azure’s AI and cloud capabilities accessible to developers and businesses that are solving critical issues like food insecurity, healthcare inequality, fragmented education systems, and low financial inclusion.
“We’re here not just to showcase products, but to co-create solutions with African innovators,” said Lillian Barnard, President of Microsoft Africa. “This tour is a commitment to localized support, community-building, and the belief that African developers will lead the next wave of global breakthroughs.”
Attendees receive hands-on exposure to Microsoft’s advanced tools, including Azure OpenAI Service, Copilot for Developers, and Fabric for enterprise data solutions. The workshops are designed to move participants beyond experimentation and into practical implementation, particularly in industries like agriculture, fintech, logistics, and government services.
A Developer-Centric Movement with Corporate-Scale Backing
Microsoft’s tour isn’t just a developer conference—it’s a mobilization effort. Participants range from student coders and solo entrepreneurs to CTOs at some of Africa’s fastest-growing startups. The sessions are conducted by a mix of Microsoft engineers, MVPs, and local tech leaders, making the content both globally sophisticated and locally grounded.
With each stop, Microsoft is also working with regional cloud providers, accelerators, and startup hubs to establish long-term programs that go beyond the tour’s calendar. These include training pathways for AI and ML, certification programs, and access to cloud credits through Microsoft for Startups Founders Hub.
Strategic Value for African Economies
Africa’s cloud computing market is projected to grow at a compound annual growth rate of over 25%, yet many small and medium-sized enterprises (SMEs) still struggle with the cost, infrastructure, and technical skills required to migrate and innovate.
By offering free, high-quality training and access to advanced toolkits, the AI + Azure Africa Tour is closing this gap and positioning Microsoft as a key enabler of Africa’s digital economy.
According to TechCabal, several Nigerian fintechs and edtechs have already adopted Azure-based AI tools to streamline onboarding processes, generate personalized learning journeys, and automate customer support—improving both efficiency and user experience at scale.
A Call to Action for Africa’s Builders
Microsoft’s tour underscores a broader truth: Africa’s most valuable resource isn’t just its minerals or markets—it’s its people. And with cloud infrastructure and AI now within reach, those people are being given the tools to create something transformative.
The tour is still ongoing, with new dates and cities being added throughout Q2 and Q3 2025. Developers, tech founders, and business leaders are encouraged to join the movement, not just to learn—but to lead.
