More
    HomeUpdatesAfrica’s Tech Leaders Shift Focus From Hype to the ‘Mechanics of Scale’

    Africa’s Tech Leaders Shift Focus From Hype to the ‘Mechanics of Scale’

    Published on

    spot_img

    The mood in Africa’s tech ecosystem is changing. The era of hype-fueled growth and nine-figure funding rounds has given way to a more sober focus on fundamentals. At the recent Moonshot by TechCabal 2025 conference in Lagos, the continent’s tech leaders gathered not to celebrate inflated valuations, but to tackle the gritty operational challenges of building businesses across fragmented markets.

    The central theme was a clear departure from the optimism of the 2021–2022 boom years. Instead of high-level talk of transformation, conversations drilled down into the “mechanics of scale”: harmonising regulations, building interoperable payment infrastructure, and navigating the complexities of cross-border trade.

    “Africa’s tech ecosystem is entering a new phase where scale and collaboration will define success,” Tomiwa Aladekomo, CEO of BigCabal Media, noted in his opening remarks. “Our challenge now is to turn shared intent into collective execution.”

    ## The ‘Plumbing’ Over the Pitch

    Throughout the two-day summit, the focus remained squarely on the foundational “plumbing” required for a unified African digital economy. Speakers emphasised that the next leap forward would be driven by robust infrastructure and practical policy alignment, not just the next killer app.

    Akeem Lawal, a director at African payments giant Interswitch, stressed the importance of building the underlying rails that allow other businesses to thrive. “When you build the infrastructure, you create a community of partnerships,” Lawal said, referring to the physical and digital networks — from payment gateways to logistics — that are critical for scaling.

    This sentiment was echoed by government officials. In a session on trade, Nigeria’s Minister of Trade, Industry, and Investment, Dr. Jumoke Oduwole, spoke of a deliberate government strategy to create practical pathways for tech companies to expand.

    “Nigeria is engaging with key African partners to facilitate market access for our tech startups and digital service providers,” Oduwole stated. She announced that her ministry is preparing a program specifically to help high-impact startups scale regionally and globally, signalling a move towards tangible government support for cross-border operations.

    ## Cautious Capital Seeks Sustainable Scale

    The shift in focus is also reflected in the investment climate. While investor interest remains, the approach is more cautious and targeted. In Nigeria where the event is taking place, worsening macroeconomic conditions are compounding the challenges facing local startups, many of which are now forced to operate on shoestring budgets. So far this year, the country has received one of its lowest levels of startup funding, trailing behind Egypt, South Africa, and Kenya—an unprecedented development.

    The summit hosted around 75 investors who met with founders in dedicated deal rooms, a sign of continued appetite but with a clear emphasis on due diligence.

    The consensus is that capital is no longer just chasing growth. Investors are now prioritising startups with strong unit economics and a clear, practical strategy for navigating the operational hurdles of multiple markets.

    This pragmatic approach was visible in the TC Battlefield pitch competition. Ten startups, selected from over 200 applicants, competed for a $25,000 equity-free prize. The finalists represented a diverse range of sectors, from Expense AI and fintech auditor Braudit to cleantech ventures like BuyScrap Nigeria and Sporos Energy, highlighting that innovation continues across the board. The prize, while significant for an early-stage company, reflects a more realistic seed-stage funding environment compared to the mega-deals of the past.

    Ultimately, the discussions at Moonshot 2025 painted a picture of a maturing ecosystem. As the global tech downturn forces a reality check, Africa’s tech leaders are turning their attention inward. The new goal isn’t just to build unicorns, but to construct the interconnected economic and regulatory engine that will allow a new generation of sustainable, continent-wide businesses to thrive.

    Latest articles

    Sixty60: The $1.7M Seed Investment That Built a $1B Delivery Empire for Shoprite

    This milestone is not just a story of a legacy retailer adapting to the digital age; it’s a case study in strategic partnership.

    Ivory Coast’s State-Backed Fund Writes a Rare Cheque for Doctor-Led Healthtech Ades

    The platform was founded by a group of young doctors.

    Moroccan Proptech Yakeey Gets $7M Backing from IFC to Fix ‘Opaque’ Real Estate Market

    Launched in 2023 by Karim Beqqali, a veteran of the real estate sector and founder of Yamed Group...

    ‘No Legal Basis’: Morocco Blocks Ride-Hailing, Handing Victory to Taxi Unions

    The country is expected to receive millions of visitors later this year for the 35th edition of the TotalEnergies CAF Africa Cup of Nations.

    More like this

    Sixty60: The $1.7M Seed Investment That Built a $1B Delivery Empire for Shoprite

    This milestone is not just a story of a legacy retailer adapting to the digital age; it’s a case study in strategic partnership.

    Ivory Coast’s State-Backed Fund Writes a Rare Cheque for Doctor-Led Healthtech Ades

    The platform was founded by a group of young doctors.

    Moroccan Proptech Yakeey Gets $7M Backing from IFC to Fix ‘Opaque’ Real Estate Market

    Launched in 2023 by Karim Beqqali, a veteran of the real estate sector and founder of Yamed Group...