South African Startup Index
The Business Report is running a South African Startup Index using YouNoodle’s API. Quite cool, I’d love to see someone do this for startups across Africa.

The Malawian Who Harnessed the Airwaves
Really, it’s an AfriGadget-type story on Gabriel Kondesi who constructed a radio station three years ago, using, among other things, three small transistor radios, car batteries, TV aerials, wires, and a radio cassette player.

A Rwandan software developer finds success
“Yves Kamanzi does not just study computer sciences, it is a passion which does not leave him when he gets out of the classroom. As a result, he has developed several administrative computer applications and despite fierce competition in the sector, he has been able to win over several companies. One program, which calculates employees’ net salaries, has proven especially popular.”

Musoni: mobile microfinance
Musoni is a new microfinance company in Kenya that is using mobile services for all their work. “Musoni will enable clients to repay their loans and deposit their savings using existing mobile money transfer products, such as M-PESA, Zap and Orange Mobile Money.”

Jon Gosier’s Appfrica Labs has put together an amazing infographic on internet connectivity in Africa. Amazing work!

“The African continent is rapidly changing. In the next two years 2 billion dollars will bring 12 terabits of connectivity to the continent. Will africa become the world’s newest outsourcing hub? Will it foster it’s own tech and startup culture? The image above explores the ‘infostate’ of Africa in 2009.”
(Read More)

Flickr set here
Full-resolution version here
Buy it in print here

What gets you thinking creatively?

I’ve been thinking a lot about the need to have more time spent away from the normal timesinks that define our working lives. Getting more dead time. Daydreaming time. Doodling time.

My main ways:

1. Daydreaming

I had 10 hours of driving time on Friday. That’s the perfect environment for me to get some thinking done, I’m unable to escape to the digital tethers of mobile phone or computer, and reading a book isn’t possible. Therefore I think, and seemingly unrelated patterns start to become apparent from different projects, people and initiatives that I’m involved in.

This fits in with an article I read on Fast Company recently, “Hard Work’s Overrated, Maybe Detrimental“.

“By most measures, we spend about a third of our time daydreaming, yet our brain is unusually active during these seemingly idle moments. Left to its own devices, our brain activates several areas associated with complex problem solving, which researchers had previously assumed were dormant during daydreams. Moreover, it appears to be the only time these areas work in unison.”

Honestly, I don’t do this daydreaming stuff enough, I need to do it more. My goal is to untether myself from my iPhone and books more often. Some of my best ideas last year came from an airplane flight where I forgot my book and my iPhone was dead, leaving me with 5 hours an pen and a notebook…

2. Doodling

I used to draw a lot, but about 7-8 years ago I just kind of stopped. I’m determined to get started again, even if it is just doodling spaceships in a notebook.

Closely related to doodling is finding crazy, yet professional and cool, images that inspire me to strange thoughts. Case in point…

Good blogs to follow for occasional posts with reams of these types of images are InstantShift or Smashing Magazine.

How about you?

I’m very interested in hearing how others get their creative juices flowing. At some point we all have to shake up the norm, the status quo, in our lives or work. Is there a way that you do this purposefully?

On Friday I had a long conversation with Noam Cohen from the New York Times about Ushahidi and Twitter. He was doing some homework for an article he was writing on the increased value that geolocation data can add to the massive streams of data coming out of tools like Twitter, called “Refining the Twitter Explosion with GPS“.

A lot of our discussion was centered around location, especially since he was thinking of the Ft. Hood shootings and the value of location in determining useful information from the Twitter stream during that crisis. This is what we’ve built Ushahidi around of course, the idea that location and even small bits of information give us a better understanding of an unfolding crisis. This is just as true of mundane information, or trending topics in a locale, which is why Twitter is building a new geo infrastructure. It couldn’t be in better hands either, with both Ryan Sarver and Schuyler Erle on the team, what Twitter puts out will be top notch.

What was more interesting than just geographical references for information was the combination of two other big ways to parse this data: Time an Tags. We’ve started to see a lot more apps mixing time and location in the past year or two, and we’ll see more as the visualizations for it improve. Categorizing information, pictures and video by keywords (tags) have been around even longer.

We need to see more combinations of tags, time and location in visualizations and platforms. I can’t think of anyone who does all three really well (if you can, please leave the link), though there are a number who do two of them incredibly well – including Flickr’s geocoding of images (tag + location), TwitterThoughts (tag + time) and TwitterVision (time + location), etc.

We have a widening stream of information. The lowered barriers for entry globally, and the encouragement by social tools, means we’re seeing exponential growth rates. Twitter alone saw an increase from 2.4 to 26 million tweets per day in just the last 8 months. We need some way to make sense of this information. Our ability to create information has far surpassed our ability to understand it in a timely manner.

Chris Blow outlined this best with a visual for Swift River for use in a presentation I did at TED this year:

It’s a serious problem and one that only gets deeper with every month that passes. In most areas, it’s not a big deal, but when a crisis, emergency or disaster hits the misinformation and lack of understanding has very real consequences.

I’d love to see more work being done with all three: Time, Tags and Location.

A lot of people are on Twitter these days. So many, it seems that you can be overwhelmed by the number of people and it’s hard to find the right people to follow. To help with that, I’ve created a my own Twitter list that follows African Tech twitterers.

My plan is to keep this list pared down to only those who put out a good number of tweets regarding technology in Africa. I’ll be the biased curator, and hopefully it’ll be useful to others. This means that people will get dropped, and others added, from time-to-time. Don’t be offended if you’re not on it, it’s not personal, it’s just that I have to keep it small to be useful to others. Ping me if you think I should add someone.

You can get my curated African Tech Twitter list at http://twitter.com/whiteafrican/african-tech.

Here’s a widget with the list in it. You can get your own here, just enter “whiteafrican” and choose the “African Tech” list.

Other great Twitter lists:

Afritwit’s list of African twitterers (maxed out)
Alisdair’s development list
Sciculturalist’s Techies list
A list of Twitter employees
Tim O’Reilly’s Tech News list

Lastly, Listourious has a huge index of Twitter lists for you to peruse.

(You can always find me on Twitter at @WhiteAfrican)

If you’ve run into me in the last couple months you’ll likely have heard me talking a lot about the need, power and abilities of trusted intermediaries. What is a trusted intermediary? It’s someone who sits between two parties, entities or ideas that don’t naturally trust each other and provides a bridge.

Do you trust this bridge? Why?

In some ways, this train of thought stems from the posts on bridgers and xenophiles started by Ethan Zuckerman and riffed on by myself. It’s only as my continued work in the African tech space has evolved that I have come to understand the true value of this concept. Seeing my position makes me realize how valuable it is to be trusted and in the center of a group of unknowns (ideas, funding, people or projects). It’s in the unknown areas of our lives that we search for trust, for people or conduits that impart a measure of confidence to our next decision. For the nod that tells us we’re heading out on the right path.

We lean on trusted intermediaries all the time, in both mundane decisions and important interactions. When you’re looking for a mechanic, you’ll trust your neighbor’s opinion over the phone book. If you need a new bike helmet, you’ll trust online reviews before you buy one with no reviews. Likewise, when you’re going to make a large investment in the African tech space, you’ll search out trusted intermediaries first.

A case study: Ushahidi

When someone is looking to invest in an African tech startup, using seed funding or grants (and it is the same for non-profits or for-profits) they are nervous. There’s a lot of other good ideas out there in other parts of the world, the low hanging fruit, that they feel more comfortable in putting money into. Why Africa? Why you?

Ushahidi started off quickly, and we were able to raise funds for continued operations much faster than many other similar non-profit tech organizations. While we’d all like to think it’s due to the brilliant tool we’ve built, we have to be honest and recognize that the individuals behind it are what gave the funders confidence to move forward. Ory, David, Juliana and I had been on the public stage for a while; we were known quantities.

We were trusted intermediaries before Ushahidi was even thought of. Which begs the question: would our team have been able to raise funds for almost any idea just as easily? Probably not, as the Ushahidi idea, timing and application are special. However, the point is still made, money flows when the people are trusted.

Trusted intermediaries elsewhere

Jon Gosier is a trusted intermediary. His Appfrica Labs incubator and innovation center in Kampala provides a person and entity that funders, projects and individuals are drawn too. His blog keeps him front and center in people’s minds.

Glenna Gordon is a trusted intermediary. She’s a photographer who has been romping around Central, East and West Africa for a couple of years. If you need a pro shooter in a hard spot like Liberia, you’ll find her blogging away at Scarlett Lion.

Eric Osiakwan in Ghana is a trusted intermediary. His leadership at the African ISP Association and the track record he’s had on projects makes him an easy person to go to in West Africa, and his Internet Research firm makes a perfect conduit for interacting with him.

Of course, these three are just a sample, there are many more like them cross the continent in different fields.

What is consistent about trusted intermediaries is that they have found a way to create a bridge between two things, and are trusted by both sides of that bridge. It’s why personal relationships, consistency, reliability and trust are more important now than ever before.

Start local, then Africa, then the world. That’s the mantra app developers in Africa should be repeating to themselves as they build their game changing tools. That’s what Agosta Liko and his team at Verviant are doing with their new web and mobile payment platform: PesaPal.

PesaPal is an eCommerce platform focused on Kenya. It’s built to work seamlessly with Kenya’s main mobile payment services; Zain’s Zap with approximately 300,000 users and Safaricom’s MPesa with around 2 million users.

The Need

Most Kenyans do not use credit cards, many are unbanked, and there is no consumer-oriented payment system in the country. PesaPal is aimed squarely at these wananchi (ordinary Kenyans). It’s a way for local vendors to offer digital payment for goods in a systematic way that they can track, and in a format that Kenyans have and are familiar with: mobile phone transactions.

Think of PesaPal as akin to the services offered by PayPal and Google Checkout to businesses – except that it actually works in Africa. (long rant coming if I continue down that thought path…).

• Phase 1 (this release) is about vendors being able to receive money, think mCommerce, ticketing, education, online stores, etc.
• Phase 2 (time TBD) is about paying money, which would include things like payroll, payday loans, micro-loans, etc.

How it Works

A prototypical business might be someone who manages a school or a vendor who wants to sell products via a website or billboard. They would come and sign up with PesaPal and get approved mobile phone payments set up using their own Zap or Mpesa account.

At this point the business is up and running and can receive payments.

If the business has a website, there are a few more options. They can pay a one-time fee of 4,000/= ($50) and get a pre-built plugin for common website content management systems like Joomla or osCommerce. The more advanced implementers can access and use the exposed web services (API) that PesaPal has built to allow for merchant and buyer verification or transaction processing.

A good example of this is Totally Toto, a website that sells children’s clothes and delivers them locally. Their only option in the past was cash-on-delivery, with PesaPal they are now also accepting, and tracking, payment in advance.

The business model for PesaPal is a transactional one, where they make approximately 15/= ($.20) per transaction that uses their system. I’m in favor of this because it gives PesaPal a great incentive to grow their user base and provide a service that truly helps vendors using their tool.

Further revenue opportunities for the PesaPal team include customized product integration, web site design and licensing of more advanced API functions by larger organizations.

Out of the box in phase 1, users will have:

• Immediate receipting and confirmation
• Transaction details stored for 7 years
• Vetted merchants/vendors
• Monitoring for KYC (Know Your Customer) and AMC (Anti-money Laundering) to protect vendors
• Safe and secure hosting within Kenya, the same place that Swift (money transfers) hosts theirs

The People and the Business

Agosta Liko is the Founder of PesaPal. He brings to the table a wealth of experience working in the US banking sector, Insurance field and Consulting. Agosta has worked on Wire Transfer, Loans Origination and Anti Money Laundering Systems for First Citizens Bancshares in USA. Paul Mungai, PesaPal’s Chief Software Engineer has over 5 years experience with Verviant Consulting Services where he worked on a wide array of ecommerce outsourcing projects. Onesmus Kamau Kagwanja, PesaPal’s Chief Technology Officer has been building software in East Africa for years, creating enterprise-level applications for some of the larger insurance companies in the region.

This background gives the seasoned team a particular edge when it comes to doing this work in Kenya. It has also helped them to bootstrap the venture, to build the application, launch it and keep them running through next year. The need and the ability to raise funds locally is a big deal in and of itself, and it’s a big mark in PesaPal’s favor that they’ve been able to pull this off.

It takes more than just pushing the “go” button on a website to make a business take off. It also takes deep pockets to launch a country-wide marketing campaign, a necessary expense for consumer products. Look for a major billboard, radio and web push by their team starting in October.

If you follow AfriGadget, you’ll know that this summer I spent some time testing some new bags made by combining flexible solar panels from the people at Portable Light with the top-notch bags made by Timbuk2 in Ghana and Kenya over the summer. The whole initiative was put together by Pop!Tech, and it’s called the FLAP (Flexible Light and Power) bag.

The FLAP bag is still very much in its testing phase. What I was doing was alpha level, today more people are getting access to the bag and will help with beta testing in more places. This is good. It means that the team behind the project are not just rushing something to market to take advantage of the buzz, but are really trying to get it right.

Some of the suggestions from the African users can be found in the Fast Company article I wrote last week, but there are more coming in too, from South America and an Indian reservation in the US.

A few suggestions from African users

• The American-style Timbuk2 bags were generally thought of as too large
• Electronics need to be put into a more rugged case to survive the beatings that they’ll take in Africa
• People wondered if there was a way to hide, or cover, the solar panels to disguise what the bag was – for security reasons
• There was a general feeling that there was more use for portable light and power in rural settings rather than urban
• The ability to remove the solar components from the bag was genius
• The tailors wanted to make their own designs, and wanted access to cheap components to experiment with, and then sell

Testing, Local Relevancy & a Challenge

One of the most compelling things that happened on the trip was my interaction with tailors. I would give them a bag, but also give them the raw components and challenge them to make a bag of their own design, using local materials that they thought would be right for them, or right to sell in their market.

The bag above is my favorite customized bag design, it’s a smallish backpack that was made by Stephen Omollo in Nairobi. There are others though (see them here), and these creations serve as an indicator of the desire to own the technology. To make the technology relevant to specific local needs.

What this left me with was a nagging thought – that I was the wrong person to do this testing project. Sure, AfriGadget connections make me and the other editors a likely vector to do this, but that It was Timbuk2 that needed to be out in Africa with us. (I’m letting Portable Light off the hook, because I know they already do this)

Luckily, I’m here at Pop!Tech with the team from Timbuk2 and the team from Portable Light. I’m inviting them out to Kenya to actually get on the ground with these tailors and people who understand the pulse and cultural usage norms of the clients that they serve locally. With a little luck, we’ll get even further with the project, seeing a true partnership across two continents.

A big thank you goes out to my colleague Henry Addo in Ghana and David Ngigi in Kenya for their help with both videography and the interviews.

[More Pop!Tech Fellows 2009 pictures]

There are a lot of reasons to come to Pop!Tech, the conference, but honestly the highlight of my Fall is the Pop!Tech Fellows program that precedes it. It’s one of those seamlessly executed events where every detail is taken care of, which is a tribute to those orchestrating it, that pulls together some of the most amazing minds in the social innovator space into one place for a 5 days of immersion. The faculty is world-class and the innovation Fellows are exceptional in so many ways, not least among them their areas of focus.

This year I’ve met a young man figuring out ways to turn waste products into charcoal soil additives that increase crop yield by up to 200%. I thought I knew a little about the mobile space in Africa – and I did know a little, very little, especially compared to what Nigel Waller knows… Oh, and I sat amazed as a lady from Saudi Arabia shares how she won both the MIT and Harvard prizes for innovative business ideas (as a non-profit!) in one year – which is unheard of.

The first thing you need to understand about this pre-conference Fellows event is that it takes place in an incredible location. It’s Fall in the woods of Maine, where we’re housed in cabins surrounded by trees of varying shades of yellow, orange and red. The bay sits below us, with wooded hills behind the idyllic and well-appointed retreat center. It’s the perfect setting to leave behind your daily life and embrace a few days of learning, discussion, renewal and growth.

I was fortunate enough to be part of last year’s inaugural Fellows class, where fast-friends were made that still stay in contact. This year, I’m here as one of the two returning Fellows from 2008, with my partner Abby Falik, to serve as a bridge between the classes and help maintain a consistent ethos and to lend a helping hand wherever necessary.

One of the things I’ve been asked to do this year is help photograph the Fellows program. I can’t hold a candle to Kris Krug’s brilliant work from last year. Fortunately, Andrew Zolli (Pop!Tech’s curator) is letting me borrow his much better camera, which I hope will make up for any lack of talent.

[More Pop!Tech Fellows 2009 pictures]

Beyond the photos, beyond the scenery, beyond the relaxing wood cabins – this event is about feeding my brain. It’s about the chance to meet and share a unique experience with my peers and learn from some of the world-class faculty. It’s about challenging ourselves and not just talking about the successes and “good stuff”, but about ways we can all be better and speak openly of our failures.

Transacting money to and from Africa comes in a variety of flavors. Generally, besides country-specific solutions, there are: bank wires, Western Union or MoneyGram, buying phone cards in-country that can be resold, cash in a suitcase, mail a check (that will be stolen in the post office), etc.

As you can see, there are limited practical ways for getting money transferred internationally on a regular basis. It’s no wonder then, that even with the transaction costs ranging from $15-70, people tend to use the safer, more secure methods of banks, and money transfer businesses like Western Union and MoneyGram. I’ve used all three of these, and over time have started to drift towards MoneyGram as my favorite. They have a cheaper transaction cost than the other two, and I’ve experienced a much easier time with them over the hurdles that Western Union decides to throw in your way.

All this to say, if we consider banks wires a static white-collar service, then MoneyGram is quickly becoming the best option as the common man’s way to transfer money internationally. As such, I’ve been getting deeper into their services, seeing what types of API and digital offerings that they have which could be useful.

Mobile Payments

Currently, MoneyGram has around 180,000 agent locations around the world. More importantly, they’ve just announced that they are set to tackle the mobile payments space by creating relationships with the mobile networks.

“Mobile money transfer services are an emerging part of our product offering and we are eager to bring these services to the Middle East. Overall, we expect mobile service to be in highest demand in developing economies where individuals are more likely to have mobile phones than bank accounts.”

This is an important point, as it merges two different ecosystems of payments. At the local level, in countries that have the right tools and cultures for them, mobile payment solutions act as transfer services for people within the country. Traditionally, this local mobile payment system is not available for use by those internationally.

Right now MoneyGram’s connection to the mobile payments agents is focused on the Middle East and Asia, my hope is that countries in Africa will soon follow. My guess is that Zain’s Zap service might be one of the first, due to their connection to the Middle East, but no one knows for sure yet.

[Update: Just before posting this I heard about a couple of banks and Western Union in the UK working with Mpesa in Kenya to do transfers via mobile. Others are working hard in this space too, and for good reason, it provides a great deal more usability for end-users on both sides of the ocean. If one entity catches that mindshare, they’ll have a lot more profitability in the space)

There aren’t a lot of African gamers, as would be expected due to the general lack of access to gaming technology and platforms in Africa, relative to other parts of the world. There are even fewer game developers on the continent. Due to being a gamer myself, I like to keep track of this as much as possible, and it’s always fun to announce a new one.

iWarrior is an iPhone game (iTunes link), created by the cross-Afrian team of Kenyan Wesley Kirinya and Ghanaian Eyram Tawia of Leti Games. It’s a unique top-down shooter game that utilizes the iPhone’s inbuilt accelerometer to both move and shoot. Your goal: protect your village, livestock and garden from the incoming marauding animals.

It’s a great first-effort from the team, and I believe it’s the first game created by a team in Africa. This itself is a much more difficult task than what many might expect. Just to get an iTunes account and a way to be be paid for your application is a challenge due to Apple’s inbuilt prejudice against Africa (they’re not alone in this, as many other platforms, like PayPal’s or Google Checkout’s are the same). That seems like a dramatic statement to make, but I ask you to stay your judgment until you’ve walked in the shoes of an African programmer.

Gameplay
I’m not an exceptionally talented twitch gamer, so I found the unique movement plus shooting actions hard to come to terms with. However, as I played it longer, I found myself slowly figuring it out and getting better at it. Thankfully, the team has built in a completely different way to play using your finger to slide and tap, you can move and shoot. So, for the accelerometer-challenged (like me) there’s another option.

iWarrior also allows you to play your own music while playing the game. This might seem small, but it’s something a lot of game maker’s overlook, and it’s a lot more fun than listening to the same repetitious in-game music.

The game costs $2.99, which is a little steep for new games on the iPhone. For many reasons the costs of most applications (games or otherwise) on the App Store have been driven to about 99cents. So, it takes either a really big name or an app that has hard to replicate features in order to break past $1.99 and sell a lot. In the team’s defense, it’s difficult for them to download paid games to test and see if they compare to their own prior to putting it on the market (again, due to them being in Africa).

Graphics
The graphics are okay. I’m a stickler on this type of thing though, and I go for either over-the-top quality or simplicity. Examples of this is comparing Fieldrunners to Doodle Jump, both excellent graphically, yet with completely different aesthetics.

So, I’m going to ding the team on this part of the game. This, after a lengthy discussion in Ghana with Eyram over the difficulties of finding quality digital artists. It’s not an easy thing to do, the best designers aren’t digitally literate, with a few exceptions. So, you get great sketching and painting, but few can put that into vector graphics, 3d or even Photoshop.

Though the challenge is high, we live in a digitally connected world where top quality digital artists from Asia and Eastern Europe can be found to do the work at acceptable rates. There are other options, and a game can be made or broken on looks alone.

Summary

iWarrior is an excellent first game on the iPhone platform from two highly talented and creative African game developers. I expect that there will be a lot of good games, and other applications, coming from this team over time – both on the iPhone and other platforms. It’s a game to be proud of and one that I hope a lot of others will buy.

Timi Agama was frustrated with his experiences in trying to get information about flights in Nigeria. It just didn’t make sense that there was no electronic means to track flight schedules. About five years ago he set out on a path to create a mobile solution for the problem. Out of that came Text2Fly, a mobile service that let’s you search for flight schedules by sending an SMS.

“The simple task of finding the next available flight is an inefficient and labor intensive undertaking for the Nigerian business traveller. Nigerian airlines don’t operate call centers and the Internet is slow. So the business traveller must assign staff to search all airline web sites or even send them to the ticketing office through stifling traffic.”

How it Works

A user sends in a text message to +447786201082 with a simple command, like “From Lagos to Abuja on Monday at 8am”. In response, the system gathers the information about all of the flights in Nigeria that fit your requirements, and sends them back to you as an SMS message.

As Timi states, this is ” A Nigerian solution to a Nigerian problem”. Interestingly, it’s not only useful in Nigeria, and I could see this same application being used elsewhere, not just in Africa but in the developed world as well.

I’m curious as to why the service is only available via SMS. It seems that if you have the data, then it’s easy to make it web-accessible. The advantage there is that you also can start creating ways for people to purchase tickets and thereby have another revenue stream.

The Business Behind Text2Fly

In terms of business model Text2Fly is paid for by premium SMS once it officially launches. It’s free right now though, so definitely worth testing out to see how much it helps in your daily life.

User numbers are still modest because the site and backend system was only flipped on 3 weeks ago. There has been very limited marketing to this point, but there is a plan to launch a real-world and digital campaign once the service is fully tested and stable.

When I asked Timi about how local Nigerians are taking to the product, he stated:

The reactions from people who have used the service has been far better than I could have imagined. One chap I spoke to on the phone enthused about how Text2Fly is not just for busy business people but for “everybody”. Another told me a story of how he showed it to some friends while they were having a drink and all 7 of them stored the Text2Fly number.

[Note: David Ajao has also done a review, worth reading as he's a fellow Nigerian.]

I’ve spent the last couple days in scenic Salzburg, Austria with 20 other people from both traditional journalism and new media backgrounds. Our goal: discuss strategies for more effective engagement and investment in “tomorrow’s media“. There are a mixture of organizations in the room, some established and others start-ups, like myself representing Ushahidi.

One of the questions posed, and which I’ve been ruminating on, is “when do you need funding?” (At this particular meeting, we’re talking grants primarily, but this applies to traditional seed and VC funding as well.)

Invest in Doers not Talkers

I don’t think it’s as early as most people think. There are a lot of people out there who claim they need funds in order to build a product. I disagree. Your first job is to build it. It might be in your nights and weekends, but that’s to be expected.

Yes, at a certain level you need funding that allows you to live, feed yourself and grow a business, but that’s not until you actually have something to show. Why would you expect someone to pay you money for a good idea? There are good ideas everywhere, but few examples of great execution upon these ideas.

A great presentation, Powerpoint or speech will get you a long way, and the ability to communicate is essential in both getting funding and getting user adoption or partners to work with you. However, nothing sells a good idea like a working product.

Whether it’s building a prototype, like we did with Ushahidi in Kenya, or a couple guys in a garage creating a new search algorithm and having to shop the product of that research around before they find investors, it’s too be expected that the work comes first, the funds second.

Growing

When is funding needed then? It’s needed when you have a product and it shows potential for success. Where you can talk to smaller investors who can support your work a little longer so that it can be refined and grow into something that has a real chance to make a difference, make money or both.

The second level of funding is about scale. It’s when you have a proven product that already has some success and needs more than it’s current cash-flow, or personnel, to take it to make a broader impact.

“A rare and inspiring story of hope in rural Africa, a true story of youth challenging and winning against all of the adversity that life throws at it. William represents a new generation of Africans, using ingenuity and invention to overcome life’s challenges. Where so many tilt at windmills, William builds them!”

Three years ago I came across a fascinating story of a young man in Malawi who had built a windmill from scratch, and I wrote about it on AfriGadget. Since then, I’ve gotten to know William Kamkwamba as TED Africa fellows and most recently we spent a good deal of time together in Ghana at Maker Faire Africa.

There is now a book, a documentary and a foundation all set up around the inspired story of windmills from Malawi.

Fortunately, I was given a pre-release version of the ” The Boy Who Harnessed the Wind” to review, and as it comes out in just 4 days it’s about time that I did that. It should also be noted that Bryan Mealer, who wrote the book with William, is an incredibly talented writer that knows his way around Africa and has a knack for getting the nuances of African life across in a way few others do.

The Boy Who Harnessed the Wind

I found the most fascinating part of this book to be William’s description of living through a famine. Imagine only one meal a day, and only a few bites at that. William’s family felt like they were the lucky ones because they at least had something to eat. I’ve seen pictures of people starving, but to have it described so frankly made it so much more real.

Because of this famine, William wasn’t able to go to school. His desire to still learn was what led to his reading books from the local library. It was there that he discovered the books “Using Energy,” “Explaining physics” and “integrated science.” Ironically, he discovered “using energy” (the book that inspired his famous windmill) while looking for the dictionary to look up “grapes.” On the front of “using energy” was a row of windmills, and William was reminded of the pinwheels that he and his friends made as a child out of cut up water bottles. He spent days looking through old parts at a junk yard, trying to find the right parts to build his own windmill.

As a young boy, William and his friends would often take radios apart and put them back together, cannabilizing some of them to fix others that were broken. A prototypical AfriGadget inventor, William was an expert at creative thinking and improvising, using a bicycle dynamo to power his first windmill.

Final Thoughts

What I appreciate the most about William is, despite all the notoriety that has come with his inventions, he remains humble, easy to talk to, loyal to his family and home, and full of desire to learn. You see this come through in his interviews, even with all of the success he has had, he is still a well-grounded individual.

A final bit of trivia: William’s windmill came very close to being the final logo for Maker Faire Africa this year, here’s the prototype of that. It’s great to see how he has influenced my work with AfriGadget over the intervening years. Many times he is on the stage at big western-focused events, however last month in Ghana he stood in front of his peers at Maker Faire Africa. The room of 300-400 fellow African inventors was enthralled… After all, how much more exciting is it to see home-grown ingenuity and innovation making it big than it is if it’s imported in from overseas?

Okay, go buy the book!

The term arbitrage traditionally refers to taking advantage of the price differential (the gap) between two or more markets. One example is how search engine marketers use arbitrage to make money off of Google Adwords with keyword buying and landing pages. Another is when traders take advantage of differences in exchange rates on currencies in two separate markets.

Is there technology arbitrage in Africa?

Tucked away in a blog post on Calestous Juma talking about the future of African communications, Ethan Zuckerman states:

“The spread of connection infrastructure into Africa now points to the need for devices that can access the internet, content to be delivered and applications. These, in turn, point to the need for institutions, laws and policies to regulate this space, which are currently lagging far behind the technology.“

We all like to discuss the technology gap in Africa, which is this space between those who have access to technology and can use it (the West) and those who do not (Africa). Does this create the environment to take advantage of technology arbitrage?

From a certain perspective that can all seem very bleak and depressing. From another, it smells like opportunity.

This time and knowledge lag between government “institutions, laws and policies” that Calestous Juma and Ethan are discussing is just the sort of gap that allows arbitrage to happen. You should be able to turn the lack of technology in one place, or at least information, compared to the other to your advantage.

Put another way, when a government is too slow, inefficient and technologically incompetent to keep up with the rest of the world, what happens?

I think we see the answer in a number of places already, not all of them savory. We see this in business executives who corner a market, like we’ve seen with Safaricom in Kenya, or the notorious 419 scammers in Nigeria. We read about it when Egyptian youth use Twitter to broadcast police brutality, or when Zimbabweans send MMS images of completed ballot counts from voting precincts in advance of those trying to perpetrate fraud.

Two main groups seem to take advantage of this: businesses and activists.

The natural inclination of the market is to leverage these gaps and inefficiencies, to create opportunities out of the void, that technology can often overcome. The best businesses in our current era are built to do this as are the activist groups with the greatest impact.

[Authors note: I've made up this term "technology arbitrage", but I couldn't think of a better way to describe what I've been thinking about. Speaking of which, I've been muddling this over in my head for a week and just wanted to air it out to hear other's thoughts.]