An ICT ecosystem in Tanzania

Anni Leppanen
8 min readJan 1, 2015

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This is an article written for a project I completed in Autumn 2014. A group of Aalto University’s Creative Sustainability MA students worked on homegrown hardware electronics in Tanzania. These were my thoughts based on a short field trip and background desk study. The article looks at major issues and opportunities in domestic ICT production in Tanzania.

A simple homemade circuit board. Dar es Salaam, Tanzania.

Technology has contributed to development and growing welfare of all countries since the Industrial Revolution. Its impact has further expanded in the recent decades due to innovations in the information and communications (ICT) sector. Yet, countries in the sub-Saharan Africa have been lagging behind in the use and production of technology and ICT. In this, Tanzania is no different. One quarter of its GDP output and 80% of its labour force is engaged in subsistence agriculture. With a quick look, one might overlook the grassroots ICT initiatives and burgeoning ICT and urban innovation ecosystem in Tanzania.

The status of ICT ecocsystem in Tanzania.

Connected but on a mobile
While broadband is still largely unavailable mostly due to no electricity, there is a good coverage of 2G, and in cities even 3G networks. Up to 80% of Tanzanians have a mobile phone. Utility bill payments and other money transfers are channelled through mobile apps such as M-pesa. Most sub Saharan African countries are far ahead in mobile payment compared to Europe.

Need for customised electronics
Tanzania imports all of its technology from abroad. There are no domestic electronics manufacturers. While there might not be an urgent need to start producing Tanzanian hair dryers and radios, there is a growing need for automation and remote controlled systems. For example, poultry farms need automated incubators, fields need irrigation systems and remote areas need controlled charging stations. These solutions require customised electronics that would be too expensive to import from abroad. Each system needs a unique device and software, and this includes series of prototyping and testing, as well as understanding the unique needs of each customer and the local context. Therefore, these systems should be developed locally.

A local fundi inspecting a PCB at his shop. Dar es Salaam, Tanzania

Software but no hardware?
There is a small community of entrepreneurs that are engaged in ICT related activities in Tanzania. Most of these people are, however, developing software, such as mobile applications and websites. A small minority of students and entrepreneurs are engaged in developing holistic ICT solutions (hardware combined with software).

“We are teaching people how to code but we should also understand that it’s not one single bullet that sorts out all our problems. You can create the software but sadly many people in this country still don’t have the hardware.This makes you start thinking about what holistic solution should be for many problems out there.” Stefania Druga, Afrimaker

When complex systems get broken
Repairing complex ICT systems also pose a challenge. Universities do not provide any practical training and network companies tend to outsource the repairs to South African companies. One example we were told was about a local TV station. Their broadcasting had been down for weeks due to a hardware problem in their systems. The engineers at the company were not able to solve the issue and were waiting to get a busy and expensive South African contact to help out. Basically, they would have to fly an expert over to get the issue solved. One of our key local contacts heard of the problem through a friend, and after some convincing the TV company agreed to let him try repair the issue. He was able to accomplish the task in just a few hours. He estimated, however, that there would have not been anyone else who would have been able to solve the problem in the entire country.

An army of skilled people — overseen?
Repairing home appliances, however, is more common in Tanzania. Perhaps more so, than in the Western countries. Each local community has their own electronics repair men called Fundis. These people repair anything from a broken TV or a DVD player to an inverter. Some are also building their own simple devices from eWaste for special orders. The fundis have no formal training or education, but are self-taught or trained by other Fundis. Yet, these men are extremely skilled and understand electronics beyond just repair. It would not be too far fetched to estimate there are around 1 Fundi per 500 people in Tanzania. That would make 100 000 people with significant electronics skills among the 50 million population.

“The story I would like to tell others: Learning by doing is possible, contrary to what Universities and colleges have made us to believe. There should not be a disconnection between academic life and real life.” JP Barretto, Kinu

Word cloud on key terms and concepts.

Dumbing high tech equipment is not a solution
Technology transfer in the traditional sense has not proven much success in sub-Saharan Africa or other developing regions. Technology always needs to be adapted to the local context and communicated in an understandable way. And still a technology transfer can fail due to lack of ownership or repair skills or even availability of parts. Yet, there is need for technology to disseminate from place to place. Are there other ways to accomplish it? In the Tanzanian case, locally developed ICT solutions (software and hardware) are more sustainable ways of supporting the burgeoning ICT ecosystem.

Urbanisation creates new needs…
Urbanisation rate close 5% means that Tanzania is rapidly changing. Though most Tanzanians (around 70%) still live in rural areas, already the majority of urban dwellers live in slums. Furthermore, issues such as climate change, growing inequity and over demand on services pose a threat to city resilience. For local ICT ecosystem to truly start growing, it needs to address these local challenges and create inclusive, sustainable business.

“There was an initiative to monitor rapid urbanisation in Dar es Salaam, Tanzania, which combines up-skilling local students with utilising smart technology. “We gave them access to tablet computers, trained them on OpenStreetMap, and let them go out into the slum and actually map the slum. For the first time the government and the city actually had a visual of what that slum looked like and what its needs were in terms of the people and the infrastructure. For the first time, the government could actually see what it was dealing with.” Chris Vein, World Bank in The Guardian, Nov 2013

…and opportunities
Urban innovation ecosystems have the potential to support a nascent ICT industry. Cities provide crucial interaction points where people meet and exchange knowledge. This is key in order to bring the few technology pioneers together. In fact, the urban innovation ecosystems enjoy a mutually reinforcing relationship with future technologies. The urban context has the ‘pull’ (the needs) and the technologies the ‘push’ (innovations).

“Policy makers in Africa must start addressing urban planning using ICT, leveraging data management systems to effectively oversee traffic, increase public safety and emergency responses, and using technology to improve environmental and energy management.” Naledi Modisaatsone, CIPE Development Blog, Apr 2014

The future is in hardware
Worldwide, Internet-based services have become a central focus for many engineers and entrepreneurs, not to mention the technology policies. The foresight on smart cities and future Internet shows, however, that hardware is going to make a come-back. Innovations such as sensors and RFIDs are connecting the physical and virtual worlds. Smart grids enable more efficient use of energy. All this means that the future homes and cities will need series of new (hardware) devices built. And while huge amounts of data is being collected by these new technologies, the Internet and the Cloud, the servers and hardware holding them need to develop as well. And, not to forget, 3D printing is revolutionising manufacturing and bringing customised on-demand production relevant and cost-efficient.

Barriers and solutions to growing the ICT ecosystem in Tanzania.

Can Tanzania catch the momentum?
The benefit of these new technology frontiers is that catching up is not impossible. While Tanzania probably won’t develop the next smart phones, the new internet-based technologies are at a closer grasp. And the relevance of such technologies is not just economic, but social as well. Many developmental issues such as water, energy supply and healthcare, and especially those related urbanisation can find accessible solutions from these new technologies. Smart hacks for slum housing, new ways of recycling and waste management, frugal electronics and many more create opportunities for local businesses with local impact.

The nascent ICT ecosystem in Tanzania already has produced individuals that are innovating customised electronics for local needs. These individuals are also committed to sharing their expertise to students and other entrepreneurs. Some support institutions exist for start-ups and seed funding. The ICT ecosystem in Tanzania is currently very geographically focussed near the governmental COSTECH building in Dar es Salaam. A technology hub offering training and networking opportunities for anyone interested is operating as a cross-scale interaction point.

Relevance to Finland and potential issues with importing Finnish businesses to TZ.
Finland can benefit from the strengthening of the Tanzanian ICT ecosystem in many ways. There are 50 million people in Tanzania, rapidly urbanising, and providing an enormous market base for Finnish products. There are a variety of options for collaboration and trade for Finnish ICT and other technology companies. There is also scope to pioneer in combining development collaboration with business in Tanzania. However, all of these access points need to be carefully considered and weighed against the delicate state of a growing innovation ecosystem in Tanzania.

“As a co-founder of an innovation space in Dar es Salaam that aims to grow and accelerate Tanzanian start-ups, I would urge careful consideration when engaging ‘aid for trade’, or as I prefer to call them ‘traid’, funding mechanisms. With the vast differences in the health of the startup ecosystems between the two countries, importing Finnish start-ups into Tanzania could negatively impact the growth of home grown initiatives.” Johnpaul Barretto, Founder, Kinu

All figures are designed by and copyrighted to me. Photos are also mine.

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Anni Leppanen

Strategic designer, change agent and specialist in sustainability transitions, digital transformation, government and experiments.