Diving deep into Africa’s blossoming tech scene

Jumia may be the first startup you’ve heard of from Africa. But the e-commerce venture that recently listed on the NYSE is definitely not the first or last word in African tech.

The continent has an expansive digital innovation scene, the components of which are intersecting rapidly across Africa’s 54 countries and 1.2 billion people.

When measured by monetary values, Africa’s tech ecosystem is tiny by Shenzen or Silicon Valley standards.

But when you look at volumes and year over year expansion in VC, startup formation, and tech hubs, it’s one of the fastest growing tech markets in the world. In 2017, the continent also saw the largest global increase in internet users—20 percent.

If you’re a VC or founder in London, Bangalore, or San Francisco, you’ll likely interact with some part of Africa’s tech landscape for the first time—or more—in the near future.

That’s why TechCrunch put together this Extra-Crunch deep-dive on Africa’s technology sector.

Tech Hubs

A foundation for African tech is the continent’s 442 active hubs, accelerators, and incubators (as tallied by GSMA). These spaces have become focal points for startup formation, digital skills building, events, and IT activity on the continent.

Prominent tech hubs in Africa include CcHub in Nigeria, Pan-African incubator MEST, and Kenya’s iHub, with over 200 resident members. More of these organizations are receiving funds from DFIs, such as the World Bank, and aid agencies, including France’s $76 million African tech fund.

Blue-chip companies such as Google and Microsoft are also providing money and support. In 2018 Facebook opened its own Hub_NG in Lagos with partner CcHub, to foster startups using AI and machine learning.

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Tibbits are colorful pre-programmed modules for building IoT devices

At first glance, Tibbits look like building blocks, but each one is a module or a connector that makes it easier to build connected devices and systems. Tibbits were created by Tibbo Technology, a Taipei-based startup that exhibited at Computex this week (it showed off a humanoid robot built from various Tibbits).

Pre-programmed Tibbit modules from Tibbo

The heart of the Red Dot Award-winning Tibbo Project System (the company used bright colors to make its modules stand out from other hardware) is the Tibbo Project PCB, which includes a CPU, memory and Ethernet port. Then you pick Tibbits, with pre-programmed functionality (such as RS232/422/485 modules, DAC and ADC devices, power regulators, temperature, humidity or pressure sensors or PWM generators), to plug into your PCB. Once done, you can place your project in one of Tibbo’s three enclosure kits (custom enclosures are also available).

Tibbo also offers an online configurator that lets you preview your device to see if it will work the way you want before you begin building, and its own programming languages (Tibbo BASIC and Tibbo C) and app development platform.

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Muro is a retro-style cylinder music box you control with an app

The light twinkle of an old-fashioned cylinder music box evokes many things: nostalgia, childhood memories, sometimes even horror (they are a trope in scary movie soundtracks). Most music boxes play one tune, but with the Muro Box, which exhibited at Computex this week, you can use an app to pick different songs or even compose your own. It even doubles as a smart alarm clock.

Created by Tevofy Technology, a Taiwanese startup, the Muro Box’s components are mounted on a wooden base and visible underneath a glass cover, so you can watch as a 20-note steel comb creates music by plucking pins on its cylinder. The key difference between Muro and traditional music boxes, however, is that Muro’s cylinder is programmable.

The Muro Box is a music box with a programmable cylinder

Instead of a fixed pattern of pins, Muro’s patented convertible cylinder features 20 stainless steel gears, to correspond with each tooth on the comb. Each gear is attached to an electronic magnet and commanded by an embedded microcontroller, which means Muro can play almost any melody.

A 2018 Golden Pin Design Award winner, the Muro Box is getting ready to launch its Indiegogo campaign, after completing a successful campaign on Taiwanese crowdfunding site Zec Zec last year.

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NYC’s contactless subway turnstiles open today with Apple, Google, Samsung and Fitbit Pay support

After weeks of sporting “Coming Soon” screens, the New York City MTA’s OMNY pilot finally launched today. The system augments the city’s MetroCard swipes with new contactless screens that work with contactless prepaid credit and debit cards and a variety of different smart devices.

We’ve highlighted the latter already. For starters, the system will work with Apple, Google, Samsung and Fitbit Pay, which means it will be open to a large range of smartphones and wearables.

Contactless cards are those with NFC chips sporting a four-bar wave symbol that are already available from a number of big banks and credit card companies. Per the MTA’s site, the list of partners includes Chase, Visa, Mastercard and American Express, which should cover a majority of card holders, one way or another.

That’s a big no for Diners Club, Japan Credit Bureau and China UnionPay. Also, PIN-protected cards don’t currently work, nor do gift cards and non-reloadable cards. Another important restriction in all of this is the fact that the system is currently limited to single-ride. That means the large number of New Yorkers who currently use daily, weekly and monthly passes to save on the ever-increasing ride prices are SOL for now.

Ride plans will be coming before 2021. The MTA says it also plans to have the system implemented in all subway stations and buses before then. For now it’s currently limited to the 4, 5, 6 line between Grand Central Station in Manhattan and Brooklyn’s Atlantic Avenue-Barclays Center, as well as Staten Island buses.

Having demoed the system recently, I attest that it works well on both the iPhone and Apple Watch. It remains to be seen, however, how much of a logjam this technology will create in its first weeks and months. Ultimately, however, it should go a ways toward speeding things up as riders no longer have to fumble for their MetroCard and deal with aging swipe readers.

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Spotify is building shared queue Social Listening

Want to rock out together even when you’re apart? Spotify has prototyped an unreleased feature called “Social Listening” that lets multiple people add songs to a queue they can all listen to. You just all scan one friend’s QR-style Spotify Social Listening code, and then anyone can add songs to the real-time playlist. Spotify could potentially expand the feature to synchronize playback so you’d actually hear the same notes at the same time, but for now it’s a just a shared queue.

Social Listening could give Spotify a new viral growth channel, as users could urge friends to download the app to sync up. The intimate experience of co-listening might lead to longer sessions with Spotify, boosting ad plays or subscription retention. Plus it could differentiate Spotify from Apple Music, YouTube Music, Tidal, and other competing streaming services.

A Spotify spokesperson tells TechCrunch that “We’re always testing new products and experiences, but have no further news to share at this time.” Spotify already offers Collaborative Playlists friends can add to, but Social Listening is designed for real-time sharing. The company refused to provide further details on the prototype or when it might launch.

The feature is reminiscent of Turntable.fm, a 2011 startup that let people DJ in virtual rooms on their desktop that other people could join where they could chat, vote on the next song, and watch everyone’s avatars dance. But the company struggled to properly monetize through ad-free subscriptions and shut down in 2014. Facebook briefly offered its own version called “Listen With…” in 2012 that let Spotify or Rdio users synchronize music playback.

Spotify Social Listening was first spotted by reverse engineering sorceress and frequent TechCrunch tipster Jane Manchun Wong. She discovered code for the feature buried in Spotify’s Android app, but for now it’s only available to Spotify employees. Social Listening appears in the menu of connected devices you can open while playing a song beside nearby Wi-Fi and Bluetooth devices. “Connect with friends: Your friends can add tracks by scanning this code – You can also scan a friend’s code” the feature explains.

A help screen describes Social Listening as “Listen to music together. 1. On your phone, play a song and select (Connected Devices). You’ll see a code at the bottom of the screen. 2. On your friend’s phone, select the same (Connected Devices) icon, tap SCAN CODE, and point the camera at your code. 3. Now you can control the music together.” You’ll then see friends who are part of your Social Listening session listed in the Connected Devices menu. Users can also copy and share a link to join their Social Listening session that starts with the URL prefix https://spoti.fi/2HOWshq Note that Spotify never explicitly says that playback will be synchronized.

With streaming apps largely having the same music catalog and similar $9.99 per month premium pricing, they have to compete on discovery and user experience. Spotify has long been in the lead here with its algorithmically personalized Discover Weekly playlists that were promptly copied by Apple and SoundCloud.

Oddly, Spotify has stripped out some of its own social features over the years, eliminating the in-app messing inbox and instead pushing users to share songs over third-party messaging apps. The deemphasis in discovery through friends conveniently puts the focus on Spotify’s owned playlists. That gives it leverage over the record labels during their rate negotations since it’s who influences which songs will become hits, so if labels don’t play nice their artists might not get promoted via playlists.

That’s why it’s good to see Spotify remembering that music is an inherently social experience. Music physically touches us through its vibrations, and when people listen to the same songs and are literally moved by it at the same time, it creates a sense of togetherness we’re too often deprived of on the Internet.

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Following US Huawei ban, China threatens own blacklist for foreign firms

Odds of the U.S. and China cooling off their trade war further diminished on Friday after the world’s most populous nation said it would create a list of “unreliable” foreign firms of its own.

Gao Feng, a spokesman of China’s commerce ministry, said today that the nation will create an “entity list” that will include, in part, foreign companies that have stopped or curtailed their businesses with Chinese firms.

“Foreign enterprises, organisations or individuals that do not comply with market rules, deviate from a contract’s spirit or impose blockades or stop supplies to Chinese enterprises for non-commercial purposes, and seriously damage the legitimate rights and interests of Chinese enterprises, will be included on a list of ‘unreliable entities’,” he was quoted (in Chinese) as saying by local media.

The retaliation comes weeks after the U.S. Commerce Department enlisted Huawei and 68 affiliates in an entity list over national security concerns, thereby requiring American companies to take approval from the government before conducting business with Chinese firms. A 90-day reprieve has been granted to allow companies such as Google to offer critical support to Huawei, however.

In the aftermath of that direction, several American firms including Google, Intel, and Qualcomm have curtailed their business agreements with the Chinese giant. Huawei executives have said in recent weeks that such ban on the company in the U.S. will significantly impact its business and hurt its reputation worldwide.

Even as details remain sparse at the moment, much of Silicon Valley giants appear to fit the bill of the companies that China wants on its blacklist.
Over the weekend, China will increase tariffs on $60 billion in U.S. goods in response to U.S. duties on $200 billion in Chinese products earlier this month. The two nations have shown little signs of reaching a resolution.

Huawei, in the meantime, has filed a legal motion to challenge the U.S. ban on its equipment, calling it “unconstitutional.” The company has also sent its American employees deployed at R&D functions at its Shenzhen headquarters home. It has also asked its Chinese employees to limit conversations with overseas visitors, and cease any technical meetings with their US contacts.

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Diploma Legal Notes

Diploma Legal Notes

The 10 Most Essential Tech Gadgets for Music Festivals

Huawei bars staff from having technical meetings with US contacts

Reeling from the ongoing U.S.-China trade war, Chinese technology giant Huawei has found itself in yet another dilemma: How to pursue internal communications with its own U.S. employees? For now, the company has ordered its Chinese employees to bar technical meetings with their U.S. contacts and sent home the American workers deployed in Shenzhen headquarters.

Dang Wenshuan, Huawei’s chief strategy architect, told the Financial Times that the company has also limited general communications between its Chinese and U.S. workers. The move comes as the Chinese technology giant scrambles to comply with the murky laws after its weeks-long tension with the U.S. government sees no signs of resolution in the immediate future.

The Chinese giant is also controlling the subjects of interactions workers in its campus have with overseas visitors. The conversations cannot touch topics related to technology, the FT report said. Dang said the company was just trying to ensure it was on the right side of the law.

It remains unclear exactly how export controls could mandate disruption of internal communications within an organization. Huawei could be using this tack as a bargaining chip, showing the U.S. that its own citizens are being hurt by its policies. A Huawei spokesperson declined to comment on queries sent by TechCrunch.

Earlier this month, Huawei and 68 affiliates were put on an “entity list” by the U.S. Commerce Department over national security concerns, forcing American companies to take approval from the government before conducting any business with the Chinese giant. In the aftermath, a range of companies including chipmakers, Google and Microsoft have made significant changes to their business agreements with Huawei.

In recent weeks, several Huawei executives have spoken out about the significance of the U.S. government order on its business. In the meantime, the company has also explored ways to fight back the order. Earlier this week, Huawei filed a legal motion to challenge the U.S. ban on its equipment, calling it “unconstitutional.”

At stake is the future of one of the largest suppliers of smartphones and networking equipments. A significant portion of the company’s business comes from outside of China. For smartphones, one of its core businesses, the company says it is already working on an operating system that does not rely on technologies sourced from the U.S. companies. But it is yet to provide any evidence on how — and if — that operating system would function.

The U.S. government earlier this month offered some relief to Huawei by granting a temporary general export license for 90 days, which allows companies such as Google to continue to provide critical support to the Chinese company for three months.

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Google Play cracks down on marijuana apps, loot boxes and more

On Wednesday, Google href="https://techcrunch.com/2019/05/29/following-ftc-complaint-google-rolls-out-new-policies-around-kids-apps-on-google-play/"> rolled out new policies around kids’ apps on Google Play following an FTC complaint claiming a lack of attention to app’s compliance with children’s privacy laws, and other rules around content. However, kids’ apps weren’t the only area being addressed this week. As it turns out, Google also cracked down on loot boxes, marijuana apps, while also expanding sections detailing prohibitions around hate speech, sexual content, and counterfeit goods, among other things.

The two more notable changes include a crackdown on “loot boxes” and a ban on apps that offer marijuana delivery — while the service providers’ apps can remain, the actual ordering process has to take place outside of the app itself, Google said.

Specifically, Google will no longer allow apps offering the ability to order marijuana through an in-app shopping cart, those that assist users in the delivery or pickup of marijuana, or those that facilitate the sale of THC products.

This isn’t a huge surprise — Apple already bans apps that allow for the sale of marijuana, tobacco, or other controlled substances in a similar fashion. On iOS, apps like Eaze and Weedmaps are allowed, but they don’t offer an ordering function. That’s the same policy Google is now applying on Google Play, too.

This is a complex subject for Google, Apple, and other app marketplace providers to tackle. Though some states have legalized the sale of marijuana, the laws vary. And it’s still illegal according to the federal government. Opting out of playing middleman here is probably the right step for app marketplace platforms.

That said, we understand Google has no intention of outright banning marijuana ordering and delivery apps.

The company knows they’re popular and wants them to stay. It’s even giving them a grace period of a 30 days to make changes, and is working with the affected app developers to ensure they’ll remain accessible.

“These apps simply need to move the shopping cart flow outside of the app itself to be compliant with this new policy,” a spokesperson explained. “We’ve been in contact with many of the developers and are working with them to answer any technical questions and help them implement the changes without customer disruption.”

Another big change impacts loot boxes — a form of gambling popular among gamers. Essentially, people pay a fee to receive a random selection of in-game items, some of which may be rare or valuable. Loot boxes have been heavily criticized for a variety of reasons, including their negative effect on gameplay and how they’re often marketed to children.

Last week, a new Senate bill was introduced with bipartisan support that would prohibit the sale of loot boxes to children, and fine those in violation.

Google Play hasn’t gone so far as to ban loot boxes entirely, but instead says games have to now disclose the odds of getting each item.

In addition to these changes, Google rolled out a handful of more minor updates, detailed on its Developer Policy Center website. 

Here, Google says it has expanded the definition of what it considers sexual content to include a variety of new examples, like illustrations of sexual poses, content depicts sexual aids and fetishes, and depictions of nudity that wouldn’t be appropriate in a public context. It also added “content that is lewd or profane,” according to Android Police which compared the old and new versions of the policy.

Definitions that are somewhat “open to interpretation” is something that Apple commonly uses to gain better editorial control over its own App Store. By adding a ban of “lewd or profane” content, Google can opt to reject apps that aren’t covered by other examples.

Google also expanded its list of examples around hate speech to include: “compilations of assertions intended to prove that a protected group is inhuman, inferior or worthy of being hated;” “apps that contain theories about a protected group possessing negative characteristics (e.g. malicious, corrupt, evil, etc.), or explicitly or implicitly claims the group is a threat;” and “content or speech trying to encourage others to believe that people should be hated or discriminated against because they are a member of a protected group.”

Additional changes include an update to the Intellectual Property policy that more clearly prohibits the sale or promotion for sale of counterfeit goods within an app; a clarification of the User Generated Content policy to explicitly prohibit monetization features that encourage objectionable behavior by users; and an update the Gambling policy with more examples.

A Google spokesperson says the company regularly updates its Play Store developer policies in accordance with best practices and legal regulations around the world. However, the most recent set of changes to err on the side of getting ahead of increased regulation — not only in terms of kids’ apps and data privacy, but also other areas now under legal scrutiny, like loot boxes and marijuana sales.

 

 

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Two years after Essential’s launch, still no Home hub or second phone

This morning’s Moto Z4 news was good cause to go back and reassess the state of the modular phone. Three years after the line launched, the concept hasn’t exactly ignited the market — in fact, there are really just a handful of scattered competitors to show for it. Essential is among the most prominent, with the PH-1’s clever two-pin connector.

By sheer coincidence, it turns out today is the two-year anniversary of the company’s debut. Founder Andy Rubin took to the stage at Code 2017 with big ideas and two products. One, the PH-1, has come and gone, launching a couple of months late in August 2017 before being discontinued late last year. The other, the Essential Home hub, never appeared at all.

The day the products were announced, then COO Niccolo de Masi (who appears to have since moved on to Honeywell spin-off Resideo), spoke of the company’s 10-year plan. It was an acknowledgement that it had a tough road ahead, as it planned to take on big names like Apple and Samsung. But the company certainly had the money. A $300 million raise helped the startup achieve unicorn status not long after taking the stage at the conference.

But the intervening two years have been plagued with bad news. In spite of positive reviews, the company reportedly only shipped 88,000 phones in 2017. The PH-1 got a massive price drop and its first modular accessory, a 360 camera, was discounted to $19, down from $250.

Last May, rumors surfaced that the company had gone up for sale and its follow-up phone had been canceled. And in October, it laid off nearly a third of its staff. Founder Andy Rubin has been laying low in the meantime. That same month, The New York Times published an explosive story about a $90 million Google payoff in the wake of sexual misconduct claims, causing him to take leave from Essential.

All the while, however, the company has firmly denied claims that it’s going away. I spoke to a rep at the company recently who said things are in the works, without revealing any specifics. There have been a ton of patent filings that appear to point to some future handset. It announced a new mod for the PH-1 in June and even acquired a company in December. Hell, earlier this month, it issued a new security patch, holding to its promise of monthly updates — a hell of a lot more than many more successful smartphone makers have offered.

That’s part of what makes the Essential story so frustrating. The PH-1 was a novel device, among the first to go with a camera notch display. Its $699 price (later reduced to $499) also predated Samsung/Apple/Google’s move into budget flagships. But even with a unicorn valuation, hardware is hard. And Essential may have entered the market at the worst possible time, as smartphone sales were beginning to flag for the first time ever.

Two years after launch, it’s hard to shake the feeling that Essential’s time may have come and gone. For now, however, the company appears to simply be biding its time before announcing what comes next.

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Google Play cracks down on marijuana apps, loot boxes and more

On Wednesday, Google href="https://techcrunch.com/2019/05/29/following-ftc-complaint-google-rolls-out-new-policies-around-kids-apps-on-google-play/"> rolled out new policies around kids’ apps on Google Play following an FTC complaint claiming a lack of attention to app’s compliance with children’s privacy laws, and other rules around content. However, kids’ apps weren’t the only area being addressed this week. As it turns out, Google also cracked down on loot boxes, marijuana apps, while also expanding sections detailing prohibitions around hate speech, sexual content, and counterfeit goods, among other things.

The two more notable changes include a crackdown on “loot boxes” and a ban on apps that offer marijuana delivery — while the service providers’ apps can remain, the actual ordering process has to take place outside of the app itself, Google said.

Specifically, Google will no longer allow apps offering the ability to order marijuana through an in-app shopping cart, those that assist users in the delivery or pickup of marijuana, or those that facilitate the sale of THC products.

This isn’t a huge surprise — Apple already bans apps that allow for the sale of marijuana, tobacco, or other controlled substances in a similar fashion. On iOS, apps like Eaze and Weedmaps are allowed, but they don’t offer an ordering function. That’s the same policy Google is now applying on Google Play, too.

This is a complex subject for Google, Apple, and other app marketplace providers to tackle. Though some states have legalized the sale of marijuana, the laws vary. And it’s still illegal according to the federal government. Opting out of playing middleman here is probably the right step for app marketplace platforms.

That said, we understand Google has no intention of outright banning marijuana ordering and delivery apps.

The company knows they’re popular and wants them to stay. It’s even giving them a grace period of a 30 days to make changes, and is working with the affected app developers to ensure they’ll remain accessible.

“These apps simply need to move the shopping cart flow outside of the app itself to be compliant with this new policy,” a spokesperson explained. “We’ve been in contact with many of the developers and are working with them to answer any technical questions and help them implement the changes without customer disruption.”

Another big change impacts loot boxes — a form of gambling popular among gamers. Essentially, people pay a fee to receive a random selection of in-game items, some of which may be rare or valuable. Loot boxes have been heavily criticized for a variety of reasons, including their negative effect on gameplay and how they’re often marketed to children.

Last week, a new Senate bill was introduced with bipartisan support that would prohibit the sale of loot boxes to children, and fine those in violation.

Google Play hasn’t gone so far as to ban loot boxes entirely, but instead says games have to now disclose the odds of getting each item.

In addition to these changes, Google rolled out a handful of more minor updates, detailed on its Developer Policy Center website. 

Here, Google says it has expanded the definition of what it considers sexual content to include a variety of new examples, like illustrations of sexual poses, content depicts sexual aids and fetishes, and depictions of nudity that wouldn’t be appropriate in a public context. It also added “content that is lewd or profane,” according to Android Police which compared the old and new versions of the policy.

Definitions that are somewhat “open to interpretation” is something that Apple commonly uses to gain better editorial control over its own App Store. By adding a ban of “lewd or profane” content, Google can opt to reject apps that aren’t covered by other examples.

Google also expanded its list of examples around hate speech to include: “compilations of assertions intended to prove that a protected group is inhuman, inferior or worthy of being hated;” “apps that contain theories about a protected group possessing negative characteristics (e.g. malicious, corrupt, evil, etc.), or explicitly or implicitly claims the group is a threat;” and “content or speech trying to encourage others to believe that people should be hated or discriminated against because they are a member of a protected group.”

Additional changes include an update to the Intellectual Property policy that more clearly prohibits the sale or promotion for sale of counterfeit goods within an app; a clarification of the User Generated Content policy to explicitly prohibit monetization features that encourage objectionable behavior by users; and an update the Gambling policy with more examples.

A Google spokesperson says the company regularly updates its Play Store developer policies in accordance with best practices and legal regulations around the world. However, the most recent set of changes to err on the side of getting ahead of increased regulation — not only in terms of kids’ apps and data privacy, but also other areas now under legal scrutiny, like loot boxes and marijuana sales.

 

 

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