At the recent Social Capital Markets (SOCAP) conference held in San Francisco, California, a significant dialogue emerged focusing on the pressing need for financing internet access, especially for underserved rural populations. Among the key contributors to this conversation was Stephen Ozoigbo, CEO of the Africa Technology Foundation, who emphasized the vital role of technology companies in bridging the digital divide across the African continent and beyond.
The stark reality presented during the conference revealed that only one in three individuals in developing countries has internet access, with many experiencing subpar connectivity. This statistic underscores the urgent need for innovative financial solutions to expand internet availability. A panel discussion titled “Investing in the building blocks for digital inclusion” highlighted the social and financial benefits of providing internet access, emphasizing its importance across various sectors, including education, health, and agriculture. The panelists aimed to persuade investors that connectivity should be treated as a serious investment sector, capable of generating substantial social returns.
John Garrity, a policy adviser for digital inclusion and former member of the United States Agency for International Development, remarked on the transformative power of digital solutions in achieving social impact and improving the efficiency of service delivery. This sentiment resonated throughout the conference, with speakers advocating for increased investment in internet infrastructure to foster connectivity in rural areas.
Stephen Ozoigbo was particularly noteworthy for his insights into how major tech companies are actively contributing to this mission. He pointed out that Google's initiatives in Africa, such as laying down fiber optic cables, are not mere gestures; rather, they reflect a genuine commitment to invest locally and empower communities. Ozoigbo stressed that these efforts involve collaboration with local partners to ensure sustainable and effective connectivity solutions. His advocacy for local engagement aligns with the broader goal of developing a robust technological ecosystem that empowers African communities.
Additionally, Ozoigbo highlighted how technology firms can influence the regulatory landscape to facilitate connectivity efforts. For instance, he mentioned Microsoft’s initiatives to extend TV White Space technology across various countries. This regulatory advancement is critical for creating the necessary environment for internet service providers (ISPs) and mobile network operators (MNOs) to thrive. Lene Schulze, a representative from BLUETOWN, echoed this sentiment, noting that such regulatory frameworks can significantly enhance the feasibility of providing low-cost Wi-Fi solutions in rural regions.
The panelists also underscored the innovative approaches being taken by companies like Facebook, which is working on projects such as OpenCellular. This initiative aims to provide open-source wireless infrastructure to facilitate connectivity in underserved areas. Troy Etulain from FHI 360 shared success stories where equipment provided through such initiatives had successfully connected small villages economically.
However, the challenges remain daunting. Many individuals without internet access are in low-revenue environments, making it difficult for profit-driven companies to justify investments in these areas. David Hartshorn, CEO of Geeks Without Frontiers, described the plight of rural communities where substantial infrastructure deployments have occurred without the promise of a sustainable business model. This precarious situation often leads to projects being abandoned once initial funding runs out.
In response to these challenges, panelists proposed innovative financing models to support internet connectivity initiatives. Anne Evans, representing Ashoka, discussed the potential of blended finance to reduce risks for investors willing to support ISPs and MNOs in expanding their services. Her organization is actively involved in a joint venture with Concero Connect in Mexico, which seeks to enhance connectivity while promoting financial inclusion.
The conversations at the SOCAP conference serve as a crucial starting point for expanding investment in internet access initiatives. As the panelists concluded, there is an urgent need to channel more capital into ISPs and MNOs to enhance connectivity, reduce costs, and improve internet speed. Through the collaborative efforts of organizations like the Africa Technology Foundation, along with contributions from tech giants, the vision of connecting the unconnected can become a reality, paving the way for significant social and economic advancements in rural communities worldwide.
Stephen Ozoigbo's contributions to these discussions underscore his commitment to fostering digital inclusion and innovation, positioning technology as a pivotal player in the quest for equitable access to the internet across the globe. As the world moves forward, it is evident that the strategies and partnerships forged at conferences like SOCAP will be instrumental in addressing the digital divide.