Praise Moyo | May 19, 2025
Video entertainment company Multichoice has previously invested R407 million in South African technology startups through innovation funds.
Multichoice Innovation FundLaunched in 2012, it seeks to drive transformation of South Africa's economy by supporting Black, women and young businesses in high-growth sectors such as Fintech, HealthTech, Edutech, Broadcast Technology and Emerging. Digital media.
The fund provides financial support and business support. Supply chain access and mentorship help entrepreneurs move from ideas to scale-up.
So far, 77 black-owned small businesses with at least 50% of women's ownership have benefited, resulting in over 1,400 jobs.
So far, the Multichoice Innovation Fund has emailed the ITWeb that it has so far paid R407 million in loans, grants and business development costs to help it acquire skills and assets.
Prominent Beneficiaries
Some of the startups that Multichoice is investing in wet – Solar subscription service providers offering bundled customizable solar packages and fixed monthly subscriptions that help residential and commercial customers become partially or completely off-grid.
Last week, the video entertainment company announced that moisture will be rapidly emerging as one of South Africa's most dynamic renewable energy companies. Supported early on by the Multichoice Innovation Fund, Wetility fully repaid the loan much earlier than its schedule.
“That first proof of concept laid the foundation for Wetility's R930 Million Series A in 2023,” said Ikenna Oguguo, co-founder and chief product officer of Wetility. “We have secured funding from consortiums, including Metier Sustainable Capital II, Sanlam and Industrial Development Corporation.”
Multichoice is also investing Bothlali ai – A company that builds voice-based human-computer interaction systems to help people interact with computers using African languages.
I've supported again Rim Lab – Online platform for kids. It provides learning indigenous African languages through entertainment, learning through storytelling, animation, music and inspiring activities.
Another beneficiary of the fund is seb4visionWe offer broadcast enhancement solutions including live on air graphics, sports TV graphics, augmented reality graphics, virtual studios/sets, virtual ads, player tracking technology, sports analytics, touchscreen solutions, AR drones, second screen experiences and more.
The company also invested Gradesmatch– An educational technology company that provides career guidance, university preparation and student success services to African students.
“The Multichoice Innovation Fund is more than just a fundraising vehicle. It's a catalyst for real economic change,” says Multichoice.
“By supporting diverse and high potential entrepreneurs, the fund is unlocking innovation, creating jobs and helping to build a more inclusive digital economy for South Africa. In a rapidly evolving digital world, the fund is committed to securing the country's future with local innovators that reflect the diversity and potential of the people.
Early stage pain
According to Multichoice, many tech entrepreneurs struggle to secure the early stage capital needed to build and expand solutions.
“Traditional investors often see startups, leaving a big financing gap, especially as high-risk, led by young, black or female founders,” the company says.
Limited market access is another challenge. “Established intrusions
Getting to the mass market can be difficult, either locally or globally. Without the right partnership and visibility, even the most innovative solutions can't gain traction. ”
Multichoice points out that while tech is growing interest, there is still a shortage of highly skilled developers, engineers and data scientists. It points out that small businesses often cannot compete with big companies because of top talent.
According to the company, tech companies often face obsolete or uncertain regulations, particularly in emerging sectors such as Fintech, HealthTech and AI. Navigating compliance explains that innovation can slow down and scaling can be difficult.
With commercialization and scale, the company says turning prototypes into sustainable businesses is a major challenge. “Many startups need guidance on product market fit, pricing strategies and operations to grow beyond the early stages.”
Although there are incubators and accelerators, he adds that from mentorship to procurement opportunities, there is a need for more coordinated and long-term support.
“As the Multichoice Innovation Fund, we aim to close these gaps by providing not only funding but mentorship, market access and supply chain inclusion, particularly for black, women and young-owned businesses that innovate and creatively solve South Africa's problems.”
The Multichoice Innovation Fund considers several key criteria before investing in your business. Eligible companies must operate within the Information and Communications Technology sector and be Black-owned with at least two B-BBEE levels of 51% or more.
“Priority is given to businesses owned by young people, women or disabled people. Furthermore, businesses must have annual revenues and assets of less than R15 million, and demonstrate financial health based on verified financial forecasts.”
“Disclaimer – the views and opinions expressed in this article are the views of the author and are not necessarily those of the Bee Room.”
