Provide WiFi or pay fines

Inside: South Africa now has an AI factory.

Good morning. ☀️

Yesterday, we sent out the very first edition of The Next Wave: Francophone Africa, where we explored how Cameroonian fintech REasy is powering cross-border trade across Francophone Africa. You can read the story here and subscribe to our mailing list so you don’t miss next week’s edition.

In other news, it’s D-day at Moonshot by TechCabal! Join founders, investors, and operators at the continent’s biggest tech gathering happening today.

Let’s get into today’s dispatch.

Startups

COMESA is looking into the Wasoko-MaxAB merger for anti-competitive behaviour

Image Source: Wasoko

The COMESA Competition Commission (CCC) said on Monday that it is investigating the merger between Kenya’s Wasoko and Egypt's MaxAB, which was finalised in August 2024. The deal, which created a $500 million entity, is being probed for creating a business that stifles fair competition, with the regulator suggesting it could “substantially prevent or lessen competition in the common market.”

Between the lines: At its peak, Wasoko was the most-funded B2B e-commerce startup in Africa. However, operational struggles led the company to pause its operations in Uganda and Zambia and lay off staff. At the time of the merger, Wasoko was nowhere near its 2023 $625 million valuation.

Zoom out: The CCC is concerned that the merger creates an e-commerce business that operates across several markets, widening its market reach. Yet the poser here is whether such scrutiny is warranted when both companies entered the deal from positions of weakness rather than dominance. Wasoko and MaxAB were each struggling with cash burn, dwindling investor confidence, and the heavy costs of scaling in fragmented markets.

Yet, the CCC has invited competitors, suppliers, and users to submit their thoughts before October 24, ahead of its decision on whether the merger harms competition or simply gives two faltering giants a second chance.

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Telecoms

Telkom must provide free WiFi or pay fines

Image Source: Google

Telkom, one of South Africa’s largest telecom operators, has been delivered a new public mission by the country’s communications regulator, the Independent Communications Authority of South Africa (Icasa). The telecom operator must connect South Africa’s Thusong Centres to free WiFi or pay up to R1 million ($57,500) in fines.

Thusong Centres? These are one-stop public access service interventions used to provide essential government information and services, including Home Affairs, the South African Social Security Agency (SASSA), and Health. These centres have long struggled with poor connectivity, which limits citizens’ access to essential services.

What did Telkom do to deserve this “assignment?” It’s the Universal Service and Access Obligations (USAOs), a licence condition that requires operators to extend connectivity beyond profitable areas. ICASA has now refocused those obligations Telkom is meant to achieve toward 171 Thusong Centres. Telkom must connect the first batch by April 2026 and complete all 171 by October 2028.

Or else what? Icasa can slap Telkom with $28,700 – $57,500 fines or escalate the matter to its compliance committee if Telkom misses its deadline. Each site must offer uncapped WiFi at 30 Mbps with fair-use limits of 300MB daily and 2GB monthly to keep it equitable. Telkom will handle everything from routers to cabling, firewalls, and maintenance, and submit progress reports twice a year.

TL;DR ICASA is using Telecom’s infrastructure muscle to deliver on its national connectivity goals by turning a license condition into a tool for digital inclusion.

Paga is in USA

Big news! Paga is now live in the United States, with digital banking services designed for Africa’s diaspora! Eligible users can send, pay, and bank in US Dollars & Naira, safe, regulated, and borderless. Learn more.

AI

South Africa now has an AI factory

Image Source: Mail & Guardian

Altron, a data and technology company, has just handed South Africa its first fully operational AI factory powered by Nvidia’s AI software and infrastructure.

What makes it so serious? Apart from it being South Africa’s first AI factory, local data remains local, it strictly adheres to regulatory standards, and users can get infrastructure, training, and support under one roof.

So, what will this factory do? See it as a production line for AI. It provides the infrastructure that companies need to build, test, and deploy AI solutions faster without worrying about building their own infrastructure. It is also where researchers can scale prototypes and train large language models on African data for them to be tailored to African problems.

The platform is already live and has five businesses using it, including Dataviue, which creates customised systems that transform data into actionable insights, Lelapa AI, an AI research & product lab, and MathU, a platform for developing math and science skills.

Why this matters: South Africa’s artificial intelligence market size reached $809.34 million in 2024, and is projected to pass $5 billion by 2033. This factory is infrastructure for serious scale in the AI market. Having local capacity helps local companies avoid issues with data sovereignty while building models tailored to their environment.

Zoom out: Across Africa, countries like Uganda and Zimbabwe are setting up their own AI hubs, with national strategies and growing ecosystems. Altron’s AI factory could give South Africa a lead in homegrown AI creation.

Stay up to date with the latest Paystack news!

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CRYPTO TRACKER

The World Wide Web3

Source:

CoinMarketCap logo

Coin Name

Current Value

Day

Month

Bitcoin$112,472

- 0.84%

- 3.09%

Ether$4,121

+ 0.14%

- 11.46%

Neon EVM$0.1029

+ 0.32%

- 24.02%

Solana$203.88

+ 0.2%

- 16.08%

* Data as of 06.25 AM WAT, October 15, 2025.

PalmPay is Showing Nigerians the Smarter Way to Bank

Still paying for transfers in 2025? Switch to PalmPay and enjoy unlimited free transfers any bank, plus high-interest savings. Simpler, smarter banking just the way it should be. Learn more.

Events

  • Bigger, bolder, and more intentional. Following the resounding success of the inaugural summit in 2024, Growth Padi is thrilled to announce Growth Africa Summit 2025 (GAS 2.0) with the trailblazing theme: “Redefining the Growth Playbook.” Set against the backdrop of a fast-evolving entrepreneurial landscape, this year’s summit will challenge outdated strategies and usher in a new wave of radical, resilient, and relevant growth models tailored for African businesses. Register to attend by November 1.
  • Got a startup story worth telling? My Startup in 60 Seconds is TechCabal’s one-minute spotlight for founders to share their journey, from vision and challenges to major wins. It’s more than just visibility; it’s a chance to reach investors, potential customers, and Africa’s wider tech ecosystem. Be featured in My Startup in 60 Seconds or explore other TechCabal advertorial opportunities and let the ecosystem hear your story. This is a paid opportunity.
  • Countdown to Moonshot 2025. Africa’s biggest gathering of dreamers, doers, and disruptors returns on October 15 & 16, 2025. From startup founders to policy shapers, everyone who’s building the continent’s future will be there. Secure your spot today and be part of the movement.
  • Calling all AI enthusiasts for Africa’s premier all-expense-paid AI and Data Science learning experience this October, powered by Data Science Nigeria (DSN). The AI Bootcamp 2025 will run from October 20–25 at the University of Lagos, bringing together learners from 36 states and 13 African countries for practical training, mentorship, and collaboration under the theme “AI for All: Democratizing Intelligence and Driving Impact.” Join the free city classes to qualify for the Bootcamp. Register here.

Written by: Adonijah Ndege and Opeyemi Kareem

Edited by: Ganiu Oloruntade

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