Sony Group Corporation has announced the establishment of “Sony Innovation Fund: Africa,” marking a significant stride in supporting the growth of the entertainment sector on the African continent.
Sony’s engagement in catalysing new business ventures dates back to 2016, with the inception of the “Sony Innovation Fund.” This fund was designed to channel investments into seed and early-stage companies. Subsequently, in 2019, Sony extended its reach with the “Innovation Growth Fund” through a joint venture with Daiwa Capital Holdings Co., now known as Daiwa Investment Management Co., Ltd. The company’s dedication to addressing global environmental concerns led to the establishment of the “Sony Innovation Fund: Environment” in 2020.
In 2022, the torch passed to “Sony Innovation Fund 3,” succeeding the “Innovation Growth Fund.” Importantly, it’s worth noting that these initiatives are underpinned by Sony’s direct financial support.
The newly inaugurated “Sony Innovation Fund: Africa” will focus its investments on start-ups within the entertainment domain in Africa, encompassing areas such as gaming, music, film, and content distribution. Sony has earmarked an initial investment pool of US$10 million for this purpose.
What distinguishes the fund’s approach is its commitment to enriching portfolio companies by offering collaboration opportunities. This extends to the provision of Sony’s proprietary technologies, joint development efforts, and strategic business partnerships. The establishment of “Sony Innovation Fund: Africa” perpetuates this commitment, with the potential for future expansion based on its progress.
In a strategic move, the company has inked a collaboration agreement with the International Finance Corporation (IFC), a preeminent global development institution with a strong focus on the private sector and a proactive presence in emerging markets. This collaboration extends to supporting start-up enterprises across Africa, bringing the strengths of both entities to bear on the growth of the African entertainment industry.
Toshimoto Mitomo, Executive Deputy President and CSO of Sony Group Corporation, underscored Sony’s dedication to fostering innovation and growth, stating, “Through the activities of Sony Innovation Fund: Africa, we hope to accelerate the growth of the African entertainment industry and contribute to the progress and development of the region by providing opportunities for collaboration with the entertainment businesses within the Group.”
Makhtar Diop, Managing Director of IFC, expressed excitement about the partnership, affirming its potential to boost Africa’s creative industry. Diop noted that IFC’s expertise in emerging markets and digital investments, combined with Sony’s global standing in entertainment, media, and technology, positions the collaboration to significantly contribute to the economic growth of the creative sector.
