NEOFrontiers SMME Innovation Support Fund Program Makes Strides
NEOFrontiers SMME Innovation Support Fund Program Makes Strides. The South African National Space Agency (SANSA) and the National Research Foundation (NRF) are delighted to announce the latest developments of the New Earth Observation Frontiers Small, Medium and Micro Enterprises Innovation Support Fund Program (NEOFrontiers EISF). A total of eight start-ups involved in space and Earth observation innovations received funding through the groundbreaking programme.
Launched in March 2021, the NEOFrontiers is an innovation funding mechanism designed to drive the growth of the local space sector through increased public investments. It seeks to stimulate collaboration, cooperation, and innovation in the public and private South African Earth observation community. The NEOFrontiers programme is managed by the NRF on behalf of SANSA and implemented with the support of Tuksnovation, the University of Pretoria’s (UP) business and technology incubator. The programme subsidises enterprises with amounts ranging from ZAR 750 000 to ZAR1 million for 12 months.
SANSA launched NEOFrontiers in 2021 through investment from the Department of Science, Technology and Innovation (DSTI). The first four NEOFrontiers projects were funded in 2022 while 2023 saw three further projects funded. The 2024 NEOFrontiers call saw eight successful start-ups submit brilliant proposals on mining, agriculture, infrastructure development, healthcare innovation, banking and financial institutions, as well as disaster risk reduction. They are:
- Abiri Innovations
- Agizo Solutions (Pty) Ltd
- Aphelion World JV/Consortium
- CreditAIs
- Integrated Geoscience Solutions
- Kgothatso Innovations
- Regona Trading
- YaAzi
A total of 56 applications were received for a call that the NRF published on behalf of SANSA earlier in the year. Of these 56, 25 were eligible and given an opportunity to pitch to an independent adjudication committee.
Says Itumeleng Makoloi, Acting Chief Director: Space Science and Technology at the DSTI, “NEOFrontiers unfolds at an opportune time when South Africa seeks to foster innovation. We need to create new ways of modernising areas such as agriculture, mining and manufacturing. We believe that this programme represents our shared vision to foster innovation, capacity building and strategic partnership across the public sector. The joint efforts of DSTI entities such as SANSA and the NRF play a critical role in driving this vision.”
SANSA CEO, Humbulani Mudau, says of the successful applicants, “We believe that these will create a market pool for innovative solutions, for which space is a significant enabler and a value provider. I’m delighted to report that there is an equal split in gender representation. We have awarded the grant to start-up companies led and owned by four males and four females. This is good progress towards transforming the industry.”
Mudau adds that NEOFrontiers platform is poised for greater strides in terms of direction and investments. “We’re indeed going to make this a flagship programme that will transform space-based ideas into relevant products and services that address societal and environmental challenges. As we do that, we’re going to be looking at increasing the competitiveness of the South African Earth Observation industry for the benefit of the South African society.”
Dr Fulufhelo Nelwamondo, NRF CEO, describes NEOFrontiers as an initiative with potential to gear small enterprises in the space sector to create job opportunities. “The key focus is to support start-ups, SMMEs and entrepreneurs with funding. The reason for this is that we expect much more from our SMMEs to make sure that they can grow and employ more people.”
He adds, “When they employ more people, there is an increase in new technology and service innovations coming out of their areas to a point that we can get even more people involved. Our rate of unemployment is increasing. The question is how we align all our sciences to address those issues. The programme is just a seed that we’re putting in the ground. Much more is expected of our sciences.”
Adv Lawrence Baloyi, Head: Innovation and Contracts Management at UP, says, “Theinitiative has the potential to shape the future of South African space innovation. SANSA has crafted an ambitious path forward with this fund, a path that not only drives innovation but also amplifies the potential of South Africa’s entrepreneurs and start-ups in the Earth observation sector.”
“While South Africa’s space industry is growing, there remains a critical need to cultivate a large pool of start-ups and entrepreneurs within this highly specialised sector. Space technology and Earth observation start-ups face unique challenges, including the high-entry costs, the need for advanced technological knowledge and difficulties in securing funding for research, technology development and prototyping. These barriers make it essential to expand the pipeline of space-based entrepreneurs,” he adds.
The next Call to fund new SMMEs will be published before the end of 2024. “We look forward to receiving ground-breaking ideas and celebrating excellence,” says Mudau. “The South African Earth observation industry and the entire space industry has my personal commitment in advancing this sector for the benefit of our country as well as the continent.”
