Dr Amanda Hamilton Attwell

1. ICT Facts and Figures
 Globally 3.2 billion people used the Internet end
2015 with 2 billion from developing countries;
 For every Internet user in the developed world there
are 2 in the developing world;
 However, 4 billion people from developing countries
remain offline, representing 2/3 of the population
residing in developing countries;
 Of 940 million people living in least developed
countries (LDCs), only 89 million use the Internet,
equating to a 9.5% penetration rate;

2. Evolution of business
incubators

3. Relationship between different
incubator modalities

4. Performance of Existing ICT
Incubators
 Misalignment between incubators & ICT challenges & dev objectives
 Based on best practices, interviews, observations, the NDP vision of
ICT sector & DTPS’s ICT Policy Review, the Seda ICT incubators are
rated as:
“Less than Satisfactory” – with applicable ratings as follows:
 Highly Satisfactory (fully according to plan or better)
 Satisfactory (on balance according to plan, positive aspects outweighing
negative aspects)
 Average (In the ball park with some criteria partly fulfilled, something
happening but not where it should be)
 Less than Satisfactory (not sufficiently according to plan, taking account of
the evolving context; a few positive aspects, but outweighed by negative
aspects)
 Highly Unsatisfactory (seriously deficient, very few or no positive aspects)

5. Further review of incubators
 Lack enabling ICT environment/infrastructure R&D, bandwidth speed;
 Lack pool of private sector capacity builders;
 Engaged in ‘doing’ rather than ‘guiding the doing’
 Insufficient coaching, mentoring & delivery of ICT skills and expertise;
 Insufficient active, on-going stakeholder involvement or ‘ownership’;
 Insufficient oversight, monitoring & co-ordination by stakeholders;
 Insufficient R&D, marketing, linkages & brand development;
 Inadequate ‘bankable’ business plans - development & implementation;
 Insufficient staffing and funding;
 Unsatisfactory selection, representation & functioning of Boards;
 Less than satisfactory ICT service delivery & market reputation;

6. International Best Practices
1. Setting up & Operating Incubators
 Design - should support & be part of a broader strategic framework. Should not be stand-
alone entities but work alongside other organisations / schemes to promote broader strategies
 Public Private Partnerships (PPP) - should be promoted by inclusive partnership
of PPP stakeholders & partnership structures & reflect technology & business support strategies.
 Market Testing & Bus Plan Development - markets must be tested and a
business plan developed to provide framework for incubator operations. Business plan to set out
the target market, expected levels of demand, detailed operating framework, infrastructure and
services, capital investment & running costs, sources of funds, incubator management and more
 Funding Model - best practices show public support for the establishment of incubators will
remain critical. Public funding accounts for high proportion of most incubators’ set up costs i.e.
around 37% of operating revenue.
 Subsidies to Cover OPEX – there are different ways incubators cover their operating
costs and whilst many incubators rely on public subsidies, there is a strong argument to minimise
dependence on this source of revenue.

7. Best Practice - Continued
2. Business Incubator Functions
 Rental Space - physical space is central to incubator models. EU incubators typically have around 5,800 m2
space for tenants to accommodate +- 18 firms at any one time in variety of units
 Value Proposition – the value added of incubator operations lies increasingly in the type & quality of business
support services provided
 Charging for Support Services – must charge clients for the support services they provide
 Target Market - essential for clearly defined target market and reflected in admission criteria
 Occupancy Rates vs Income Generation - achieving high occupancy rates is important to generate
income, but must be balanced against importance of maintaining selective admission criteria
 Turnover of Client Companies - must limit length of time companies can remain as tenants
 Aftercare & Networking - aftercare and networking with firms that have left an incubator is equally important
as providing services to incubator tenants.
 Quality of the Management Team - the quality of management team & adoption of a business-like approach
to running incubators and monitoring clients, is crucial to performance and reputation
 Technology / Knowledge Intensity of Activities - the type of activities client companies are pursuing,
in particular the technology/knowledge intensity of these activities, is the key factor (rather than physical
features or operating modality) used to differentiate one type of incubator from another.

8. Best Practices continued
3. Evaluating Incubator Services & Impact
 Incubator Performance - the key is to judge incubator performance on long-term impacts achieved
rather than short-term measures such as occupancy rates or failure rates.
 Impact of Incubators – need to obtain feedback directly from client companies and greater
priority should be given to this than before
 Assessment of Incubator Impacts - obtain client feedback on the role played by incubator
in development of their business and to ensure right services are being provided.
 Sharing of Know-how - real value added of business incubation approach lies in the sharing
of know-how rather than physical aspects
 Incubator Model - there are variety of different business incubator models & precise modalities
should reflect local, regional and national circumstances and priorities
 Different Incubator Functioning - although limited comparisons are possible, best practice
confirms significant differences between the way incubators operate and scope for sharing of
experience & know-how
 Cost Effective Instruments - best practice confirm business incubators are cost-effective
instruments for the promotion of public policy objectives. The relatively low cost per job and other
benefits demonstrated show that they are effective method of promoting knowledge intensive, new
technology-based activities.

9. Key Incubator Performance Statistics and
Suggested Benchmarks

10. Feasibility Study

11. Feasibility Factors
Study covered the following factors:
 Core Expertise & Sphere of Influence
 ICT Product /Service Idea Generation
 Stakeholder Involvement
 Public Private Partnerships
 Establishing a Pool of External ICT Service Providers
 Location
 ICT Incubation Model
 Target Markets
 Market Viability & Opportunities
 High-tech ICT Service Portfolio
 Operational Funding Requirements
 Human Resource Requirements
 Physical Infrastructure Requirements
 Seed Fund Requirements
 Soft Landing Services
 Incubator Managers

12. Core Expertise & Sphere of Influence
The high-tech ICT incubators must have
access to core ICT expertise and skills. This
should extend to both soft expertise and
availability of hardware and relevant testing
facilities.

13. ICT Product /Service Idea Generation
 The lesson from best practices is that ideas come from
people and amazing ideas come from amazing people.
So from the outset of implementing the high-tech ICT
incubator model the generation of innovative new ideas
need to be stimulated.
 It is necessary and proposed that the ICT incubators
should play an active part in idea generation rather than
waiting for entrepreneurs to apply for incubation.
 Requires a “pull” marketing strategy & approach to link &
match ideas with potential candidates.

14. Stakeholder Involvement
The involvement and support of stakeholders (consisting of
sponsors drawn from the business community, government, the
local society, venture capital providers, entrepreneurs, etc) and
incubator management are vital for incubator success.
Important that there is clarity, consistency and cooperation from
all stakeholders. There should be consensus on a mission that
defines the incubator‘s role in the community & quantifiable
objectives to achieve the mission. Incubator programs should
develop stakeholder support, including a resource network and
capacity building initiatives.

15. Public Private Partnerships (PPP)
Strong cross-sector partnerships – (PPP’s) create important value for
incubators by filling gaps in the organization's service model, mitigating
operational risk and creating a platform for influencing the broader business
environment. PPP models should be promoted either in the ownership or in
the governance of incubators.
Four principal roles for the private sector involvement in a PPP are to:
 provide additional capital or services to subsidise cost of ICT professional services;
 provide alternative and supplementary management and implementation skills;
 provide value added to the ICT incubates and the public at large;
 provide better identification of ICT needs and optimal use of incubator resources;

16. Establish a Pool of External Skilled ICT
Service Providers
Establishing an external pool and integrated network of
skilled and experienced ICT practitioners is a key
feasibility and critical success factor for the remodeled
high-tech ICT incubators.
This is to stay at the cutting edge of technology. Also if
well sourced & managed, they can assure incubates of
high quality ICT services and guidance at low or no cost
to the incubators.

17. Location
Location has a direct and strong bearing on an incubator
model as it affects both an incubator’s ability to get the
right kind of incubates deal flow and its ability to easily
and adequately support the incubated companies.
Best practices indicate that ICT incubators do not work
effectively or efficiently in ‘far flung’ locations or small
towns as these areas normally lack readily accessible
technology and ICT experts, mentors, equity investors,
angel investors and venture capitalists.

18. Incubation Model
Business incubation is a concept which involves multiple
stakeholders, dozens of “building blocks”, various types of resources
and several service categories.
Consequently, it requires a high level of conceptualization for better
defining, analyzing, designing, calibration, performance evaluation
and thinking about ICT business incubation models.
Important to highlight that researchers, consultants and practitioners
have been developing models of business incubators and incubation
processes since 1985 and created around 20 different models.
Defining the operational model establishes how the incubator will be
organized & operated as it “defines the structure of the incubator,
scope of services offered, funding possibilities & external alliances.

19. Incubation Model
The proposed high-tech ICT model is based on the application of the
following criteria that is used internationally as guiding principles:
Relevance: Addressing ICT challenges, problems and needs
Effectiveness: Achievement of purpose
Efficiency: Sound ICT service delivery and value for money
Impact: Achievement of wider effects
Sustainability: Likely continuation based on desired results
Service Delivery: Quality, knowledge and service skills
Value-Added: Up-skilling, turning out ICT experts & fast tracking
SME’s into the ICT arena
Marketing Visibility: ICT incubator visibility and brand awareness

20. Remodelled ICT Incubator
Inputs
Entry
criteria
Strategic dimension
Process Outputs
Pre-
incubation
Exit
criteria
Incubation
Post-
incubation
Target
market
Training
Business
advice
Financial
support
Graduation
Effectiveness
Sustainability
Efficiency
Operational dimension
Relevance
Impacts
Pool of Skilled ICT
Experts & Champions
Funding
Stakeholders
Roles & Objectives
Board/Governance
Selection, Role &
Functions
Incubator
Management
Staffing, Skills &
KPA’s
R&D Idea
Generation
Broadband
Services &
Infrastructure
Development
Sustainability and
the Environment
Grand
Science
Industry
Applications
The Service
Economy
Enterprise Development
ICT Services

21. Elements of new ICT Incubator Model
Remodel not a “one-size-fits-all” model & services will differ for each
stage of the start-up and level of incubates.
The main differences & elements of the remodelled ICT incubator
revolve around:
 Stronger Public Private Sector Partnerships (PPP) to leverage resources;
 Ongoing research and development to identify opportunities;
 Shift to identify and link ICT opportunities with new intakes and candidate
parties to enrol;
 Closer cooperation between Seda and TIA to be formalised through signing
of an MoU;
 Establish pool of skilled and experienced external ICT practitioners;
 Upgrade ICT infrastructure i.e. bandwidth speed, R&D & testing labs;
 ICT service portfolio more aligned to market opportunities;
 Service portfolio that focus on 6 areas identified in the ICT Research
Development and Innovation Roadmap;

22. Target Markets
 Successful incubators have a particular business focus clear target markets.
A clear target market enables incubator to develop appropriate marketing
strategies to reach target audience & position with an appropriate value
proposition.
 The CSIR’s (DST) 10 year ICT Research Development & Innovation
Roadmap outlines target markets which are applicable for ICT incubators.
 Target markets should include the following segments:
 SME start-ups
 School leavers
 University graduates
 Post graduate students
 Seda branches
 Development agencies
• ICT incubators to apply a “pull” marketing strategy with R&D, matching and
linking incubates with new opportunities identified that will ensure “pipeline”
of projects.

23. Market Viability & Opportunity
The consultation phase identified several opportunities
that confirm the market viability of ICT incubators and
common themes that emerged include:
 Gaming
 Animation
 Content development
 Security
 Cloud technology
 APS development

24. Market Viability & Opportunity - continued
Success of high-tech ICT incubators dependS on
recruiting and enrolling selected parties. A sound gate
keeping process must stringently applied for this purpose.
Opportunities emanate from ICT Research Development
and Innovation Roadmap (CSIR) AND confirm the viability
and opportunities for high-tech ICT incubators.
The ICT RDI aims to strengthen the DST’s role in the
growth of ICT sector.
It comprises 6 key clusters of opportunity i.e. areas of
significant and attractive market needs in which
entrepreneurs can respond by building on existing
capability.

25. Opportunities
Drivers
Global
· Individualism
· Green conscience
· Spend on entertainment
· Interaction on the move
· Urbanisation
· Wealth creation
· Aging population
South Africa
· Penetration of mobiles
· Spend on entertainment
· Bottom of the pyramid
markets
· Importance of social issues
· Affordability & localisation
· Younger population
Capabilities
Research
Organisations
Adjust own strategies to
align more closely with
opportunities, intent and
direction
Academic
Institutions
Create basis for more
coherent cooperation
between institutions in
the interests of increased
investment efficiency
Industry
With roadmap as unifying
plan opportunities for the
participation of industry
and of ICT sector players
in RDI activity are clear,
well-directed remain
always attuned to
delivering benefit &i and
managed.
In particular industry input
with respect to drivers of
demand and needs – both
for technology and for
skills – is essential to
ensure ICT. RDI activity &
education remain always
attuned to delivering
benefit & impact
Enablers
Monitoring &
Management
Implementation of a BV folio
Management Office (PMO)
enables coordination &
Management of all strategic,
tactical & operational activity in
transparent & integrated
manner.
Feasibility &
Planning
Structured & time-boxed
evaluation of developing and
new opportunities leads to rapid
& sound investment decisions
and prioritisation
Education &
Training
Through the introduction of
mechanisms to make visible the
nature & trajectory of forward
demand for ICT skills future
students shape & complete
their education with greater
success
Industry
Collaboration
Earlier, more active and
targeted engagement of
industry in the RDI value chain
strengthens the national
ecosystem
Government
Action
The structured evaluation of
market opportunities highlights
areas where policy and
regulation inhibitors can be
lightened or removed
Broadband
Infrastructure &
Services
Development
Sustainability and
the Environment
Grand Science
Industry
Applications
The Service
Economy
Opportunity
Areas

26. The roadmap developed on 4 pillars
Roadmap
Opportunities Drivers Capabilities Enablers
ICT Research Development & Innovation
Roadmap

27. Opportunity Clusters
It comprises 6 key clusters of opportunity i.e.
areas of significant and attractive market
needs in which entrepreneurs can respond by
building on existing capability.

28. Opportunity Clusters
Opportunities were identified where the application of ICT can help
respond to needs. These opportunities were grouped in six clusters
that represent areas of significant & attractive market need as follows:
 Broadband Infrastructure & Services
 Development
 Sustainability and the environment
 Grand science
 Industry applications
 The service economy

29. Six key clusters of opportunity
Market Opportunities Identified
Broadband Services &
Infrastructure
Future wireless technology
Broadband service
infrastructure
Development
E-inclusion
Development
Agriculture
Sustainability and the
Environment
Green & ICT
Global Change
Geo-spatial Applications
Grand Science
Astronomy
Bio-medical Sciences
Industry Applications
Smart Infrastructure
Mining
Manufacturing
Future internet applications
Content creation & delivery
Supply chain optimisation
Asset management
The Service Economy
M-Health
E-services
Education
Business model, Innovation
Payment solutions
Outsourced SA capability
Systems integration
Mobile enabler
Trust & security

30. High-tech ICT Service Portfolio
The stage of a business or start-up has a bearing on the type
of service offered and required. The process of creating and
developing ICT businesses has four distinct stages as follows:
 Conception: the entrepreneur identifies a market niche / need on the part
of a specific target public and decides to open a company. The focus of this
stage is development of a consistent business plan.
 Emerging Company: based on the already elaborated Business Plan,
entrepreneurs begin developing the product and/or service to be offered.
The objective at this stage is to have at least one prototype of the product to
be offered. The legal formalization of the company may also occur in this
stage.
 Consolidation: the next stage in the evolutionary process of the company
is consolidation in the market in which it has opted to function, with growth
in the number of clients.
 Growth: as of the companies’ consolidation, the business will seek out new
markets and expand its field of activity.

31. Remodel Funding Requirements
The revised model will require the following funding:
Capital expenditure:
R8million to upgrade ICT infrastructure and to create an enabling
environment entailing improved broadband speed, R&D and testing
laboratories.
Operational Expenses:
Additional incubator staff costs are projected at R2,28 million per year for
four ICT incubators based on engaging a central ICT researcher at Head
Office and appointing internal ICT managers or “Entrepreneurs in
Residence” at each incubator. They should be purely focussed on advising
start-ups and making sure they are getting the support they need. It also
means that there is someone who is fully focussed on the success of the
tenants/incubates with lots of experience in building high growth start-ups.
The alternative is to up-skill or re-skill and train enterprise development
managers to manage both portfolios of ED and ICT related service delivery
and development.

32. Physical Infrastructure Requirements
Key infrastructure requirements include:
 Transportation systems
 Electricity and communications together with
 Office space and lab facilities
 Conference facilities, meeting rooms and break-rooms.
 General office services are provided and include: telephone, receptionist, copy
services and internet access.
 The existence of a good infrastructure in the locality may not have a direct influence
on the incubator’s demand; but a deficient infrastructure may reduce the number of
companies interested in the ICT incubator’s support.
 To have a successful ICT incubator there must be reliable, high speed Internet
connectivity, a supportive banking and finance community, adequate numbers of
service providers to work with the entrepreneurs and premises that can be
developed, renovated or acquired.
 The most pressing challenge for creating an enabling high-tech ICT environment is to
upgrade broadband speed to 100 – 150mgb and making available laboratories
properly equipped with software and tools for developing new technologies.

33. Seed Funding
 Seed funding will be a key requirement for the successful launch of the remodeled high-
tech ICT incubators.
 Seda and the Technology Innovation Agency (TIA) are in an advanced stage to sign a
MoU and agreement to make available up to R500,000 for innovation-oriented projects.
The following activities can be supported by TIA for seed funding:
 Initial proof of concept (note that this assumes some level of proof of concept has been
achieved using research funding).
 Product, Process (comprehensive technology package) and Prototype development.
 Sourcing of IP opinions.
 Production of market samples and/or associated testing, analytical data and method
development and specification sheet development.
 Refining and implementing designs.
 Conducting field studies.
 Support of certification activities.
 Piloting and scale-up and techno-economic evaluation.
 Detailed primary market research, or specialist consulting.
 Business Plan Development.

34. Soft Landing Services
Refers to discussions between Stp and French Embassy to
collaborate by offering soft landing services for SA companies
interested in French market. Looking at cooperating on opening ICT
incubator in Cape Town as have a laboratory called ‘French Tech
Hub’.
The top five soft landing services identified through
consultations with Embassy representative are:
 providing easy access to networks i.e. relevant
contacts, investors, mentors, technology facilities
 office facilities with access to other entrepreneurs
 possible business development and scanning of local competitors
 sectoral knowledge and local specificities advices
 support in innovative company development: advice on milestones,
way to proceed, ability to be a member of a team

35. Incubator Manager
 Key requirements
 An effective, committed, knowledgeable incubator manager and staff are critical to
the effectiveness of an ICT incubator. The manager in particular needs to be able to:
 Lead the support team
 Manage the incubator‘s important networks
 Understand business needs of clients & pre-incubation businesses
 Support incubator staff in delivering effective services to meet these needs.
 Failure to employ a suitably skilled and motivated manager is one of
the key reasons for the failure of an incubator.
 Best practices suggest the need for and ICT manager or “Entrepreneur
in Residence” at a incubator. They should be purely focussed on
advising start-ups and making sure they are getting the support they
need.

36. Comments from Yesterday
 Goodbye bus plans ….hello action plans!
 Too many plans ….too little implementation!
 Move to innovation is crucial!
 If opportunity does not knock…build a door!
 Incubation challenge is creating 11 mil jobs!
 Need to re-energise & reorganise incubators!
 Encourage private sector investment!
 Access management advice & technical support!
 Development of techno pools NB to help SME’s is vital
 Differentiate between ‘innovation’ & starting business – greater uncertainty!
 Professional qualified practitioners non negotiable!
 Enabling environment is crucial
 Importance of ‘design” highlighted
 Education – need graduates that can count!
 Incubators is a business even if not-for-profit so without business sense cannot build
new businesses
 Boards are not effective
 Funding uncertainty not healthy
 Initiation – Ideation – Integration (adapt, refine & combine) potential for import replace
 Matchmaking is key for market access

37. Conclusions
The following conclusions are made from the study:
 Overwhelming evidence of need & viability for high-tech ICT incubators
 Strong need to develop ICT skills, up-skilling, import replacement of ICT
products and services and to better serve the needs of the ICT sector.
 Ideal locations of ICT incubators are main cities and metros
 Most important feasibility aspect is availability of a eco system to support
the incubators.
 Proposed remodel is aligned with DST’s ICT RDI Roadmap
 Key success factors for the new modelled ICT incubators are:
 Creating an enabling environment at each incubator
 Upgrading infrastructure i.e. broadband speed, R&D and validation laboratories
 Creating a pool of external skilled ICT service providers
 Stakeholder involvement and Public Private Partnerships
 Implementing a ‘pull’ incubation recruitment strategy to create a pipeline of ICT
projects linked with opportunities identified
 Securing and providing access to seed funding for incubates
 Quality of incubator management

38. Conclusions - continued
 Value proposition - Seda ICT incubators not aligned with ICT needs and
opportunities
 Gap in ICT service delivery as more of an ED approach, hence relevancy
questioned
 Competitive ICT incubation landscape, so reputation & performance is
important e.g. GGDA to convert Nazrec Media House into ICT Smart Hub as
all infrastructure available.
 Present reputation and image of Seda ICT incubators is less than
satisfactory
 While Business plans are in place they not ‘actionable’
 No matter how well plans have been developed it will be futile if right people
with right competencies, capacity & management abilities are not engaged or
trained
 Additional incubator staff costs are projected at R2,28 million per year for all
the incubators.

39. Conclusions - continued
 International companies in SA & see program for ICT build-out as a growth
opportunity not just ED points
 Success of incubation process in general depends on internal (incubator’s
resources and processes of selection, mediation, and exit) and external factors
(entrepreneurs and ideas flow into the incubator)
 The proposed ICT service portfolio is based on retaining the ED services but
expanding the ICT services
 Practices / services to be applied with different intensity depending on degree
of entrepreneur’s knowledge, mentoring, resources & team involvement needs
 The intensity of services and practices applied also heavily depends on an
entrepreneur’s capability
 Best practices suggest the need for and ICT manager or “Entrepreneur in
Residence” at high-tech ICT incubators
 CAPEX required to upgrade infrastructure & create an enabling environment
projected at R8 million i.e.infrastructure is required for improved broadband speed and
lab facilities

40. Recommendations
 Adopt and implement the remodelled ICT incubation program as follows:
 Accept remodel within 60days
 Develop overall high-tech ICT incubator business plan within 90 days
 Develop business plans for each Seda ICT incubator within 120 days
 Review & reselect new incubator boards with greater private sector participation
 Liaise with private sector to form PPP and sign MoU’s to avail pool of experts
 Finalise acceptance of the model for implementation
 Reposition the incubators as high-tech ICT incubators
 Facilitate improved and more active stakeholder involvement and PPP’s
 Create a pool of experienced and skilled ICT practitioners
 Clearly define target markets and admission criteria
 Offer portfolio of high quality ICT services (based on ICT RDI Roadmap opport’s)
 Manage in business-like manner to maximise value for money
 Develop high-tech ICT incubators in synergy with the ICT RDI
 Apply Governance Structure to meet needs of the remodelled ICT incubators

41. Governancestructure
Pre-Screening Process
Membership: Incubator Centre manager,
ED Officer, Private sector representatives
(as technical advisor)
Scope: Pre-screen/Prioritise applicants,
Projects. R&D needs, link with opportunities.
Management Committee
Management and Administrative:
- Incubator executive and staff
- Ensure enabling environment
Ownership:
- Managed by centres, under the
guidance of Seda Head Office
- Decision-making resides with executive
Seed Fund Management:
- Fund Management will reside with centres
- Funds will be invested to derive a return
and achieve commercial viability
Incubator and Project ‘Pipeline’
Development:
- Act as ‘clearing house’ in the introduction
of pre-screened projects to ‘marketplace’
- Identify and facilitate potential JV
partnerships and apply ‘pull’ approach for
prioritised key ICT innovation projects from
- Opportunity identification stage to completion
Strategic-level Board
Ownership: Co-Chair, Public & Private sector
- Selected members as participants
- Private sector – Big 5
- Public sector - DTPS, DST, Stp
Scope:
- Policy/Strategy Forum
- Annual/Bi-annual Review of Policy/Strategy and
Programme/Business Planning/Outcomes Review.
Operational-level Board
Membership:
- Private sector i.e. Bytes, Dimension Data, etc.
- Seda HO Nominee(s)
- Universities/Metros
- Funders – TIA
- Public sector
Scope:
- Governance and Steering Committee
- Monthly Review/Direct Project/Seed Funding
Assessment & Progress
- Overall Decision-making/Approval Body
- PPP Promotion
Impact Assessment Group
Membership:
- Seda Centre Executives & Stp
- Private sector representatives
Scope:
- Assess & monitor impact
- Technical assistance and Funding
assessments
- Assess projects for extent of seed funding
requirements
- Assess projects for R&D requirements
- Quarterly review with recommendations to
be submitted to the Ops Board for
decision-making/approval
Technical Advisory
External Pool of ICT Experts
- Private sector companies
- Service providers
- Universities
- Sector organisations and ‘think tanks’
Public sector:
- DTPs
- DST
- SEDA
- Other technical Advisory
Private sector:
- Sectoral/Industry Interest Groups

42. Seda ICT Incubators Softstart NMBSii SmartXchange Invotech
Operational budget 2015/16 R2,846,690 R4,750,000 R30,148,167 R2.500,000
No of full time staff 11 7 8 8
No of external service providers 8 ? 6 10
No of networking’s arranged 2 6 12 4
No of new ICT clients recruited 4 8 16 p/a 3
No active ICT incubator clients 12 58 60 23
No of training courses offered 0 24 12 1
No of ICT clients that attended 0 15 average 100 16
No ICT clients assisted 12 58 60 23
Funding applications handled 0 10 5 0
Value of turnover generated 0 R5,000,000 R163,341,337 R1,400,000
No of ICT client graduations 0 0 (4 expected) 9 (20150 0
Jobs created due ICT activities 6 23 307 (2015) 0
Cost per job created R474,448 R206,522 R98,203 R2,500,000
Budget submitted for 2016/17 R6,014,000 R6,577,962 R34,943,000 R3,500,000
Percentage increase on 2015/16 +211% +38.5% +16% +40%
No of active stakeholders? 3 5 20 12
List of stakeholders Seda
UP
TUT
1. Seda
2. NMNB
3. NMMU
4. Zonke Monitor
5. Agoa FM
1. EThekwini Mun
2. TIA
3. MICT Seta
4. Accenture/Vodaco
5. Mircrosoft/Cisco
1. Seda
2. DUT
3. TIA
4. SABS
5. eThekwini Mun
No of board members 8 8 8 5
Changes in board in last 2 years? 8 2 2 2
List the 2 main constraints you
experience hindering progress?
Financial
Short staffed
1. Ops budget
2. Seed funds
1 Lack of innovation
2 Ownership of bldg
Quality of entrepreneurs
Market access
List main lack of infrastructure TelecommunicationComputer
hardware
IT Lab
Funding 1. Slow internet
2. No owned bldg
3. Lack facilities
4. Lack testing facili
Internet