As part of this initiative, the Tokyo-based multinational conglomerate, through Sony Ventures Corporation (SVC), has allocated $10 million to support early-stage startups operating in the gaming, music, film, and content distribution sectors.
Initial funding support will be directed towards early-stage startups in South Africa, Kenya, Nigeria, and Ghana, but there is a possibility for project expansion in the future.
Last year, SVC successfully concluded the initial round of funding for Sony Innovation Fund 3, amassing a total of $215 million, to support emerging technology companies at every stage of their growth.
The venture arm of the Japanese technology giant has executed over 100 investments in a wide array of sectors encompassing entertainment, robotics, AI, mobility, fintech, healthcare, logistics, and SaaS using the resources from these funds, both for consumer and enterprise-focused ventures, according to TechCrunch.
Gen Tsuchikawa, the CEO of Sony Ventures, affirms that the entertainment sector has been and will continue to be a primary area of focus for the Sony Innovation Fund.
“Africa, in particular, has a vibrant community of creators and entrepreneurs looking to invent new ways to enhance entertainment experiences for audiences and that propelled Sony to establish SIF: AF.”
The fund will also support the expansion of the African entertainment industry by offering technologies, partnerships with creators, intellectual property and content, and marketing support, among other things.
Tsuchikawa emphasizes that the fund’s investment strategy extends beyond seed and early-stage funding, as it will also provide follow-on investments to companies in its portfolio.
Regarding the investment scale, SIF: AF envisions ticket sizes ranging from $250,000 to $1 million. However, there is no specific timeframe defined for deploying the $10 million or a predetermined number of startups that the fund intends to invest in.