Fireside Chat: Reflections on Investing in Deeptech and AI
A thought-provoking discussion on investing in deeptech and AI, dubbed "Fireside Chat," was led by Mohamed Salah Frad, General Manager of United Gulf Financial Services - North Africa, and Ahlem Gdouda, Ops Manager at InstaDeep, at the AfricArena Tunis Deep Tech & AI Summit held on October 15-16, 2024, at the Cité de la Culture in Tunis.
A Conversation Between Two Experts
Ahlem Gdouda, with her impressive background, took on the role of interviewer. Having worked at the intersection of technology and operations at Swiss Re in Cape Town, the African Leadership Group, and Meta in Singapore, before returning to Tunis to oversee infrastructure and processes for InstaDeep's engineers.
Mohamed Salah Frad, with 30 years of experience in corporate finance, asset management, and restructuring, echoed Gdouda's questions. As a former head of the Research Department and leading broker at the Tunis Stock Exchange, he now helps startups with investment and incubation at UGFS-NA.
A Lively Debate
The discussion began with a question: what can be done for young project holders? Frad shared his insights, drawing on UGFS's experience, which started with investments of 100,000 dinars and has now grown to 50 million dinars. Over 120 startups have already benefited, with more to come.
"We encourage projects based on deeptech and AI to find solutions to the continent's problems, specifically in four areas: healthtech, edutech, energytech, and agritech," Frad explained. "These areas include telemedicine to provide access to healthcare, solutions for remote work, renewable energy, and improving crop yields, water access, and disease management."
Frad cited promising experiences, such as the use of a multitasking robot named Atlas, which helps agricultural workers save time and energy by taking over routine tasks. He also mentioned initiatives providing internet access and dedicated educational tablets. Additionally, he highlighted new systems that utilize machine learning and AI to monitor energy management. Frad emphasized the potential of AI and deeptech in medical imaging, biopsy analysis, tumor targeting, and increasing productivity, ultimately leading to better patient care and saving more lives.
A Growing Trend in Tunisia
Gdouda noted that over 30% of Tunisian startups are already working on deeptech and AI, but the market is narrow. Some have turned to B2B, but there is no alternative to investing in this sector.
The Need for Public-Private Partnerships
Frad and Gdouda agreed that public-private partnerships (PPPs) are essential, but the state needs to improve legislation and revitalize its incentive system. This leverage will change the game, as Tunisians already have a liberal spirit and will understand the opportunities involved.
Conclusion
The final word emphasized the importance of PPPs in upgrading Tunisia's tech environment, as well as that of the entire continent. A collaborative approach could put an end to criticisms of inadequate regulations and mediocre incentive programs.
