Kenya’s tech sector expands beyond Nairobi

Kenya’s tech sector is undergoing a significant shift away from the traditional concentration in Nairobi, often referred to as the “Silicon Savannah.” This redistribution is fueled by infrastructure improvements, expanding universities, and sector-specific needs, leading to the emergence of distinct innovation centers in other regions. The evolution of Kenya’s tech economy could determine whether it develops a resilient, broad-based sector or remains reliant on Nairobi.

Konza

Konza Technopolis, located 60km southeast of Nairobi, has seen increased momentum recently. The National Data Centre has been established, providing cloud services to government agencies and private companies. Additionally, the Kenya Advanced Institute of Science and Technology (KAIST), modeled after a South Korean institution, is planned to launch academic programs in 2026, signaling a focus on research-led growth.

Konza represents Kenya’s most ambitious attempt to build an advanced-technology city from the ground up. Its success will depend on a long-term policy vision that extends beyond typical election cycles.

Kisumu

Approximately 400km west of Nairobi, Kisumu is emerging as a key innovation gateway for Western Kenya. The city’s economy, a mix of trade, agriculture, and fisheries, is diversifying.

LakeHub is a leading institution, expanding from community training to talent development through Zone 01 Kisumu, a peer-to-peer coding school. Startups like AquaRech, agriBORA, and Kijenzi are focusing on crop production, construction, fisheries supply chains, and cold-chain logistics.

Kisumu’s advantage lies in its focus on the real economy, developing solutions and software for traders, farmers, and cooperatives.

Mombasa

The port city of Mombasa, home to the largest port in East and Central Africa, shapes its local tech ecosystem. The culture leans toward the creative, tourism, and hospitality industries, resulting in a hybrid tech-and-arts scene.

SwahiliPot Hub is a central hub, with hardware experimentation at SwahiliBox and gender-inclusion efforts led by Pwani Teknowgalz. The city’s focus includes maritime logistics, fisheries, and hospitality technology.

Eldoret

Eldoret, known for its world-class athletes, is evolving into a digital talent hub and an agtech laboratory. EldoHub trains young people for the digital economy and supports startups digitizing grain farming, dairy value chains, and agricultural finance, such as agriBORA.

The town benefits from tertiary institutions like Moi University and its proximity to Kenya’s breadbasket, the largest grain-producing region, allowing for short feedback loops between product and user.

Nyeri

Perhaps the most unexpected hub is Nyeri, where Dedan Kimathi University of Technology (DeKUT), through its Science and Technology Park, has launched a semiconductor manufacturing facility. In 2024, the quiet tea and coffee-growing region gained national attention for its move into electronics manufacturing.

This represents a rare bet on deeper industrial capability within a continent largely dominated by software development.

Nairobi still matters

While these emerging hubs are gaining traction, Nairobi remains crucial. It will likely continue to be the center for venture capital, policy decisions, and corporate partnerships, as nearly all Nairobi Securities Exchange-listed companies are headquartered there. Most venture rounds still close in the city.

However, rising operational costs in Nairobi, driven by higher taxes and inflation, coupled with improved county-level infrastructure, expanding university ecosystems, and the normalization of remote work, have reduced barriers to building tech businesses elsewhere.

A more geographically distributed ecosystem diversifies risk and makes the tech economy less dependent on a single city, better reflecting Kenya’s real sectors, including agriculture, trade, logistics, health, hospitality, tourism, and manufacturing.