The African music industry is experiencing rapid growth, with the continent’s music scene buoyed by increasing global popularity among a young, tech-savvy population.
Digital music platforms like Boomplay, Deezer, Spotify, and Apple Music have played a key role in Africa’s growth, expanding access to African music on a global scale.
The widespread adoption of mobile technology and rising internet penetration further enable more Africans to stream music online and engage with a broader music community.
Also, the global recognition of African musical talent has been remarkable, with 2023 continuing this trend. Africa’s annual music streaming revenues are expected to increase from $92.9 million in 2021 to $314.6 million by 2026.
According to PricewaterhouseCoopers’ report, there will be significant growth in music streaming across major markets such as South Africa, Kenya, and Nigeria, with South Africa’s streaming subscription revenue anticipated to grow at a 10.5% compound annual growth rate, reaching R1.1 billion ($58.5 million) by 2027.
This projected increase has fueled the rise of innovative startups leveraging technology to transform music access and enjoyment across the continent.
Below is a list of some of Africa’s high-potential music startups that have successfully raised over $100,000 in funding or partnered with top music companies worth millions of dollars.
In 2020, Mdundo secured $6.4 million through an Initial Public Offering (IPO) to support its expansion across Africa. The IPO, listed on the Danish Stock Exchange, Nasdaq First North Growth Market, attracted nearly 3,000 investors.
Founded in 2012 by Martin Nielsen, Francis Amisi, Jura Sidorenko, and Kresten Buch, Mdundo offers free access to a vast library of popular African songs through its website and app.
The platform operates in 15 Sub-Saharan African countries, with a strong presence in Kenya, Tanzania, Uganda, Nigeria, and Ghana, and is gaining traction in markets such as South Africa, Zambia, and Zimbabwe.
Despite reporting a 41% year-on-year increase in monthly active users (MAUs), Mdundo’s revenues have fallen short of expectations due to a currency crisis in Nigeria. Listed on the Danish stock exchange and reporting in Danish kroner, Mdundo projects revenue between DKK 12 million and 14 million (USD $1.71 million to $1.99 million) for the fiscal year ending June 30, 2024. The platform currently serves over 5 million users monthly across Africa.
