screen-shot-2013-12-17-at-15-54-50Thinking about starting a new business? Then consider starting one in Africa.

According to TechCrunch, several large companies and startup online business have received large amounts of funding to expand and start new ventures on the African continent. On Monday, German e-commerce incubator and cloning company Rocket Internet and MTN partnered to develop new internet ventures in Africa through Africa Internet Holding. Within the last 18 months, e-commerce ventures such as Jumia, Zando, Lamui, and Easytaxi have been developed in several African countries.

And the race for the African market continues. iROKOtv, the Africa-based video-on-demand platform that showcases Nigerian movies, popularly known as ‘Nollywood’, received $8 million in a funding round led by investor Tiger Global. With contributions from US-based investor Rise Capital the company raised a total of $21 million, making iROKOtv one of the most well-funded internet companies in Africa today.

The company plans to use the funds to move from a subscription based model to an advertising based on to build revenue. They also plan to flip their audience from Diaspora based to African. 50% of their current audience is based in the US and the UK.

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  • UgoBabeeeeee

    Will be interesting to see how this plays out: diasporian based audience versus african based audience….

  • Starla

    This is great news! I watch movies on Iroko all the time. They have a great website and I am surprised at the number of newer movies you get to watch for free. You have to have adblock on your computer though, as their ads are many during the movie, or buy the subscription to bypass the ads altogether. It will be interesting to see if moving to an ad-based revenue generation platform there will be an increase in the number of ads shown during the movie.

    • UgoBabeeee

      there is another distributor who puts nollywoods on web- and the content is ad free…hoping iroko doesnt discover them as they want to ruthlessly monopolize the distibution of nollys…i dont mess with iroko much-

  • Raya

    I get Afrotainment via my satellite service. Must admit, Nollywood (and Ghanaian) flicks have been a guilty pleasure of mine for years!

  • as someone who watches these movies all the time, i hope the bulk of that cash goes to hiring better writers and set. if you think tyler perry films are low quality wait til you encounter one that was written and filmed in one month…

  • Steppa

    At first I read that as a Nollywood film raised $21 million. I was like “woah nelly”!