An article by Mohamed Abdelmotaleb, Vice President and Head of NBA Egypt.

Imagine a future where Egyptian athletes consistently dominate the global sporting scene, not just despite limitations but because of a thriving sports technology and AI ecosystem. This isn't just a pipe dream; investing in this sector is not just a matter of national pride but a strategic economic and social imperative for Egypt. Here's why this sector deserves our attention and support.

Programmes like NBA Africa’s recently launched "Triple-Double: NBA Africa Startup Accelerator" offer a glimpse into the future. By funding and supporting sports startups that leverage AI and technology, we can ensure sports are truly accessible to all, regardless of age, gender, or social class. This will not only nurture a generation of passionate athletes but also unlock a new wave of economic and social opportunities for Egypt.

Economic Diversification and Growth

Investing in sports technology can significantly contribute to Egypt's economic diversification and growth. The global sports technology market, valued at approximately $12.2 billion in 2020, is expected to grow at a compound annual growth rate (CAGR) of 20.4% from 2021 to 2028. This growth indicates substantial economic opportunities for countries investing in this sector. By fostering a vibrant sports tech ecosystem, Egypt can create numerous high-skilled jobs in software development, engineering, data science, and sports management, helping mitigate unemployment among the youth and educated population.

Moreover, the expansion of sports technology introduces new revenue streams, such as digital content creation, sports marketing, and international collaborations. The global eSports market, projected to reach $6.75 billion by 2030 with a CAGR of 21.5%, is one such lucrative segment. Egypt can tap into this growing market by supporting local startups in developing competitive gaming platforms and related technologies.

Fostering Innovation and Entrepreneurship

Investing in sports tech startups stimulates innovation by encouraging the development of cutting-edge technologies such as virtual reality (VR), artificial intelligence (AI), and advanced analytics. Accelerators and incubators, like those highlighted by HYPE Sports Innovation, play a crucial role in nurturing these startups, providing essential resources, mentorship, and funding.

According to the Journal of Innovation and Entrepreneurship, digital technologies are pivotal in enhancing business growth and longevity. However, securing funding and overcoming regulatory barriers remain significant challenges for entrepreneurs. By addressing these issues, Egypt can create a supportive environment for sports tech startups to thrive.

Attracting Global Investment and Partnerships

A thriving sports tech ecosystem can attract international investors and partnerships, positioning Egypt as a hub for innovation in this field. This can lead to increased foreign direct investment (FDI) and collaboration with leading global tech companies. Egypt has been actively working to boost its FDI, projecting to reach $12 billion by the end of the 2023/2024 fiscal year. These investments are crucial for economic diversification and growth, particularly as Egypt aims to enhance its business environment and stimulate various sectors, including sports and technology.

The "Triple-Double: NBA Africa Startup Accelerator," for example, supports Africa’s tech ecosystem and the next generation of African tech entrepreneurs by providing them with access to mentorship and capital. This initiative helps drive growth in the sports and creative industries, fostering a collaborative environment that benefits all stakeholders involved.

Investing in sports tech startups in Egypt is about more than just fostering local innovation. It's about integrating the country into the global technology landscape, driving economic diversification, and supporting the development of a competitive startup ecosystem. By focusing on this sector, Egypt can ensure long-term economic growth and maintain its competitive edge in the global arena.