Emerging technology hub along with Kenya's capital Nairobi

Over the past decade, Kenya’s tech development story has been largely centered around Nairobi, known as the “Silicon Savannah.” Startups, venture capital, accelerators, and policymakers have all concentrated in this city. But that is changing. With the expansion of fiber optic connectivity, growth of higher education institutions, development of logistics corridors, and region-specific needs driving innovation, Kenya’s tech economy is now spreading across multiple cities. Konza, Kisumu, Mombasa, Eldoret, and Nanyuki are emerging as distinct innovation hubs based on their own economic logic.

This geographical diversification is critically important. It will determine whether Kenya develops a resilient, broad-based tech economy or remains dependent on a single city. In 2023, Kenya’s digital economy accounted for 5.9% of GDP, with projections to reach 9% by 2025. The ICT market, valued at $10.5 billion in 2024, is expected to grow to nearly $15 billion by 2030. By 2028, the digital sector alone could contribute KES 662 billion ($5.1 billion) to GDP and support over 300,000 new jobs.

Konza: An Ambitious Advanced-Technology City

Located 60 km southeast of Nairobi, Konza Technopolis has made significant progress over the past year. The national data center now provides cloud services to government agencies and private companies. Meanwhile, the Kenya Advanced Institute of Science and Technology (KAIST), inspired by South Korea’s similar institution, is underway. The institute plans to launch academic programs in 2026, marking a key step toward research-driven development.

Konza’s most ambitious effort is to build an advanced city from scratch. Its success will largely depend on whether the country can maintain long-term policy commitments beyond election cycles.

Kisumu: The West’s Agricultural Tech Hub

Approximately 400 km west, Kisumu is emerging as the primary innovation gateway for western Kenya. Its economy is rooted in a mix of trade, agriculture, and fisheries. Organizations like LakeHub are investing beyond community training into talent development through Zone 01 Kisumu, a local coding school.

Startups like AquaRech, agriBORA, and Kijenzi focus on local challenges—crop management, manufacturing tech, fisheries supply chain optimization, and cold chain logistics. Kisumu’s key advantage is that its innovation is closely tied to the real economy. Solutions directly address the needs of traders, farmers, and cooperatives.

Mombasa: Port-Driven Innovation Ecosystem

The port—largest in East and Central Africa—and the Indian Ocean define Mombasa’s identity. The city’s cultural heritage leans toward creative, tourism, and hospitality industries. As a result, a hybrid tech-art scene has developed around SwahiliPot Hub. SwahiliBox supports hardware experimentation, while Pwani Teknowgalz leads gender-inclusion initiatives.

The city’s strategic focus is on maritime logistics, fisheries, and hospitality technology. This concentration links local economic strengths with technological innovation.

Eldoret: Digital and Agricultural Talent Hub

Known as a city of world-class runners, Eldoret is now transforming into a digital talent hub and agri-tech laboratory. EldoHub equips youth with skills for the digital economy. It also supports digitalization of grain farming, dairy value chains, and agricultural finance through companies like agriBORA.

The city benefits from proximity to tertiary institutions like Moi University and Kenya’s largest grain-producing region. Feedback loops between products and users are short, enabling rapid iteration.

Nanyuki: Unexpected Electronics Manufacturing Ecosystem

Perhaps the most surprising emerging hub is Nanyuki. Dedan Kimathi University of Technology (DeKUT) has established a semiconductor manufacturing facility through its science and technology park. In 2024, this quiet region of tea and coffee production drew national attention for its entry into electronics manufacturing.

While software remains dominant across the continent, this deep industrial capacity development is a rare and significant move. It signals that Kenya’s tech ambitions extend beyond digital services into manufacturing.

Nairobi’s Established Role

However, these emerging centers are unlikely to displace Nairobi in the near future. Kenya’s capital remains the hub of investment, policymaking, and corporate partnerships. Nearly all Nairobi-listed companies are headquartered there, and most major funding rounds still close in Nairobi.

Nonetheless, rising operational costs, high tax rates, and inflation are making other regions more attractive. Improved county-level infrastructure, expanded university ecosystems, and the normalization of remote work have lowered barriers to innovation elsewhere.

A more geographically distributed ecosystem reduces risks for Kenya’s tech economy. It makes growth less dependent on the fate of a single city. It also more accurately reflects Kenya’s diverse economic sectors—agriculture, trade, logistics, healthcare, hospitality, tourism, and construction. As Nairobi maintains its strength, the rise of other cities signals a more resilient, diversified technological landscape.