SA Launches R1 Million Tech Challenge to Spotlight Top Digital SMMEs

In a groundbreaking initiative aimed at identifying, supporting, and showcasing South Africa’s leading small, micro, and medium-sized enterprises (SMMEs) in digital technology, the Department of Science, Technology, and Innovation (DSTI) has officially launched the South African Tech Challenge 2025. This premier competition, launched in collaboration with the Council for Scientific and Industrial Research (CSIR) via the Innovation Bridge Portal, is set to uncover the country’s most promising digital innovators.

Unveiled on Tuesday, the challenge aligns with the broader national agenda to accelerate the digital economy and position South Africa as a prominent voice in global technology conversations. Specifically, the competition serves as a strategic platform to bolster the country's engagement in the G20 Digital Innovation Alliance (DIA) and the Startup20 working groups, both of which focus on technological advancement, digital inclusion, and startup development among G20 nations.

Purpose and Vision

According to a press release from the DSTI, the SA Tech Challenge aims to “not only provide recognition and exposure to exceptional SMMEs but also foster an environment conducive to growth, collaboration, and knowledge exchange.” This approach supports the broader goal of establishing South Africa as a dynamic hub of digital entrepreneurship while contributing to the G20’s themes of solidarity, equality, and sustainability.

The initiative is guided by a vision of using digital technologies to drive national economic growth, social transformation, and global competitiveness. With the support of numerous public and academic stakeholders, the competition also underlines the government’s commitment to nurturing home-grown innovation and bringing it to the world stage.

Who’s Behind the Challenge?

The SA Tech Challenge 2025 is being managed by Wits University’s Tshimologong Digital Innovation Precinct, a leading digital hub that has played a critical role in building South Africa’s startup and innovation ecosystem. In addition to the DSTI and CSIR, the initiative is supported by a coalition of departments and institutions including:

• The Technology Innovation Agency (TIA)

• The Department of Small Business Development (DSBD)

• The Department of Communications and Digital Technologies (DCDT)

• The Companies and Intellectual Property Commission (CIPC)

This collaborative approach ensures that the challenge benefits from diverse expertise, resources, and networks, thereby amplifying its potential impact.

What’s at Stake?

SMMEs entering the challenge will compete across six high-potential categories:

1. Digital Platforms

2. Fintech

3. Secured Digital Infrastructure

4. Circular Economy

5. Innovations for Connectivity

6. Innovations for Development (including agritech, health tech, and edtech)

Each category winner will receive a cash prize of R1 million, along with the chance to represent South Africa at the G20 DIA Summit in Cape Town, scheduled to take place from 24 to 26 September 2025.

Additionally, the top five finalists in each category will be hosted by the DCDT at the summit, where they will have the opportunity to present their solutions to a global audience of investors, mentors, and government leaders. This exposure could significantly accelerate their growth trajectories and open doors to new partnerships and funding.

Who Can Apply?

To qualify for the competition, SMMEs must meet the following criteria:

• Be South African-owned and operated

• Be operational for at least one year

• Have an annual revenue not exceeding R250 million

The DSTI emphasizes that the challenge is not just for established enterprises but also for emerging innovators who are making impactful contributions in their sectors.

How to Apply and Key Dates

Applications are officially open and will close on 30 June 2025. Interested SMMEs can apply through the dedicated portal at www.satechchallenge.co.za.

The finalists and winners across each category will be announced on 31 July 2025, providing them with ample time to prepare for their participation in the September summit.

National and Global Significance

By aligning with the G20 DIA and Startup20 initiatives, the SA Tech Challenge also provides a framework for broader collaboration, not just within South Africa but also internationally. It highlights how innovation, when supported at a national level, can lead to significant cross-border impact—be it through partnerships, knowledge exchange, or market expansion.

According to the Department of Communications and Digital Technologies (DCDT), integrating the challenge with the upcoming G20-DIA Summit reflects South Africa’s ambition to “showcase South African ingenuity and connect local SMMEs with networks that can accelerate their journey.”

This is more than a competition—it is a catalyst for transformation, enabling South African innovators to take their place on the global digital stage.