PesaPay Could Disrupt Kenya’s mPayment Sector Through Its Open Source Model – Open Innovation Could Outpace Incumbents

PesaPay is a mobile payment service that enables instant online payments from the mobile phone. We allow businesses to cash out immediately on payments received on their phones. Possibly, this will go beyond the delay customers see in mPayment system in Africa. Also, the open innovation model could be quicker to ramp us development and allow 3rd party players to come on-board.


In a blog entry of this company, the following are reasons to embrace this company:

  • PesaPay is an open source payment gateway that is free for download and use.
  • PesaPay allows users free access to the source code hence enabling users to modify and futher develop the system to their own advantage.
  • PesaPay is a free transaction service and no commission is charged for any payments transacted using this gateway.
  • PesaPay is secure, direct and instantaneous thus allowing users to carry out transactions without the need for any intermediaries or agents.
  • By embracing an Open Source Movement through its social platform CrowdPesa, collaboration between users and developers is encouraged.  Also by sharing code between developers, technical progress is promoted as developments are shared within the wider development community.
PesaPay seems to understand a whole lot in the creation of tech companies. It seems that they have thought out the process of future growth and scalability. So, they chose open source application, as they noted in the blog post referred above.


One of the big problems with the proprietary software industry is that they build solutions that are best for them to sell, and that doesn’t always match up with what is best for the customer to use. In open source, the customer can get directly involved and that always means better software for the customer.
They also seem to have gone prime time with already market impact. They have piloted the app in which is a social media platform for Africa as well as using the system to collect registration fees for the Nairobi 2011 IPO48 Investors boot camp which they participated.   Find the IPO48 Kenya video pitch below.

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