The Ilorin Innovation Hub has set its sights on an ambitious target: producing a billion-dollar startup within the next five years.

While Nigeria boasts at least five unicorns—startups valued at over a billion dollars, according to Africa: The Big Deal —most of these success stories originate from Lagos. Data from Statista reveals that Africa hosts 442 active tech hubs, with Nigeria accounting for approximately 90 of them.

However, innovation remains heavily concentrated in Lagos, which is home to around 603 startups, representing 71 percent of Nigeria's total, as per Startup Blink's report.

The Ilorin Innovation Hub aims to bridge this gap by fostering entrepreneurship and technological advancement outside the commercial capital, positioning Kwara State as a hub for emerging tech talent and business growth.

“We don't even have a lot of hubs in Nigeria, and most of them are in Lagos,” Temi Kolawole, the managing director of the Ilorin innovation hub, said.

Lagos is home to prominent hubs like Co-Creation Hub (CCHub), which built Yaba into 'Africa's Silicon Valley' and helped nurture startups like BudgIT, WeCyclers, Lifebank, and Andela.

The hub has served as a pre-incubation space for creative tech ventures and a gathering place for the nation's brightest technologists. When Mark Zuckerberg visited Nigeria in 2016, he stopped by CCHub, and Jack Dorsey followed suit in 2019. Today, CCHub's co-founder, Bosun Tijani, is Nigeria's Minister of Communications, Innovation and Digital Economy.

The Ilorin Innovation Hub, managed in partnership with CCHub and Future Africa, aspires to replicate this success. Kolawole stated, “We want to have a unicorn from here in the next five years.”

Beyond building a billion-dollar startup, the hub aims to improve startup activity outside of Lagos. It wants to produce 10 to 20 smaller startups that are doing well in the local economy in the shortest possible time.

Iyinoluwa Aboyeji, co-founder of Future Africa, an African-focused VC, echoed this optimism, emphasising the potential for growth in the next decade. “We want to build businesses with at least $1 million in revenue,” he said.

Mohamad Darwish, chief executive officer of IHS Nigeria, stated, “We are optimistic that this facility will support the rise of additional unicorns in Nigeria in multiple sectors, highlighting the depth and resilience of Nigeria's talent to compete in the global market.”

These startups' success will benefit the hub, which aims to be an early investor in these potentially successful entities. The new hub, which was built by IHS Nigeria and the Kwara state government, claims to be the biggest in West Africa as it covers a land area of over 13,000 sqm, with a seating capacity for over 1,000 users.

Beyond serving as a launchpad for startups, innovation hubs play a crucial role in skills development, fostering collaborations, and addressing systemic challenges. These hubs provide training in modern tech skills, support startups through incubation and acceleration programs, and connect key stakeholders, including governments, private sector actors, and investors.

With one of the world's youngest populations, Nigeria's potential to cultivate homegrown innovation is well documented. “Collaboration is key to success. The stronger our networks and partnerships, the more likely we are to succeed,” Kolawole, MD of Ilorin's hub, emphasised.

One of the biggest challenges for innovation outside Lagos is talent migration, as most young tech professionals leave for Lagos within 18 months of graduating from university. The Ilorin hub seeks to curb this trend by focusing on students from tertiary institutions in Kwara and neighbouring states.

Aboyeji of Future Africa highlighted, “Yes, some will leave, but others will stay and build businesses in Ilorin that can absorb more local talent.”

These students would be trained by tech experts from outside the states. “Right now, we are going to heavily rely on outside talents for most of what we want to do here,” Kolawole, MD of the hub, said, noting that the hub aims to scale local capacity quickly to match demand.

Beyond providing infrastructure and mentorship, the hub aims to establish a dedicated fund to support startups, allowing private and public sector stakeholders to invest in emerging businesses.

“We are setting up a fund that allows IHS, private sector partners, and even the state government to invest early in promising startups, particularly those focused on GovTech solutions,” Kolawole revealed.

Although the hub is fully owned by the state government, IHS Nigeria currently manages and funds it under an initial five-year agreement. “We are looking to extend it to 10 years,” Kolawole stated.

The Ilorin innovation hub, which costs about N5 billion, according to insiders, is expected to create over 10,000 direct and indirect jobs in the country.

Darwish, CEO of IHS Nigeria, said, “As Nigeria's backbone of digital possibilities, and an enabler of mobile connectivity, we believe this hub will create opportunities for millions of Nigerians with brilliant ideas looking for the facilities, training, expertise, mentorship and funding support to turn their ideas into viable businesses.”

Aboyeji of Future Africa added that the hub's impact would extend beyond startups, catalysing Kwara's economy by fostering digital innovation to solve local challenges. “Expanding the digital economy will stimulate more activity in the physical economy,” he stated.