One year after launching in Kenya, Starlink has rapidly risen to become the country’s tenth-largest internet service provider (ISP), attracting more than 8,000 subscribers, according to the latest report from the Communications Authority of Kenya (CA).
“Starlink Internet Services Kenya, licensed earlier in the financial year to provide satellite internet services, held a market share of 0.5 percent as of June 30, 2024,” noted the CA in its report.
Starlink’s swift growth is notable in Kenya’s highly competitive ISP market, where new providers often struggle to gain traction. Its success has been driven by high demand, particularly in underserved areas where traditional ISPs have lagged. This reflects a significant unmet need for reliable internet access in rural and remote regions, where Starlink’s satellite-based technology has become a game-changer.
Though Starlink’s current subscriber base is small compared to established giants like Safaricom, which has 545,000 subscribers, and Jamii Telecommunications, with 360,000, the potential for further growth is substantial. Unlike its competitors that rely on fibre-optic networks requiring extensive ground infrastructure, Starlink’s satellite system, supported by a network of over 6,000 satellites built by its parent company SpaceX, offers a unique advantage. This satellite model allows the company to offer competitive pricing without the significant infrastructure costs associated with fibre installations.
Starlink’s entry-level package is priced at KES 1,300 ($10) per month, providing speeds of up to 200 Mbps. For more demanding users, a residential plan costing KES 4,000 ($31) delivers speeds of up to 100 Mbps, often at a lower price point than comparable packages from other ISPs.
This competitive edge has put pressure on established players like Safaricom, which has called for stricter regulations on independent satellite providers. In response, Safaricom has increased its fibre internet speeds and introduced customer retention strategies to fend off potential Starlink users. Other ISPs have followed suit by offering discounts to stay competitive in the evolving market.
Despite the rivalry, Safaricom has signalled a willingness to collaborate with companies like Starlink. While no details have been confirmed, a potential partnership could see Starlink benefit from Safaricom’s vast distribution network, opening new avenues for expansion in Kenya.
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