SpaceX’s Starlink is shaking up the Kenyan internet market with its new rental option. Starting now, Kenyans can rent a Starlink kit for just KES1,950 (about $15) per month. The kit, which typically costs KES45,000 ($350) to purchase, comes with a one-time activation fee of KES2,700 (around $21).
This rental option is distinct from Starlink’s monthly internet service plans available to kit owners. For those who own their kits, Starlink offers a 50GB plan at KES1,300 ($10) or an unlimited plan at KES6,500 ($50), both providing speeds of up to 200 Mbps.
This isn’t Starlink’s first move to make its services more affordable for Kenyan users. Back in June, the company introduced a budget-friendly monthly package for KES1,300 ($10).
Since its launch in July 2023, Starlink has seen rapid growth in Kenya, according to the Communications Authority of Kenya (CA). It’s now competing with local internet service providers like Skynet and NTvsat.
“The launch of Starlink’s Internet services in the country played a major role in driving the uptake of broadband services. Generally, the sector is expected to keep growing following the roll out of new technologies and services,” a CA report said.
Starlink’s entry into the Kenyan market has intensified competition among internet providers. In response, Safaricom, which reported 522,000 fixed data subscriptions as of March 2024, has begun offering 5G routers to attract customers beyond its fiber network’s reach.
Starlink has made significant strides across Africa, but its journey has been mixed. Last week, the Independent Communications Authority of South Africa (ICASA) issued a draft proposal aimed at regulating satellite companies like Starlink. This move is notable given that in November 2023, ICASA had warned against the import and sale of Starlink terminals in South Africa, deeming it illegal and threatening fines.
In contrast, while Starlink expands in some regions, it faces setbacks elsewhere. In April, Cameroonian authorities banned the import of Starlink satellite kits and began seizing equipment at the border. Additionally, the company disconnected users in unauthorized areas, such as South Africa, earlier this year.
Despite these challenges, Starlink is making progress in several African countries, including Benin, Nigeria, Rwanda, Malawi, Mozambique, and Zambia. As the company continues to extend its reach across the continent, it will be intriguing to see which new markets it enters with its rental kits.
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