Safaricom is pushing back against the government’s decision to grant licenses to satellite internet providers like Elon Musk’s Starlink. The company has asked the Communications Authority of Kenya (CA) to reconsider these independent satellite service licenses. It warns that they could lead to illegal connections disrupting mobile networks.
Since Starlink, launched in Kenya in July last year, satellite internet usage has increased. It aims to reduce internet costs in a market dominated by Safaricom, Jamii Telecommunications Limited (JTL), and Zuku.
Safaricom believes that satellite operators should collaborate with existing internet service providers rather than operate independently. They claim that direct market entry by companies like Starlink could interfere mobile network quality.
In a letter, Safaricom called for a comprehensive risk assessment before issuing independent licenses to satellite providers. They suggest that satellite services should only operate through agreements with local licensees. This is to serve as infrastructure providers while leaving operating licenses to established mobile network operators (MNOs).
Safaricom also warns that without proper coordination, satellite services could interfere with mobile networks, negatively affecting users and related socio-economic benefits. The Communications Authority has given satellite landing rights to 10 companies, including Starlink, which has created competition, particularly in remote areas not yet covered by traditional technology.
Starlink recently introduced a rental plan for its equipment, allowing Kenyans to lease the hardware for Sh1,950 per month, in addition to the Sh1,300 charge for 50GB of data or Sh6,500 for unlimited data. Also users can purchase the hardware for Sh45,500. Kenya is one of the few African countries that have approved Starlink, along with Nigeria, Rwanda, Mozambique, Malawi, Zambia, Benin, and Eswatini.
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