Elon Musk’s Starlink is taking a last-gasp attempt at the Kenyan market with price cuts for the second time in three months to nibble at Safaricom’s dominance in the internet provision market. According to Starlink’s website, hardware costs have been slashed to KSh 29,999 from KSh 45,000, a price valid until mid-August.
When Starlink entered the Kenyan market last July, the kits were KSh 89,000, the second most expensive across six African markets. The high cost scared away many potential customers, as a full setup could hit KSh 100,000 with monthly subscription fees of KSh 6,500.
In a new scheme, Starlink will include a cheaper 50GB data plan at KSh 1,300 in an attempt to break into the space that Safaricom and Airtel dominate. Much of the appeal is in its ability to provide high-speed, low-latency internet in many rural or remote areas.
Since its introduction, Starlink has increased satellite internet subscriptions in Kenya by 64% from December to March, raising the number of users to 4,808. This increase threatens to heat up competition for local providers like Vizocom, Telkom’s Skynet, NTvsat, and Globaltt, while Safaricom said it was planning to make forays into the satellite Internet market.
For instance, Starlink occupies a unique niche in the context of connecting smartphones to satellites in coverage gaps, making it a rather competitive player in the changing Internet landscape of Kenya.