In Kenya, individuals who find the cost of purchasing the Starlink internet kit prohibitive now have the option to rent the necessary equipment for a monthly fee of KES 1,950, which is equivalent to $15.15. This new rental opportunity was announced by the company on a Wednesday.
For those interested in this rental service, there is an initial activation charge of $21. Subsequently, customers have the choice of two data plans: a 50GB plan priced at KES 1,300 ($10) or an unlimited data plan for KES 6,500 ($50.50). Both plans provide internet speeds that can reach up to 200 Mbps.
In an effort to make its services more accessible, Starlink introduced a budget-friendly monthly plan costing KES 1,300 ($10) in June 2024. This competitive pricing strategy prompted local internet service providers (ISPs) to launch promotional offers in an attempt to maintain their customer base.
Since Starlink’s debut in Kenya in July 2023, the service has experienced a significant increase in its user base, growing more than ten times, which indicates a strong reception for the satellite internet service owned by Elon Musk. Starlink is in competition with other market players such as Skynet and NTvsat.
Prior to Starlink’s launch, Kenya had a modest number of satellite internet subscribers totaling 405. This figure rose to 1,354 within two months following Starlink’s entry into the market and continued to climb, reaching over 4,808 subscribers by March 2024, as reported by the Communications Authority (CA) of Kenya.
The introduction of Starlink has also driven existing ISPs in Kenya to enhance their service offerings in an effort to keep their customers and attract new ones.
Safaricom, which had more than 522,000 fixed data subscriptions by March 2024, responded by providing 4G and 5G routers, targeting customers located outside of its fibre network coverage area. Although Safaricom announced intentions to launch a satellite service in 2023, it has not yet been rolled out.
Another major player, Jamii Telecoms, which holds the second-largest market share in fixed data subscriptions and offers a fibre product, has been extending its services to areas on the periphery of Nairobi. This expansion is part of its strategy to become more competitive in the home internet sector.
The growing popularity of Starlink can be attributed to its success in catering to customers who are dissatisfied with the limited services provided by traditional ISPs, especially those in rural regions. Starlink’s commitment to delivering broadband services to areas beyond the reach of established providers has positioned it as an attractive alternative in the market.