Safaricom, Kenya’s leading telecom company, has made a deal with Starlink, the satellite internet service founded by Elon Musk. To understand this deal, we need to look at the tensions that led up to it. This was not just a disagreement; it was a clash between traditional telecom services and new satellite technology. Here’s how we went from conflict to cooperation and what it means for the Kenyan citizen.
Act 1: The Launch (July 2023)
When Starlink launched in Kenya in July 2023, it seemed like a luxury product. Its hardware cost around KES 89,000, so most people ignored it. But Starlink had a plan: it cut prices aggressively.
By mid-2024, Starlink reduced its hardware price to as low as KES 39,000 and introduced rental options, offering unlimited high-speed internet for about KES 6,500 a month. This caught the attention of people in rural areas where Safaricom’s services didn’t reach. Even users in Nairobi started switching due to better speeds.
The news spread rapidly. Starlink wasn’t just in the market; it was outperforming traditional providers.
Act 2: Safaricom’s Pushback (July – August 2024)
Safaricom responded strongly. They went to the Communications Authority of Kenya (CA) seeking to limit Starlink’s offerings.
In a letter that leaked to the media, Safaricom argued that:
- “Regulatory Imbalance“: Satellite companies like Starlink don’t have to invest as much locally, unlike Safaricom, which builds towers.
- “Data Sovereignty“: They raised concerns about a foreign company providing internet directly without a local gateway to oversee data.
- They demanded that satellite companies team up with local providers like Safaricom instead of selling directly to customers.
The public backlash was fierce. Many Kenyans accused Safaricom of trying to stifle competition because they feared losing their market dominance. This created a public relations crisis for them.
Act 3: A Change in Tone
Despite their efforts, Starlink continued to grow. Safaricom’s CEO, Peter Ndegwa, realised that fighting technology rarely works. So, he began to suggest that Safaricom was open to partnerships.
Act 4: The Peace Deal (November 2025)
This week, the deal was finalised, not just for Kenya but across the continent through Safaricom’s parent company, Vodacom Group.
Here’s what the deal includes:
- Safaricom will now sell Starlink services instead of competing against it.
- They will use Starlink’s satellites to improve internet connection for their towers in remote areas, allowing them to offer 4G and 5G where it was previously too costly to lay fibre cables.
- They will likely focus on larger businesses, such as mining companies and rural schools, combining support from Safaricom with Starlink’s wide reach.
Why This Matters
This situation creates a unique partnership.
For Safaricom: They stop losing customers to Starlink and profit from them instead. They also address the challenge of connecting remote areas.
For Starlink: They gain access to Safaricom’s customer base and distribution network, making it easier to reach more people.
For Kenyans: This should lead to better internet access in rural areas without the conflict.
The competition is over. Safaricom and Starlink have decided to work together. However, Safaricom entered this deal because they had to, not because they wanted to.
