American satellite internet startup Spacecoin has received regulatory clearance to roll out satellite broadband services in Kenya, setting the stage for the first serious challenge to Starlink’s near-monopoly in the country’s satellite connectivity market.
The licence, granted by the Communications Authority of Kenya (CA), authorizes Spacecoin to provide satellite-based broadband and Internet of Things (IoT) connectivity, with Kenya serving as a pilot market for its broader African expansion strategy.
Starlink’s Market Grip
According to CA data, Starlink, owned by Elon Musk, currently controls over 98% of Kenya’s satellite internet market, accounting for 19,470 of the country’s 19,762 satellite subscribers. Spacecoin’s entry, while modest initially, signals growing regulatory and commercial appetite for alternative providers in a market increasingly critical for last-mile connectivity.
Tae Oh, Spacecoin’s founder, commented:
Regulatory bodies are recognizing that decentralized satellite technology can deliver the scalability and affordability that traditional infrastructure cannot. Kenya’s approval reflects a shift towards more inclusive connectivity models for underserved regions.
Spacecoin has also secured regulatory approval in Nigeria through its parent company, Space Telecommunications, and is targeting additional pilot programs in Indonesia and Cambodia. In Africa, Nigeria is expected to become a second anchor market, given its large unconnected population and growing demand for non-terrestrial broadband solutions.
Building a Competitive Edge
Spacecoin has launched four low Earth orbit (LEO) satellites, forming its initial constellation. While this is a fraction of Starlink’s thousands of satellites, Spacecoin is positioning itself as a lower-cost, open-source alternative, leveraging local partnerships rather than a direct-to-consumer model. This partnership-driven approach could appeal to governments seeking to localize operations and reduce reliance on a single global provider.
For Starlink, Spacecoin’s arrival is not an immediate threat but serves as an early warning amid intensifying competition in Africa’s satellite market. Starlink is currently operational in over 25 African countries, but rivals are emerging. Amazon’s Project Kuiper has secured licences in Nigeria, while established players like Eutelsat, SES, Intelsat, Viasat, Iridium, Globalstar, and Omnispace continue to serve enterprise, aviation, maritime, and government clients.
Kenya’s Connectivity Landscape
Kenya’s satellite internet segment, once dominated by corporate and NGO users in remote areas, has expanded rapidly since Starlink’s entry, reshaping expectations around speed, latency, and affordability. Spacecoin’s decentralized model adds a new dimension, particularly for rural connectivity, smart agriculture, and IoT-driven services.
Oh added:
These partnerships show that Spacecoin is no longer just an idea, but a growing movement. It’s about building connectivity powered by people and built for people.
