Elon Musk’s Starlink has rapidly ascended to become Kenya’s seventh-largest internet service provider (ISP), surpassing established local competitors such as Dimension Data and Liquid Telecommunications Kenya in just six months after entering the country’s top ten ISPs.
As of the latest data from the Communications Authority of Kenya (CA), Starlink has amassed a user base of 19,146, an increase from 16,786 users three months prior, capturing approximately 1.1% of Kenya’s internet market. While Starlink still lags significantly behind the market leaders, Safaricom and Jamii Telecommunications, its swift growth indicates a notable shift in Kenya’s competitive broadband landscape, particularly as satellite services gain traction in regions where traditional fiber and fixed wireless networks face challenges in providing connectivity.
The rapid expansion of Starlink has also contributed to an increase in satellite internet adoption across Kenya. In contrast, other satellite providers, including Viasat, Indigo Telecom, and NTvsat, collectively serve only 257 customers, highlighting Starlink’s dominance in this niche market.
However, Starlink’s growth has attracted heightened regulatory scrutiny. Local ISPs, including Safaricom and Airtel Kenya, have raised concerns that Starlink’s expansion could distort competition within the market. In response to these concerns, the CA has announced plans to significantly increase satellite license fees from $12,302 to $115,331 and to impose a 0.4% levy on annual turnover. These measures could potentially hinder Starlink’s momentum in the region.
Despite facing regulatory challenges, Starlink is solidifying its presence in Kenya through the establishment of local infrastructure and competitive pricing strategies. In December 2024, the company launched a ground station in Nairobi, which has successfully reduced latency from 120 milliseconds to just 26 milliseconds.
Additionally, Starlink has implemented aggressive pricing strategies, including a temporary promotion that reduced installation kit prices, the introduction of a $10 50GB data plan, and the option for hardware rentals. Looking ahead to 2025, Starlink plans to deploy satellites capable of connecting directly to mobile devices, eliminating the need for hardware kits and intensifying competition with traditional telecommunications companies.
Despite these advancements, Starlink remains a minor player in the market, holding only a 1.1% share compared to Safaricom’s commanding 36.1% and Jamii Telecommunications’ 23.6%. To effectively challenge Kenya’s dominant internet providers, Starlink will need to implement further strategies to enhance its market presence and customer base.
