Safaricom Eyes Partnership with Starlink Amid Internet Competition

Safaricom, Kenya’s leading telecommunications provider, is exploring a potential partnership with Starlink, Elon Musk’s satellite internet service, which has made waves globally with its fast internet speeds and competitive pricing.

In a conversation with Bloomberg, Safaricom’s CEO, Peter Ndegwa, highlighted the possibilities of this collaboration, emphasizing how Starlink’s satellite technology could complement Safaricom’s services. He noted that satellite internet is particularly effective in remote areas, where fiber-optic networks, the backbone of Safaricom’s current infrastructure, often fall short.

“We’ve had discussions with Starlink and will continue exploring ways they can complement our offerings,” Ndegwa said. He stressed that Safaricom isn’t against satellite internet providers but believes satellite technology should focus on areas where traditional networks don’t reach. “Fibre is one of the best in the region, but satellite can fill the gaps in underserved areas,” he added.

Safaricom, which boasts 95% 4G coverage across Kenya and is expanding its fiber-optic network, has raised concerns with the Communications Authority of Kenya (CA) regarding how satellite services fit into the local market. Ndegwa clarified that their comments to the CA were part of public participation, ensuring that all stakeholders have a say in the growing market. “We’re not trying to block anyone. It’s about ensuring that competition is fair and benefits the country,” he said.

Some critics argue that Starlink is shaking up a market Safaricom has long dominated. But Ndegwa defended the company’s position, citing Safaricom’s heavy investments in infrastructure and its contribution to the Kenyan economy. “We invest $300-$350 million annually to enhance our services. We also pay $1 billion in taxes each year,” he explained.

President William Ruto recently weighed in, acknowledging that Starlink’s arrival has spurred healthy competition. Safaricom has since responded by upgrading its fiber services, introducing a Platinum package offering speeds of up to 1,000 Mbps. Meanwhile, Starlink’s new mini kit offers a more affordable and portable option, starting at Ksh.27,000.