In a bid to reclaim market share lost to the satellite internet provider Starlink, Kenya’s leading telecommunications company, Safaricom, has announced a significant reduction in its internet prices.
Safaricom’s move comes as a direct response to Starlink’s aggressive pricing strategy, which has caused concern among other local internet service providers.
Last week, Starlink introduced a new rental option in Kenya, allowing customers to rent a Starlink kit for just $15 a month.
To entice customers who have switched to Starlink back to its fiber network, Safaricom is offering a promotional rate of $38.61 for a 40Mbps monthly package, a significant discount from the regular price of $50.19.
Starlink’s rental option is designed to make its service more accessible to customers who cannot afford to purchase the hardware outright.
The kit, which typically retails for $350, can now be rented for $15.15 per month, with an additional one-time activation fee of $21. Customers can choose between a 50GB data plan for $10 or an unlimited package for $50.50.
Since its launch in Kenya in July, Starlink has rapidly gained traction, thanks in part to its reduced hardware prices.
The price of the Starlink kit has been lowered from its initial retail price of $687.26, making it more affordable for a wider range of customers.
Other major Kenyan internet service providers facing competition from Starlink include Airtel, Zuku, Telkom, and Faiba.
In response to Starlink’s entry into the Kenyan market, Safaricom has called on the government to regulate satellite internet providers.
In a letter to the Communications Authority of Kenya (CAK), Safaricom suggested that satellite providers should be required to partner with local network operators before obtaining licenses, citing concerns about the potential impact on the local telecom industry.