Kenya’s leading telecommunication company has made a request to the Communications Authority to block satellite internet providers from operating without agreements with local licensees. This request could potentially impact Starlink, a satellite internet provider owned by Elon Musk, which has been gaining popularity due to its competitive pricing and promotions.
In a memo dated July 15, the telco proposed that satellite service providers should only be allowed to operate in Kenya if they have agreements with local companies. This move is aimed at ensuring better regulation and accountability for these providers.
Safaricom highlighted the importance of having satellite internet providers establish a physical presence in Kenya to facilitate effective regulatory oversight. The company also emphasized the need for these providers to operate under the license rights of local licensees.
Starlink’s rapid growth in Kenya, fueled by discounted hardware and affordable monthly plans, has led to an increase in users. This has prompted existing local players, including Safaricom, to enhance their marketing strategies to retain customers.
As Starlink continues to expand its user base through partnerships with resellers, Safaricom raised concerns about the limited control the government would have over these providers if they do not have a physical presence in the country.
Despite the growing competition in the satellite internet market, Safaricom has expressed interest in launching its own satellite internet service. The company currently holds a significant market share in the data sector.
Both Safaricom and Starlink did not respond immediately to requests for comments on the matter.
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