Safaricom calls for new regulations for satellite providers in Kenya

Safaricom has asked the Communications Authority of Kenya (CA) to reconsider its decision to grant license to satellite internet providers including Starlink, a unit of SpaceX owned by Elon Musk

Kenyas’ biggest telecommunications company has requested the CA to require that satellite providers operate in Kenya only through a partnership with a local license.

“We would propose that the CA instead consider mandating that such satellite service providers only carry out their operations in Kenya subject to such providers entering into an agreement with an existing local licensee,” Safaricom addressed in a memo.

The memo called on the Communications Authority to consider mandating that satellite providers operate as ‘infrastructure providers’ for mobile network operators such as Safaricom. It urged that this approach would ensure that providers invest in Kenya, create local jobs, and adhere to Kenyan laws.

Safaricom stated that allowing satellite ISPs to operate without a physical presence in Kenya would hinder the government’s ability to effectively regulate their operations. 

Starlink was launched in Kenya in July 2023 and has been relying on third parties for distribution. The satellite internet provider has introduced more competitive pricing options and plans, enabling Kenyans to rent the necessary hardware instead of having to buy it.

On August 21, the company introduced a Ksh. 1,950 ($15) monthly kit rental plan for users who can’t afford the Starlink hardware that’s currently selling at KSH 45,500($350). The new rental option provides a 50 GB monthly data plan with speeds up to 200 Mbps, putting pressure on local internet providers who offer similar packages at nearly double the cost. 

Data released by the CAK shows that satellite internet users had grown to 4,808 as of March 2024. 

Starlink is the world’s first and largest satellite constellation and uses a low Earth orbit to provide high-speed internet to users around the world. In Africa, it has been operating in countries such as mozambique, Zimbabwe, South Sudan and Benin. Despite facing some regulatory challenges in its implementation in other countries, the internet provider has received public praise for its affordable pricing options that prove to be more accessible by its users