Starlink has introduced a cheaper kit and a $30.87 monthly residential plan in Kenya three days after Safaricom increased its fibre internet speeds to compete with the Elon Musk-owned satellite internet service.
The Starlink Mini will cost $208.38 (KES27,000), with a maximum speed of up to 100mbps, which could attract price-sensitive customers. In July 2023, Starlink launched in Kenya with the KES45,000 ($347.25) kit.
Starlink’s residential Lite plan will intensify competition for subscribers nationwide, as users opt for cheaper and faster internet. In August, Starlink introduced a $15 monthly kit rental plan.
On Monday, Safaricom, Kenya’s biggest ISP, upgraded its internet speeds to respond to Starlink’s growing popularity. The 10Mbps package was increased to 15 Mbps at KES 3,000 ($23), while customers on the 20mbps plan upgraded to 30Mbps.
The telco also doubled the speeds for 40Mbps users and increased fivefold the 100Mbps package. It also introduced the 1Gbps package at KES 20,000 ($155) for heavy internet users.
Safaricom has also been pressuring the Communication Authority of Kenya (CA) to block satellite ISPs like Starlink, highlighting the threat to the firm’s dominance in Kenya’s broadband market.
Safaricom, which plans to launch a satellite internet service, has a firm grip on the data market, with a 36.7% market share. It has 14,000km of fibre optic cable connecting about 400,000 customers.
