Grace Ashiru
As Starlink’s internet service continues to navigate the intricate digital landscape of Africa, its entry into South Africa has not been without obstacles.
Originally set to launch in 2023, the company owned by Elon Musk finds itself entangled in a maze of regulatory hurdles and prolonged negotiations, causing its South African debut to be postponed indefinitely.
For a tech giant that aims to dominate space, the terrestrial challenges of maneuvering through South Africa’s complex regulations have emerged as a significant obstacle.
With an official launch remaining elusive, the company recently issued a notice announcing it would terminate connections for all individuals and businesses utilizing Starlink in unauthorized locations.
This disconnection will impact roaming customers who registered their kits outside of South Africa but have continued to access the service within the country, where Starlink currently operates without a license.
The prevailing assumption is that Starlink’s licensing issues stem from the stringent requirement outlined in the country’s Electronic Communication Act, which mandates 30% black ownership equity for any company wishing to operate. This regulation has proven to be a persistent challenge for Starlink.
Success Story Next Door
While challenges in South Africa seem relentless, the satellite internet company appears to be overcoming barriers in another neighboring country.
Starlink has officially commenced operations in Botswana, where it initially encountered similar obstacles. This launch marks the third African country to join the Starlink network within just this month, following successful introductions in Sudan and the upcoming launch in Ghana.
The debut in Botswana occurs three months after the Botswana Communications Regulatory Authority (BOCRA) granted Starlink its operating license, following a year of intense negotiations.
With traditional internet service providers struggling to deliver reliable connectivity, Starlink’s constellation of Low-Earth Orbiting (LEO) satellites in Botswana are set to be transformative, providing high-speed internet to even the most remote and underserved regions.
The service promises download speeds ranging from 50-250 Mbps, a significant improvement compared to Botswana’s current average of just 8 Mbps, as reported by the Ookla Speedtest Global Index.
However, accessing Starlink comes with a considerable barrier to entry, as hardware costs range from USD 600 to USD 2,500. This upfront expense can be a substantial financial burden for many potential customers, particularly in lower-income areas.
Smooth Sailing in Africa’s Giant
Meanwhile, in the West African nation of Nigeria—Starlink’s first market on the continent—the company is experiencing a surge of momentum rather than facing resistance.
Recently, Starlink established a strategic partnership with the Nigerian online marketplace Konga. This collaboration aims to deliver satellite internet services to underserved areas, effectively bridging the digital divide in regions that have limited or no terrestrial internet access.
To celebrate this partnership, Konga is launching a “Starlink Week” limited-time campaign, offering discounts and additional perks on Starlink kits available on the platform from Monday, August 26th to Saturday, August 31st, 2024. Notably, Konga serves as the only authorized shop-in-shop for Starlink in Nigeria, playing a vital role in making the Starlink kit accessible to a larger number of users.
Rising Challenge for Kenya’s Local Players
To the East, Starlink is not only providing high-speed internet to those who need it most but is also intensifying competition for local providers in Kenya. According to a previous report by WeeTracker, Starlink has gained substantial traction in Kenya, with its user base expanding tenfold in the first quarter of 2024 alone.
This rapid growth has drawn the attention of local competitors, with the country’s largest telecommunications firm, Safaricom, now advocating for stricter regulations on the satellite internet provider. There are concerns that Starlink’s continued expansion could undermine Safaricom’s market share and revenue.
Starlink’s journey across Africa has been characterized by a blend of successes and challenges. While the company’s expansion in some regions faces regulatory hurdles, it is making significant progress in others. With a population of 1.3 billion and only 40% internet penetration—the lowest globally—the African continent represents a vast market with even greater potential.
