Ruto Explains Decision to Welcome Starlink into Kenyan Telecom Sector

President Ruto has defended allowing Elon Musk's Starlink satellite internet company to enter the Kenyan market.

At the Kenya Business and Investment Roundtable in New York, President Ruto emphasized that Starlink's introduction has fostered healthy competition within the country's telecommunications sector. He acknowledges that while this move might not always please Safaricom's CEO, Peter Ndegwa, it ultimately encourages the company to enhance its services and maintain its competitive edge. Starlink, introduced to Kenya in July 2023, offers high-speed internet and extensive coverage, particularly benefiting remote areas where traditional internet service providers struggle to reach. The company, powered by SpaceX, utilizes a network of low Earth orbit satellites to deliver high-speed, low-latency internet connections.

This technology makes Starlink an attractive solution for rural and underserved regions across Kenya. In response to the increasing competition, Safaricom, Kenya's leading telecommunications provider, has taken steps to improve its services. The company has twice increased its data speeds for home and business customers, introducing a new ultra-fast 1000 Mbps (gigabit per second) Platinum plan priced at KSh 20,000 monthly. This premium offering targets heavy users such as gamers, content creators, and those employing virtual reality applications. Peter Ndegwa has acknowledged the competitive pressure while also highlighting the benefits of such rivalry.

He states that competition drives innovation and service improvement, reaffirming Safaricom's commitment to providing an optimal internet experience for its customers. In addition to enhancing its fibre and mobile data services, including 4G and 5G networks, Safaricom has launched the Family Share plan, an integrated solution combining mobile voice, data, SMS, and home internet into a single package. The entry of Starlink into the Kenyan market has not only intensified competition but also drawn significant attention to the potential of satellite internet in the country. Unlike the traditional fibre-optic technology used by competitors such as Safaricom, Telkom, Faiba, and Zuku, Starlink's satellite-based system offers a viable alternative, especially in areas with limited infrastructure.

SpaceX's CEO Elon Musk has responded positively to President Ruto's support for Starlink, agreeing that the company's presence has indeed sparked competition in Kenya. The adoption of Starlink's services by government offices, including Nairobi Governor Johnson Sakaja's office, further demonstrates the technology's appeal, with reported internet speeds ranging between 120 Mbps and 200 Mbps. The Kenyan government's decision to permit Starlink's operation aligns with its broader objective of enhancing digital connectivity nationwide.