Starlink's Sky-High Success Has Kenya's Safaricom Eyeing a Deal
It seems that Starlink’s entry has reshaped the market narrative.
Funny how things come full circle. Just last year, Safaricom was lobbying hard against satellite internet providers like Starlink, arguing they should be forced to partner with local mobile network operators before launching in Kenya. At the time, Starlink had reportedly approached Safaricom with a partnership offer, but the telco passed up on the offer.
Fast forward to today, and Starlink has become one of Kenya’s fastest-growing ISPs, while Safaricom is now actively seeking satellite partners to stay in the game.
In just three months, Starlink more than doubled its market share to 1.1%, jumping from 8,700 to over 19,000 users by December 2024, according to the Communications Authority of Kenya. It’s now the seventh-largest ISP in the country, outpacing long-time players like Dimension Data and Liquid Telecom. And remember, it only entered the Kenyan market in July 2023.
That momentum has clearly rattled Safaricom. During a recent earnings call, CEO Peter Ndegwa confirmed the company is in talks with satellite internet providers as part of a broader effort to expand its fixed broadband business. The focus seems to be reaching underserved and remote areas where traditional infrastructure has struggled, and where Starlink has been quietly gaining ground.
Wisdom Okogho
While no official partner has been named, many suspect the conversations could circle back to Starlink, especially now that the satellite giant has signed a regional deal with Airtel Africa. But this wouldn’t be Safaricom’s first satellite flirtation. Back in 2023, it had plans to launch services with AST SpaceMobile, a U.S.-based satellite firm, but that deal seems to have fizzled.
With a 36.1% share of Kenya’s broadband market, Safaricom still leads—but the pressure is mounting. Internet penetration across the country hovers around 40%, and Starlink’s rise is forcing incumbents to offer more competitive packages and look beyond fibre and fixed wireless. Regulatory changes are also brewing, with Kenya’s CA proposing to hike satellite ISP licence fees from $12,302 to $115,331, and even introducing new levies, partly due to complaints from local players like Safaricom.
Ultimately, Starlink’s entry has reshaped the market narrative. What once looked like a niche service for remote users is now a real contender. And in trying to block the competition, Safaricom may have just set the stage for its next big partnership.
Kelechi Edeh
