Tesla CEO Elon Musk has responded after President William Ruto said the satellite internet provider Starlink has disrupted Kenyan Market, prompting local internet providers to improve on their services.
While taking to his official X account, Musk reiterated Ruto’s sentiments that the satellite internet service provider has created competition, causing the existing players to provide better services.
“As the President of Kenya says, Starlink causes local competitors to provide better services,” Musk said.
Speaking during a United States – Kenya Business and Investment Roundtable in New York, President Ruto said that Safaricom CEO Peter Ndegwa was not happy about the entry of Starlink into the market.
“I have my CEO for Safaricom, sometimes he’s not very happy with me for bringing other characters like Elon Musk and others into the space,” Ruto said.
Ruto Speaks on Entry of Starlink in Kenyan Market
“But you see I keep encouraging Peter that competition helps you keep ahead. And he has really been trying because he has upped his game, so we want to keep that space competitive.”
This was the first time Ruto spoke on his stance over the Safaricom vs Starlink competition in the Kenyan market.
The head of State went on to encourage competition among players across the board to promote quality and effective delivery of services.
Stiff Competition Among Internet Providers
The service provider came to Kenya in July 2023, setting the stage for intensified competition with local players.
At the time, the company, which is an outgrowth of Elon Musk’s space technology firm SpaceX, appointed local internet provider Karibu Connect as its first authorized reseller in the country.
Also Read: Starlink: Cost, Advantages & How the Satellite Internet Service Works
In October, Starlink further expanded its presence by appointing e-commerce platform Jumia Technologies as its first distributor of satellite terminals and connectivity kits in Africa.
Kenyans and Govt Offices Using Starlink
Recently, government offices and officials and Kenyans in the country have reported moving from Safaricom, which is the dominant telco and internet provider, to Starlink.
Earlier, Elon Musk confirmed that Nairobi Governor Johnson Sakaja’s office has started using the internet provider as well.
“Starlink is now providing Nairobi City Hall with reliable internet with speeds ranging between 120 Mbps and 200 Mbps,” a user on X said before Musk responded.
The tech billionaire Elon Musk had also hinted at partnering with telecommunication companies worldwide as part of his expansion plans for Starlink.
Musk said Starlink’s direct-to-mobile phone service is exclusively partnering with T-Mobile in the United States for the first year, with plans to expand to other carriers afterward.
Also Read: Ruto Breaks Silence on Safaricom Vs Starlink Competition
American Service Provider Introduces Renting Option for Kenyans
In August this year, Starlink introduced a kit rental option in Kenya to offer an accessible solution for customers taking on local internet providers.
The offer allows customers to pay a one-time activation fee of Ksh 2,700 and rent the Starlink equipment at a monthly rate of Ksh 1,950.
However, these costs are separate from the monthly internet service plans, which start at Ksh 1,300 for a 50GB plan or an unlimited package for Ksh 6,500.
Without the rental option, users would need to purchase the hardware kit at a standard price of Ksh 45,500 to access the service
On its part, Safaricom has also implemented several changes to attract a broader customer base, including updating its airtime purchase policy for customers using the M-Pesa mobile payment service, which now allows for the purchase of airtime for as little as Ksh1.
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