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Safaricom cuts fibre prices as Starlink faces decline in Kenya

Safaricom cuts fibre prices as Starlink faces decline in Kenya

Safaricom has slashed the cost of new business fibre connections by 25% for the next two months, targeting firms in fibre-ready buildings as satellite rival Starlink grapples with a shrinking user base.

The price cut, announced at a Nairobi business forum on Monday, lowers the entry-level 15 Mbps plan to KES 2,249 ($17.44) a month from KES 2,999, while the 100 Mbps package now costs KES 4,724 ($36.62), down from KES 6,299.

With 678,118 fixed-internet subscribers and a 36.5% market share, Safaricom is pairing the promotion with new business credit products aimed at small and medium-sized enterprises — a segment also being pursued by Liquid Intelligent Technologies and Jamii Telecom.

The offer comes as Starlink’s Kenyan customer base fell to about 17,000 in March 2025 from roughly 19,000, amid reports of network congestion. Starlink has since installed new ground stations near Nairobi to boost capacity.

Safaricom’s ties with Starlink remain ambiguous. The telco hinted at a possible satellite internet partnership in May, shortly after Airtel Africa made a similar announcement, but no deal has been confirmed. In June 2024, Safaricom urged the Communications Authority to revisit satellite internet regulations — a move some viewed as an attempt to slow Starlink’s growth.

In rural and peri-urban markets, where satellite services have stronger appeal, Safaricom has been selling 5G home routers at KES 3,000 ($23.26) and monthly plans starting at the same price.

Starlink’s Gen 3 kit costs up to KES 50,000 ($387.60), with unlimited data at KES 6,500 ($50.39) a month or a capped 50 GB option at KES 1,300 ($10.08). Analysts say the price gap gives Safaricom an edge with cost-conscious households and small businesses.