Starlink has introduced a rental option for its internet kit in Kenya, allowing customers to lease the hardware for just $15.15 (KES 1,950) per month. This development, announced on Wednesday, is poised to significantly lower the barrier to entry for many Kenyans who have found the cost of purchasing the kit, priced at $350 (KES 45,000), prohibitive.
To activate the rental service, customers will need to pay a one-time activation fee of $21. They can then choose between two service plans: a 50GB plan for $10 (KES 1,300) or an unlimited package for $50.50 (KES 6,500). Both options promise speeds of up to 200 Mbps, offering flexibility and high-speed internet to users across the country.
The introduction of these rental options follows Starlink’s launch of a budget-friendly $10 (KES 1,300) monthly package in June 2024, a move that has already stirred competition among local internet service providers (ISPs), forcing them to roll out promotions in an effort to retain their customer base.
Since its entry into the Kenyan market in July 2023, Starlink, owned by Elon Musk, has witnessed a remarkable surge in user numbers, reflecting a strong adoption of the satellite internet service. Initially, the country had only 405 satellite internet subscribers three months before Starlink’s launch. This figure jumped to 1,354 within two months of its arrival and soared to over 4,808 by March 2024, according to data from Kenya’s Communications Authority (CA).
Starlink’s growing presence in Kenya has not gone unnoticed by established ISPs, who are now refining their offerings to maintain their market share. Safaricom, which boasted over 522,000 fixed data subscriptions as of March 2024, has responded by introducing 4G and 5G routers to attract customers in areas outside its fibre network coverage. While the telecom giant announced plans to launch a satellite service in 2023, it has yet to roll out this offering.
Similarly, Jamii Telecoms, the second-largest player in the fixed data subscription market with its fibre product, has been expanding its services to the outskirts of Nairobi in a bid to compete more aggressively in the home internet market.
Starlink’s rapid popularity in Kenya can be attributed to its ability to cater to customers who have grown dissatisfied with the limited offerings of traditional ISPs, particularly in rural areas. The company’s promise of delivering broadband services to regions beyond the reach of established providers has made it an increasingly attractive choice for Kenyan consumers.