Kenya’s President William Ruto has voiced his support for the entry of Elon Musk’s Starlink into the country, highlighting that the satellite internet provider is driving competition and pushing local telecommunications companies like Safaricom to enhance their service quality.
Speaking at the US-Kenya Business and Investment Roundtable in New York during the UN General Assembly, Ruto addressed concerns raised by Safaricom, Kenya’s largest telecom company.
“I have my CEO for Safaricom here, sometimes he is not happy with me for bringing in some other characters like Elon Musk and others in the space,” the President said.
Safaricom recently appealed to the Communications Authority of Kenya to ensure that satellite internet providers like Starlink collaborate with local mobile operators.
In a letter to the regulator, Safaricom warned of the potential risks of satellite services extending across borders without proper licensing, which could lead to harmful interference.
“Satellite coverage inherently extends to multiple territorial borders and, in doing so, has the potential to illegally provide services and cause harmful interference within the territorial borders of the Republic of Kenya,” Safaricom said in the letter.
However, Ruto dismissed these concerns, emphasizing that competition fosters growth and innovation.
“I keep encouraging Peter (Ndengwa, CEO of Safaricom) that competition keeps you ahead, and he’s been doing well, I must admit,” Ruto said, referring to Starlink’s introduction of competitive pricing and hardware rental options for Kenyan users.
Starlink’s launch in Kenya has led to significant changes in the market, especially with the introduction of more affordable internet access. President Ruto further elaborated that his administration is modernizing Kenya’s policies to attract international investors. One key reform includes allowing 100% ownership of ICT companies, eliminating the previous requirement for local partners.
In addition, Ruto spoke about Kenya’s efforts to align corporate tax regulations with global standards and enhance the country’s Export Processing Zones and Special Economic Zones to boost competitiveness.
“We are also working to make Kenya’s Export Processing Zones and Special Economic Zones the most competitive in Africa,” he added.
Additionally, he said, the government is expanding ICT infrastructure to bridge the digital gap, unlock opportunities in the digital economy and drive innovation.
Safaricom has responded to the growing demand for faster internet by increasing its speeds for both home and business customers.
The telecommunications giant has introduced a new ultra-fast 1000 Mbps (gigabit per second) Platinum plan for Home Fibre users, priced at KSh 20,000 per month.
This move positions Safaricom as the first telco in Kenya to offer Giga speeds for home internet, targeting heavy users such as gamers, content creators, and users of virtual reality applications.
The rollout comes in response to rising competition from Starlink, Elon Musk’s satellite internet service, which has entered the market with speeds of up to 200 Mbps for small businesses. Starlink’s competitive pricing and hardware rental options have disrupted the local market, prompting Safaricom to up its game.
In a statement, Safaricom said, “Current customers will automatically be upgraded to the enhanced packages to enjoy the faster speeds,” emphasizing that the new plans aim to meet the evolving needs of both individual and enterprise customers.
The telecom company is also enhancing its 4G and 5G mobile data services to further compete with Starlink, which is expanding its satellite internet coverage across the region.
Safaricom has also launched the Family Share plan, an integrated solution combining mobile voice, data, SMS, and home internet into a single, convenient package.
As Safaricom continues to boost its fibre and mobile offerings, the competition in Kenya’s internet market intensifies, offering consumers more choices and faster connections than ever before.
“Nairobi, home to the globally recognised Silicon Savannah, is the centerpiece of our strategy to make Kenya a leading tech hub, with Konza City as Africa’s top destination for investment and innovation,” he said.