Starlink closes in on Nigeria's telecom giants in data market

Date: 2024-05-20
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Starlink, a satellite internet service provider, is rapidly gaining ground in Nigeria's data market, seeking to catch up with leading telecom giants. According to the latest data from the Nigerian Communications Commission (NCC), Starlink's active subscriber base in Nigeria grew to 23,897 in the fourth quarter of 2023, representing a 113% increase from the previous quarter.

Despite being a relatively new entrant in the market, Starlink has generated significant interest due to its reliable internet access in areas with poor network coverage. Its ability to provide internet services in hard-to-reach areas has allowed it to quickly surpass many local ISPs that have been in operation for years.

To attract more customers, Starlink has reduced the price of its router by 45%, from N800,000 to N440,000, although the monthly subscription fee remains at N38,000. This move is seen as an attempt to catch up with leading telecom giants in Nigeria, which have a large customer base and extensive network coverage.

The NCC's database reveals that there are 245 licensed ISPs in Nigeria, but only 106 have active customers, with a cumulative total of 262,206 active users. In contrast, the country's four major mobile network operators - MTN, Airtel, Globacom, and 9mobile - have a combined total of 163.8 million active internet subscriptions.

Starlink's rapid growth and innovative approach are forcing traditional ISPs to re-examine their services and competitiveness. To keep pace with this new entrant, local ISPs will need to enhance their services and offer more value to customers.

By:  Nana Appiah Acquaye

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