Starlink Halts New Residential Orders in Nigeria Amid Regulatory Hurdles and Price Controversy
November 21, 2024Starlink's service is particularly beneficial for communities with limited or no access to conventional broadband services.
Starlink has suspended new orders for its residential internet kits in Nigeria as of November 21, 2024, pending regulatory approval to increase prices.
The NCC cited violations of the Nigerian Communications Act of 2003 as the reason for their intervention regarding the price hike.
By the end of 2023, Starlink had rapidly grown to become Nigeria's third-largest internet service provider, boasting over 23,000 subscribers.
In addition to Nigeria, the company is expanding its services in Niger through a recent agreement with the military junta for improved internet coverage.
While facing challenges in Nigeria, Starlink has found success in other African countries, including Kenya, where it launched a kit rental option in August 2024 due to high demand.
This suspension was confirmed when customers noticed a notice on Starlink's website on November 20, 2024.
The cost of Starlink kits has risen by 34%, from $264 to $353, attributed to what the company describes as 'excessive inflation.'
Despite the suspension, Starlink remains committed to providing high-speed internet in Nigeria and is working closely with regulators to enhance customer experience.
Starlink had previously attempted to raise its monthly subscription fees by 97%, increasing the cost from 38,000 Naira ($23.10) to 75,000 Naira ($45.60) per month, but reversed this decision after intervention from the Nigerian Communications Commission (NCC).
This suspension follows a trend where Starlink paused new sign-ups in several African cities due to overwhelming demand, as confirmed by Elon Musk.
The company encourages customers to place deposits to reserve their service, indicating that the suspension will be lifted once the necessary regulatory changes are implemented.
Summary based on 5 sources
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Sources
Punch Newspapers • Nov 20, 2024
Starlink halts residential kit orders in Nigeria over regulatory hurdlesPunch Newspapers • Nov 21, 2024
Starlink suspends orders for residential kits in NigeriaITWeb Africa • Nov 21, 2024
Nigeria's runaway inflation impedes Starlink operations