Starlink, the global satellite internet provider owned by Elon Musk, has reversed its recent service fee increase in Nigeria following concerns from both customers and the Nigerian Communications Commission (NCC).
This decision provides much-needed relief to Nigerians seeking affordable internet access and addresses the regulatory challenges the company faced in its pricing strategy.
Last month, Starlink raised the monthly service fee from ₦38,000 to ₦75,000 and increased the cost of its hardware kits for new customers from ₦440,000 to ₦590,000.
This price hike was intended to offset inflation costs and maintain operational viability. However, the NCC reacted strongly, stating that Starlink had violated Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003 by unilaterally adjusting its rates without obtaining regulatory approval.
The commission emphasized that Starlink’s unilateral price adjustments were made without the necessary regulatory approval, potentially undermining the stability of Nigeria’s telecommunications market.
A representative from the NCC remarked, “Such unilateral price changes can disrupt the market and harm consumers who rely on these essential services.”
In light of the regulatory pushback, Starlink announced it would temporarily suspend the price increase. The company stated, “Last month, we increased the monthly service price for Starlink in Nigeria to account for inflation, helping us maintain operations and continue delivering reliable service.
Today, we are temporarily suspending this price increase as we navigate regulatory challenges.” To assist customers already billed at the higher rate, Starlink plans to apply a one-time credit and reminded them that they could cancel their subscriptions at any time.
The NCC welcomed the suspension, with a spokesperson stating, “We appreciate Starlink’s responsiveness to our concerns and believe this is a positive step toward ensuring affordable internet access for all Nigerians.”
A Starlink representative stated in response to the NCC’s concerns.“We are committed to working collaboratively with the NCC to ensure compliance and uphold the integrity of our operations in Nigeria.”
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In light of the regulatory pushback, Starlink has temporarily suspended the price increase.
“Last month, we increased the monthly service price for Starlink in Nigeria to account for inflation, helping us maintain operations and continue delivering reliable service.
Today, we are temporarily suspending this price increase as we navigate regulatory challenges,” the company announced.
Additionally, Starlink plans to apply a one-time credit for customers already billed at the higher rate to cover the difference, reiterating that they can cancel their subscriptions at any time.
This suspension is expected to enhance internet penetration across Nigeria, providing individuals, businesses, and communities with better access to reliable digital services.
The NCC welcomed this move, emphasizing its commitment to protecting consumer interests while fostering a competitive telecom market.
“We appreciate Starlink’s responsiveness to our concerns and believe this is a positive step toward ensuring affordable internet access for all Nigerians,” said a spokesperson for the NCC.
Starlink’s commitment to Nigeria is further bolstered by partnerships with TD Africa and Konga, two major players in the region’s tech and e-commerce sectors.
TD Africa, a leading technology distributor, has facilitated the availability of Starlink kits across Nigeria and West Africa, ensuring that consumers can easily access the service.
Meanwhile, Konga hosts a Starlink shop-in-shop, providing consumers with genuine Starlink kits. “These partnerships are crucial in making satellite internet more accessible and promoting digital inclusion across the country,” Starlink noted.
With these collaborations, Starlink aims to improve connectivity in underserved regions, ultimately driving economic growth, supporting educational development, and enhancing healthcare services.
The reversal of the price increase, along with these strategic partnerships, signals Starlink’s commitment to providing high-speed internet access to Nigerians, especially in a country where digital inclusion remains a pressing issue.
