A surprising trend is emerging in Kenya's fixed internet market: a notable decline in subscribers for Elon Musk's Starlink, despite overall market growth. Once hailed as a game-changer for its promise of fast, reliable satellite internet, Starlink is now seeing a steady exodus of customers who are opting to switch to local internet service providers (ISPs). The latest report from the Communications Authority of Kenya (CA) for the first quarter of 2025 paints a clear picture of this shift, revealing that Starlink lost nearly 10% of its subscribers during this period.
The numbers are telling. While Kenya's fixed internet market grew by an impressive 8.1%, "satellite internet subscriptions dropped by 9.9%," a decline that the CA directly attributes to the "drop in subscriptions of the low-earth-orbit satellite internet provided by Starlink Internet Services Kenya." This is particularly significant because it suggests that Starlink is failing to capitalize on the increasing demand for internet services, falling behind its local competitors.
A key factor driving this shift is a stark disparity between Starlink's promises and its performance. While the company claims to offer speeds ranging from 25 to 220 Mbps, a recent report from Ookla found that the median download speed in Kenya was a mere 47 Mbps. This is a far cry from the high-speed experience many customers were anticipating. The issue is further compounded by the high cost of the service. Chris Orwa, a data analyst and former user, revealed to Bloomberg that he was paying over KSh 15,000 a month for maintenance and service—a price more than three times what many local providers charge—for a connection that sometimes dropped below 10 Mbps.
The problem of high costs and slow speeds was exacerbated in late 2024 when Starlink temporarily halted new subscriptions due to network congestion in Nairobi and other densely populated areas. This move, while aimed at managing network performance, likely pushed many potential and existing customers toward more reliable local alternatives. The company currently promotes a KSh 4,000 monthly plan with a KSh 27,000 hardware fee, but this plan comes with significant restrictions that further deter potential users. As local ISPs continue to invest in their infrastructure, offering better customer service, more competitive pricing, and more consistent speeds, they are quickly becoming the preferred choice for Kenyan consumers.
