Starlink, the satellite internet provider, has announced a significant increase in subscription fees for its Nigerian users, citing economic difficulties as the reason for the adjustment. The price hike impacts both new and existing customers.
What’s Changing?
For new customers, the price hike is already in effect, while current users will see the new rates starting October 31, 2024. The new rates are as follows:
- Standard residential plan: ₦75,000 per month
- Mobile regional plan (roam unlimited): ₦167,000 per month
- Mobile global package (global roaming): ₦717,000 per month
Why the Increase?
Starlink attributes the price hike to the rising costs of maintaining its services in the face of Nigeria’s ongoing economic challenges, specifically inflation.
In a message sent to subscribers, the company explained that revising its service fees was necessary to keep up with economic pressures. For those unwilling to continue with the new rates, Starlink assured that customers can cancel their subscriptions without any penalties.
Starlink’s Journey in Nigeria
This is the second time Starlink has raised its subscription prices in Nigeria since it launched in January 2023. Initially, customers paid in dollars, but the company adjusted its pricing to reflect the naira shortly after launch. Despite being priced higher than local Internet Service Providers (ISPs), Starlink has managed to attract a growing number of users, particularly in underserved regions where traditional ISPs struggle to provide reliable service.
Rapid Growth
According to data from the Nigerian Communications Commission (NCC), Starlink quickly grew its customer base, reaching nearly 24,000 subscribers by the end of 2023. This rapid growth made Starlink the third-largest ISP in Nigeria, surpassing many long-standing competitors.
The Road Ahead
Starlink’s ability to deliver internet service to remote and underserved areas has been its key selling point. However, with the latest price increase, it remains uncertain how many customers will continue to use the service, given the economic pressures already affecting Nigerian consumer.
