Starlink Increases Subscription Fees in Nigeria, Doubles Residential Plan to N75,000
Elon Musk’s satellite internet company, Starlink, has announced another price hike, raising its Residential Plan subscription fee to N75,000 per month, up from the previous N38,000. The change is set to take effect for existing customers on January 27, 2025, while new customers will begin paying the increased rate immediately.
This announcement comes just months after a previous attempt at a price increment in September was suspended due to regulatory concerns raised by the Nigerian Communications Commission (NCC).
Starlink’s Justification for the Price Hike
In a message to subscribers, Starlink explained that the price increase is part of its efforts to enhance its network and ensure reliable, high-quality service across Nigeria. The company stated:
“To continue enhancing the Starlink network and delivering reliable, high-quality service across Nigeria, we are adjusting our monthly subscription prices. These changes reflect our commitment to investing in the infrastructure needed to support and improve your experience with Starlink.”
Starlink also emphasized that customers have the flexibility to cancel their subscriptions at any time if they choose not to continue with the service under the new pricing structure.
Impact on Other Subscription Plans
The price hike extends beyond the Residential Plan. Customers on Regional Roaming subscriptions will now pay N167,000 per month, while those on Global Roaming plans face a steep increase to N717,000 per month.
Regulatory Questions Remain
The NCC has yet to confirm whether it has approved Starlink’s latest price adjustment. When contacted, the Commission’s Director of Public Affairs, Dr. Reuben Mouka, stated that he had not been briefed on the development.
This uncertainty raises questions about whether Starlink has fully complied with the Nigerian Communications Act, 2003, which requires all telecom operators to obtain NCC approval before implementing any tariff changes.
Regulatory Context and Industry Reaction
Under Sections 108 and 111 of the Nigerian Communications Act, 2003, telecom operators are prohibited from adjusting tariffs without prior approval from the NCC. Violations of this regulation can result in financial penalties.
The NCC previously issued a disclaimer in September, stating that Starlink’s initial price hike had not been approved and was in violation of its license conditions. This led to speculation about potential sanctions against the satellite-based internet service provider.
The latest price adjustment could spark further controversy within Nigeria’s telecom sector, where local operators have long called for increases in data and voice tariffs. These calls have been met with resistance from the NCC, which has yet to approve similar adjustments for traditional telecom providers.
What This Means for Subscribers
Starlink’s price hike places it at a significant premium compared to traditional internet service providers in Nigeria. While the company has positioned itself as a reliable alternative for underserved areas, the steep cost may limit its appeal to a niche audience.
The move also underscores the ongoing challenges in Nigeria’s telecom sector, including regulatory compliance, competition, and affordability.
Final Thoughts
As Starlink moves forward with its price adjustments, the NCC’s response will be critical in determining the company’s long-term prospects in Nigeria. Subscribers, meanwhile, must weigh the benefits of Starlink’s high-speed satellite internet against the rising costs, especially in a competitive market where affordability remains a top concern.
