Elon Musk’s Starlink has suspended orders for residential internet kits across Nigeria until the Nigerian Communications Commission (NCC) approves proposed price adjustments. The residential plan, previously priced at ₦38,000 per month, remains suspended, but customers can still subscribe to Starlink’s business plan, which costs ₦159,000 per month.
In a statement on the suspension, the company explained its focus on improving internet delivery in Nigeria and its current strategy to gain regulatory approval for the planned changes. “We will suspend new residential orders until these changes are approved,” Starlink revealed.
Starlink, which launched its operations in Nigeria in January 2023, has seen high demand for its satellite internet services, especially in urban centres such as Lagos, Abuja and Port Harcourt.
Earlier this year, the company halted new orders in five major cities, citing production capacity issues. However, the current suspension applies nationwide and is linked to regulatory issues related to planned price hikes.
The growing popularity is not limited to Nigeria. Starlink terminals in Harare, Zimbabwe, were also reportedly sold out less than two months after the service was launched in the country, highlighting the growing demand for reliable internet access across Africa.
The crux of the matter is that Starlink is seeking to increase monthly subscription fees by 97% to ₦38,000 to ₦75,000 and the price of hardware kits by 34% to ₦440,000 to ₦590,000.
The company attributed these adjustments to “excessive inflation”. However, the announcement drew criticism from local operators, who accused the NCC of applying double standards by allowing Starlink to propose price increases, with Nigerian operators arguing that the request had been rejected for years.
The NCC refused to approve the price increases on the grounds that Starlink’s actions violated sections 108 and 111 of the Nigerian Communications Act of 2003 and the company’s license conditions. The regulator then initiated preventive action against the company, stressing that any price changes must comply with existing guidelines.
In response to the regulator’s objections, Starlink put the price increase proposal on hold, warning that its ability to continue providing high-speed internet in Nigeria depended on the necessary approvals. The company said that “without these approvals, our ability to continue providing services is at risk”.
Starlink is working to overcome these challenges. The suspension of residential orders has left many Nigerian consumers in limbo with no clear timeline for a resolution.