Starlink, Elon Musk’s satellite internet service, has put its contentious price increase on hold due to regulatory challenges in Nigeria.
Three weeks ago, Starlink raised its monthly subscription by 97% from N38,000 to N75,000, sparking outrage among customers. The installation kit price for new users also increased by 34% from N440,000 to N590,000.
In a message to subscribers on Thursday, Starlink explained the decision to suspend the price hike. “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.”
Starlink emphasized its commitment to providing high-speed internet in Nigeria but stressed the need for regulatory support. “We remain committed to providing high-speed internet in Nigeria, but we need regulatory support to make the improvements necessary for a better customer experience. Without these approvals, our ability to continue delivering service is at risk.”
The Nigerian Communications Commission (NCC) recently withdrew its statement regarding Starlink’s operations, citing an error. The NCC urged media outlets to retract related publications.
The Association of Licensed Telecommunication Companies of Nigeria condemned Starlink’s initial price hike, describing it as a “regulatory affront.” Chairman Gbenga Adebayo expressed concerns about the impact on customers.
Starlink assured customers who paid the increased rate that they would receive a credit. Users were also reminded of the option to cancel their subscriptions if needed.
This development highlights the ongoing regulatory challenges facing Starlink in Nigeria. The company’s willingness to revisit its pricing decision may alleviate customer concerns, but the regulatory landscape remains uncertain.