Safaricom reduces business fiber prices by a quarter amid loss of Kenyan Starlink users
In the competitive landscape of Kenya's fixed internet market, Safaricom continues to dominate with a 36.5% market share and a customer base of 678,118[1][4][5]. The telecommunications giant has recently announced price adjustments for its business fibre connections, aiming to strengthen its position and attract more small and medium-sized enterprises (SMEs).
Safaricom has introduced a 25% discount on all new business fibre connections, reducing the cost of their 15 Mbps plan from KES 2,999 ($23.27) to KES 2,249 ($17.44) per month, and the 100 Mbps plan from KES 6,299 ($48.90) to KES 4,724 ($36.62) per month[1][3][4]. This move is part of a broader strategy to safeguard their market leadership and tap into the growing SME segment, a market segment also targeted by competitors like Liquid Intelligent Technologies and Jamii Telecom[1][4].
To further solidify its competitive positioning, Safaricom is coupling these price cuts with new credit products designed to help SMEs access finance[1][3][4]. This approach allows Safaricom to cater to the unique needs of its SME clients, setting it apart from competitors.
Meanwhile, competitors like Starlink face challenges due to high subscription and equipment costs and network congestion, which limit their appeal, especially in price-sensitive rural and peri-urban markets[1][4]. Starlink's Gen 3 kit costs up to KES 50,000 ($387.60) with unlimited data at KES 6,500 ($50.39) a month, or a cheaper KES 1,300 ($10.08) option capped at 50 GB[1]. The high costs and network congestion issues have contributed to a decline in Starlink's Kenyan customer base, with the number falling from about 19,000 in late 2024 to 17,000 by March 2025[1][4].
Safaricom hinted at a possible satellite internet partnership with Starlink in May 2022[2]. However, as of the time of writing, no agreement between the two companies has been confirmed.
In June 2024, Safaricom urged regulators to revisit satellite internet rules, which some interpreted as an attempt to slow Starlink's growth[3]. This move by Safaricom reflects their strategy to maintain leadership in Kenya's business fibre market amidst rising competition.
| Provider | Market Share (Fixed Internet) | Recent Price Adjustment (Business Fibre) | Notes | |-----------------------------|-------------------------------|-----------------------------------------------------------------|----------------------------------------------| | Safaricom | 36.5% | 25% discount for 2 months; 15 Mbps lowered to KES 2,249/month | Targets SMEs, bundled with credit products | | Jamii Telecom (Faiba) | 22.5% | No recent price adjustment data found | Key competitor, holds second largest share | | Liquid Intelligent Tech | Not specified | No recent price adjustment data found | Targets SME segment alongside Safaricom | | Starlink | ~0.9% | No price cut; struggling with declining user base and congestion| High cost limits market penetration |
References: [1] Nairobi Wire. (2025, August 1). Safaricom slashes business fibre prices, bundles with new credit products. Retrieved from https://www.nairobiwire.com/2025/08/01/safaricom-slashes-business-fibre-prices-bundles-with-new-credit-products/ [2] Nairobi Business Monthly. (2022, May 10). Safaricom and Starlink in talks for satellite internet partnership. Retrieved from https://www.nairobibusinessmonthly.com/2022/05/10/safaricom-and-starlink-in-talks-for-satellite-internet-partnership/ [3] The Standard. (2024, June 15). Safaricom calls for review of satellite internet rules, sparks Starlink concerns. Retrieved from https://www.standardmedia.co.ke/business/article/2001384538/safaricom-calls-for-review-of-satellite-internet-rules-sparks-starlink-concerns [4] Communications Authority of Kenya. (2025). Market Performance Report (Q1 2025). Retrieved from https://www.ca.go.ke/market-performance-report-q1-2025/ [5] The East African. (2025, August 1). Safaricom maintains lead in Kenya's fixed internet market. Retrieved from https://www.theeastafrican.co.ke/business/Safaricom-maintains-lead-in-Kenya-s-fixed-internet-market/1284472-5312112-vjb476z/index.html
- The price cuts and new credit products offered by Safaricom for their business fibre connections aim to attract more small and medium-sized enterprises (SMEs), setting them apart from competitors like Starlink and Jamii Telecom (Faiba).
- Despit their recent growth and increased market share, Safaricom continues to position themselves strategically in Kenya's business fibre market, including hinting at a possible satellite internet partnership with Starlink and urging regulators to revisit satellite internet rules, potentially to slow Starlink's growth.
