Safaricom has cut prices for new business fiber connections by 25% for the next two months, in a bid to defend market share and attract small and medium-sized enterprises (SMEs). The move comes as rival Starlink faces slowing growth in Kenya, highlighting intensifying competition in the country’s fixed broadband market.
The discount reduces Safaricom’s entry-level 15 Mbps plan to $17.44 per month from $23.25, while the top-tier 100 Mbps package now costs $36.63, down from $48.84.Alongside the price cuts, Safaricom is rolling out new credit products aimed at locking in long-term SME clients, a segment also contested by Liquid Intelligent Technologies and Jamii Telecom.
Starlink’s Kenyan user base has fallen from roughly 19,000 in March 2025 to around 17,000, reportedly due to network congestion. The satellite provider has since added ground stations near Nairobi to boost capacity, but the slowdown has given Safaricom an opening.
Relations between the two companies remain nuanced. In May, Safaricom hinted at a potential satellite partnership just days after Airtel Africa made a similar announcement, though no deal has been confirmed. Safaricom has also pressed regulators to revisit satellite internet rules, a stance some viewed as an effort to temper Starlink’s early momentum. In June 2024, it formally wrote to the Communications Authority calling for a “new approach to satellite regulation.”
In rural and peri-urban markets – where satellite is most viable – Safaricom has been aggressively marketing its 5G home routers, priced at $23.26 with monthly plans starting at the same level. Starlink’s Gen 3 kit, by contrast, costs up to $387.74, with a monthly subscription at $50.40 a month or a capped 50 GB plan for $10.08. The pricing gap makes Safaricom’s 5G offering more affordable for many households and small firms.
Analysts say the price cuts reflect both competitive pressure and market maturity. “Safaricom is clearly moving to shore up its 36.5% fixed broadband share while capturing SME growth,” said one Nairobi-based telecom consultant. “The combination of fibre, 5G, and financing tools makes it harder for Starlink’s premium satellite model to compete on price.”
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