How SpaceX’s Starlink is courting Africa through Jumia
The cost of a Starlink terminal is up to $557 (₦445,000) - which is seen as a deterrent when ongoing global inflation is factored in. But it is still early days, so the jury is still out on this one.
By Ayodele Johnson
It is quite obvious what the difference is in terms of superiority between Space Exploration Technologies Corp’s (SpaceX) Starlink and the combination of other broadband services in Africa. Starlink offers remarkable internet connectivity like no other provider, which is why a distribution partnership with e-commerce company, Jumia Technologies AG seems like the next best thing that needs to happen.
This is the first of such on the African continent, where Starlink satellite terminals go on sale on the Jumia online shopping store. Africa’s biggest economy Nigeria is where the sales will begin before proceeding to Kenya – two countries seeing the highest activities in the tech space.
“We have seen Starlink do these [types] of deals in Southeast Asia and South America, and now Africa will also have the opportunity to access the fast-speed internet services,” says Jumia’s Chief Commercial Officer Hisham El Gabry. He confirms a plan “to start selling through our sites and agents in Nigeria this month, and then Kenya.”
The cost of a Starlink terminal is up to $557 (₦445,000) – which is seen as a deterrent when ongoing global inflation is factored in. But it is still early days, so the jury is still out on this one.
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If optimal quality is the topic, then SpaceX and Jumia should see encouraging results. Particularly in Nigeria where there has been a disruption in worklife. High energy bills, both in the fields of transportation and electricity have brought this about. As a result, there is a mild relocation of urban residents back to remote areas. This is where Starlink must seek its audience quickly.
There is the capability of the terminals to reach low-earth orbit satellites which offers connectivity potential across the segments that were previously not captured.
Following tests performed by internet users on its platform, Speedtest Intelligence is able to offer up-to-date insights into global fixed broadband and mobile performance. Through this, it was able to show during Q2 2023 that Starlink in Nigeria had a faster median download speed than all aggregate fixed broadband providers combined at 63.69 Mbps to 15.60 Mbps.
This reality could be what excites new consumers – what forces them to look beyond Starlink’s pricey demeanour.
Ayodelé is a Lagos-based journalist and the Content and Editorial Coordinator at Meiza. All around the megacity, I am steering diverse lifestyle magazine audiences with ingenious hacks and insights that spur fast, informed decisions in their busy lives.
