The entry of Starlink, the low end satellite Internet service launched by SpaceX, has prompted varied reactions from industry players and governments worldwide.

This service, known for providing high-speed Internet in remote and underserved areas, has disrupted traditional telecommunications markets and regulatory frameworks.

In Kenya, the entry of Starlink has been seen as a duel between Musk and Safaricom, the largest technology company in East and Central Africa.

It is true that technology is disruptive and Starlink is having its moment. But Safaricom is not the only company that will be affected by the continuous growth; we have spent the last 18 years promoting investment in fibre optics and other wireless technologies. The Internet service providers (ISPs) within our cities, towns, estates and communities will be the biggest casualties in this process.

The smaller ISPs, usually provide the essential services within estates and communities where they are seen as affordable and reachable.

The owners are usually local youth, who buy the services from bigger ISPs and resell via wireless. They are usually challenged by resources and customer service is not always the best.

With the growth of fibre and other wireless technologies, many people have invested in telecommunications contractor business, and with the self assembly and minimal support needed, it is unlikely that Starlink will work with local companies to expand the services. These companies must now innovate or be swept off.

According to the latest statistics released by the Communications Authority of Kenya (CA), there are 375 licensed ISPs and wireless Internet service providers (WISPs) operating in the country.

The CA also indicates there are 1,658 licensed telecommunications contractors, responsible for various aspects of telecommunications infrastructure development; installation, maintenance, and upgrading of communication networks across Kenya.

The growth of Starlink in Kenya shows that customers need more attention and quality services, the number of satellite Internet users through Starlink has grown from 405 three months before its launch to 1,354 two months after it became available. CA data shows that as of March 2024, satellite Internet users were 4,808.

Globally, Starlink has expanded rapidly, boasting over 3 million users by mid-2024, according to its website. However, its growth has not been without challenges.

Governments are concerned about capital flight, local investments that have followed the submarine cables and the terrestrial infrastructure and the long-term outlook of the local technology landscape.

The major question that regulators need to ask is what they have also been doing with the Universal Services Fund, in terms of growing infrastructure in rural areas, which would allow operators to share that infrastructure and reduce connectivity costs. This growth would allow the local ISPs and WISPs to compete with any international players and continue their survival.