In a tweet on the 27th of May 2022, SpaceX C.E.O Elon Musk, announced that the Nigerian Communications Commission (NCC), had approved Starlink his internet exploration company’s satellite internet service.
According to sources, the NCC granted six licenses to Starlink: Internet Service Provider (ISP) operational license, International Data Access (IDA) operational license, Full Gateway Operational license, Sales and Installation Major (S&I- Major) license, Gateway Earth Station (GES) Network Frequency license dependingon the Gateway the company will build; and Very Small Aperture Terminal (VSAT) Network Frequency licenses.
With the Internet Service Provider, International Data Access, and Full Gateway Operational Licenses, Starlink would be competing with the four GSM companies in Nigeria; Glo, Airtel, MTN, and 9Mobile. The satellite internet service company, would also face competition with ISPs like Spectranet, Spectrum, SMILE, and others which currently dominate the Nigerian market.
Starlink, which has over 400,000 subscribers in 36 countries around the world, offers high-speed, low-latency broadband internet services delivered across the world, via Low Earth Orbital (LEO) satellites. Starlink’s internet service cannot be described as overrated, as it is capable of delivering 150 Megabytes per Second (Mbps), internet speed to even the most rural part of Nigeria. All its user needs are just a clear view of the sky.
Analyzing Starlink’s internet service, most parts of Nigeria (even the urban areas) struggle with internet speeds as low as 0.5 Mbps.
When you are in remote parts of the country, you get low or no cellular network; meaning you would also struggle to access the internet. What Does Starlink Bring To The Table? When Elon Musk made the announcement, there was a lot of joy among Nigerian internet users. This was mainly down to the fact that it brings faster internet speeds, than what is currently provided by ISPs in the country.
According to Ookla, the average mobile internet speed via cellular is 17.38 Mbps, while a fixed wireless internet connection has an average of 10.06 Mbps. Starlink, however, is ten times faster; having an average speed of 104 Mbps. To establish how fast Starlink’s internet speed is, the United States Federal Communications Commission (FCC), defines broadband as an internet connection with an average of 25 Mbps. Though the major excitement about Starlink is the faster internet speed, it also offers more advantages including: Increased Number of Internet Users
According to the “Digital 2022 Nigeria” report by Data Reportal in January 2022, about 41% of Nigeria’s over 200 million people do not have access to the internet.
This is because there is insufficient infrastructure for certain areas, to have access to the internet. Currently, Nigerians rely on GSM companies (Glo, Airtel, MTN, and 9Mobile), to provide internet access. These GSM companies have not been able to provide enough cell phone towers, especially in rural areas where around 46% of Nigerians live.
With Starlink, there will not be any need for these cellphone towers. This means people even in the most rural areas of Nigeria, just need to connect directly to Starlink’s satellite for faster internet speeds than what is currently available in the country. Reduced Data Prices with Starlink entering the Nigerian market, there would be more competition for GSM companies and other ISPs. Though Starlink might be more expensive, GSM companies and the other ISPs, would be tempted to reduce the price of data which currently averages at NGN 288 per Gigabyte.
Nigerians would gladly pay for Starlink’s internet, which could deliver internet speed up to 150 Mbps, but those who could deal with the way slower speed delivered by other ISPs, could pay less than the current price for data.
Increased Productivity in Organizations
Network failures have been a burden, carried by a lot of organizations in Nigeria.
A good example is organizations in the banking sector. There have been very long queues in banks and at ATMs, because of slow internet connection. So many times, financial transactions have either failed or been delayed because of issues arising from the ISPs.
With Starlink, these issues would be eliminated; increasing the productivity of organizations that use tech in one way or the other.
Improved Quality of Education
In Nigeria, most students (especially in rural areas), do not have access to the internet. This means they do not have access to the numerous educational materials available on the internet; restricting teaching to physical materials only. Starlink, solves a lot of problems in the Nigerian educational sector, as it can help improve remote education. Classes can be held anywhere around the world, and be attended by students from remote areas of Nigeria. This reduces the teacher deficit experienced in Nigerian schools.
Also, students’ performance and attendance can easily be monitored with the use of smartphones, and computers. Concerns about Starlink
Though most Nigerian internet users would admit they do not mind paying extra, for way faster internet speeds than what is currently available, the main concern about Starlink is the price users would have to pay.
Starlink reportedly costs USD 99 (about NGN 41,000) monthly; a price that might be considered a little “over the edge”, but worth it. Aside from that, users will have to pay a one-time fee of USD 499 (about NGN 207,000), for the wi-fi router and Starlink satellite dish which would be shipped to its user. There is also Starlink’s premium service, which costs USD 500 (about NGN 207,000) monthly and a one-time fee of USD 2,500 (about NGN 1,000,000), for the Premium Starlink satellite dish. This Premium Starlink service assures users of faster internet speed and a more stable connection.
Considering the price to be paid for its services, Starlink is more feasible for business use
