Color LogoLoading...

🌍 Feed

✍🏿 Compose

Vodacom and Starlink competition: a new age of universal mobile coverage for Africa?

#business
#telecom
At one level, Vodacom's announcement of space-based coverage in Kenya raises the spectre of competition for Elon Musk's Starlink. On another level, it heralds a new age of universal mobile coverage for the continent - an Africa where no one gets left behind.

By Conrad Onyango, bird story agency


A statement by Vodacom Group that it placed a space-based network under formal trial with its Kenyan subsidiary Safaricom has ignited a frenzy of speculation that the company is to compete with Starlink's satellite services in Africa directly.


"After successful completion of the trial, AST SpaceMobile will scale up their satellite deployments in partnership with Vodacom to provide ubiquitous communications to 4G devices across African and beyond," Vodacom disclosed in its Integrated Report 2023.


"This capability will enable Vodacom to provide coverage in rural areas where it is challenging to provide connectivity through traditional terrestrial communications solutions," Vodacom said. 


Trials were conducted through AST SpaceMobile's BlueWalker 3 satellite.


Vodacom parent firm Vodafone Group Plc is an investor in Texas-based AST SpaceMobile, whose offering differs from Starlink's by connecting to unmodified mobile phones without a modem.


"AST SpaceMobile plans to be the first space-based network to connect standard mobile phones at broadband speeds. Devices would switch between space and ground-based networks automatically, effectively eliminating coverage gaps and ensuring customers can stay connected on the move," Vodafone announced on its website in February 2022.


The Texas-based company tested speeds of over 10Mbps in Hawaii in June, according to the company's website.


"AST SpaceMobile technology is designed to expand coverage for wireless companies, filling in gaps and dead zones in their networks. This could help bring cellular broadband services to hundreds of millions of people across the globe who still lack access to reliable cellular service" the company explains on its website.


The company uses a network of low-earth satellites to provide its broadband services. 


While Vodacom operates in South Africa, Egypt, the Democratic Republic of Congo, Tanzania, Mozambique, Ethiopia and Sierra Leone, with over 185 million customers, formal trials in Kenya point to that country being the first market for the kind of blanket coverage that a space-based service offers, through subsidiary Safaricom.


Elon Musk's SpaceX-owned satellite internet provider, Starlink, with 1.5 million subscribers, activated its services in Kenya earlier in July.


"Starlink for sale in Kenya! Note, buying a Starlink with global roaming allows you to travel almost anywhere," Musk wrote in a tweet on July 18th.


East African Internet service provider Karibu Connect was picked as Starlink's first authorised re-seller in Kenya.


"The deployment of Starlink's groundbreaking technology will revolutionise how rural Kenya engages with the global community, fostering societal progress and driving economic growth," said Karibu Connect Chief Executive Officer John Thuo.


Starlink's customers will be required to install an antenna and a wifi router, while Safaricom customers will not require any physical infrastructure installation to make use of AST Spacemobile's services.


Starlink offers high-speed data links of up to 500 Mbps with minimal latency.


Starlink is officially available in three other African markets - Nigeria, Rwanda, and Mozambique. By year-end, the company is eyeing Chad, Mauritania, Angola, Namibia and Somalia. It is yet to get a license to operate in South Africa.


In March, SpaceX vice president of Starlink enterprise sales, Jonathan Hofeller, announced at the Satellite 2023 conference in Washington, D.C., that the company plans to also start testing satellite-to-mobile phone services in 2023. 


Tests were planned with T-Mobile in the U.S., and it is still unclear when or if the service will be expanded to Africa.


Euroconsult's Universal Access 2023 report affirms the growing momentum of the direct-to-device (D2D) satellite market, attributing the growth to new regulations and new 5G standards integrating satellites into terrestrial networks more seamlessly.


Research firm Statista predicts worldwide subscribers in the satellite-to-device market to reach 110 million by 2025 and surge to 330 million by 2030.


bird story agency

Top comments(0)

SEND

You may like this too...

TechCabal

Kobo360, the logistics powerhouse backed by Goldman Sachs, is rolling out HaulSight—an innovative fleet management software designed to help Africa’s major manufacturers streamline operations, track vehicles, and cut costs in real-time. With rising fuel prices squeezing margins, HaulSight presents an efficient way for companies like Dangote and Unilever to maximize fleet potential. Will this be a game-changer for Africa's logistics industry?
Nov 11, 2024

Disrupt-Africa

Chumz, a Kenyan fintech that enables users to set savings goals with mobile money, has reached 200,000 users and is testing its services in Rwanda. With unique prompts encouraging behavior-based saving, Chumz empowers users with accessible financial tools. Expansion plans target 1 million users across East Africa by 2026.
Nov 6, 2024

Bird Story Agency

As more and more services move online across Africa, giant players like Safaricom, MTN and Airtel are stepping up their efforts to provide Africa with large, green-energy data centres.
Nov 4, 2024

Bird Story Agency

Africa's Gen Zs, promised opportunity, innovation and new technology but faced with the very real world of a workplace in flux, constrained labour markets, high inflation and increasing criticism of their work ethic, are finding very little to cheer about. So a growing number of African universities are stepping in, hoping to bridge the gap between academic qualifications and real-world demands.
Nov 3, 2024

TechCabal

🌍 Access Bank secures the green light to acquire Kenya's National Bank, expanding its reach across East Africa’s largest economy. With an estimated $100 million deal, Access Bank will increase its footprint to 77 branches across 28 counties. Here’s what this move means for Kenya’s banking sector! 💸
Oct 31, 2024

Disrupt-Africa

Nigerian fintech leader Moniepoint has secured $110 million in Series C funding to supercharge its digital banking platform for businesses across Africa. With a track record of innovation and impact, Moniepoint is poised to transform financial access on the continent, bringing seamless banking, payments, and credit services to millions.
Oct 29, 2024

TechCabal

Stanbic Bank Kenya has completed a major upgrade of its core banking software, aiming for enhanced security and improved user experience. Despite brief service disruptions, the bank’s transition to the latest technology signals a drive for modernized banking in a competitive market.
Oct 27, 2024

TechCabal

Kenya is set to revolutionize its financial landscape with the introduction of a new Fast Payment System (FPS). This cutting-edge platform will ensure seamless transactions between banks and fintechs, eliminating existing barriers. The FPS promises to enhance accessibility, making financial services more convenient for all Kenyans.
Oct 18, 2024

TechCrunch

🌍 From humble beginnings in Africa, InstaDeep has grown into a global AI powerhouse. In just over a year under BioNTech’s umbrella, the startup continues to drive innovation in biotech and beyond. CEO Karim Beguir reveals how InstaDeep’s cutting-edge AI is revolutionizing healthcare and industrial optimization alike.
Oct 15, 2024

TechCabal

M-KOPA, a Kenyan fintech giant known for financing solar systems and smartphones, has appointed former Nokia CEO Rajeev Suri as its new board chair. As the company gears up for rapid expansion, Suri's leadership is set to guide M-KOPA into a new era of growth and innovation. With over 5 million users across Africa, M-KOPA is reshaping digital and financial inclusion.
Oct 14, 2024
Home
Business Hub
Market Hub
You
By signing up you agree to ourTerms|About us|Market Hub|Business Hub|Deals Hub