Starlink sanctioned by NCC over 97% increase in subscription plan

By Deborah Olaiya

Starlink recently announced a 97% increase in its subscription fees, raising the monthly fee from ₦38,000 to ₦75,000, affecting both old and new users. New users will also pay a higher price for the Starlink kit, which has increased from ₦440,000 to ₦590,000.

For existing customers, the new pricing will take effect from October 31, 2024, while new customers will immediately pay the updated fees.

This marks the second increase in Starlink’s subscription fees since its launch in Nigeria in January 2023, despite several upward and downward adjustments in the price of its hardware in the country. Between October and November 2023, Starlink reduced its hardware price by 21%, bringing it to ₦299,500. However, by March 2024, the price had surged to ₦800,000 before being lowered again to ₦440,000. Now, the latest price adjustment has pushed it up to ₦590,000.

Elon Musk’s Starlink, in a message sent to users on Tuesday morning, attributed the increase in monthly service fees to “the excessive level of inflation.” The company added, “If you do not wish to continue your service, you can cancel at any time.”

However, the Nigerian Communications Commission (NCC) did not approve Starlink’s unilateral decision to raise its subscription prices. Reuben Muoka, the NCC’s Director of Public Affairs, stated, “We were surprised that the company jumped the gun by announcing price changes after submitting a request to the commission seeking approval for a price adjustment, for which the commission had yet to communicate a decision.”

The NCC further noted that Starlink’s actions may be in violation of Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003, as well as the terms of Starlink’s license concerning tariffs.