Telecom

Niger Grants Starlink License, Seeks to Expand Internet Coverage and Quality

Niger Grants Starlink License, Seeks to Expand Internet Coverage and Quality
Wednesday, 30 October 2024 14:30

(Ecofin Agency) - Starlink continues its expansion as part of its parent company SpaceX's vision to bring connectivity across the entire planet. In Africa, the company is already present in about fifteen countries, including Nigeria, Benin, Ghana, and Rwanda.

Yesterday, Niger’s Minister of Communication, Sidi Mohamed Raliou, signed an agreement with Ryan Goodnight, head of Market Access at Starlink, granting the American satellite internet provider a license to operate in the country. The government expects Starlink’s entry to help boost mobile and internet access, currently at 60.8% and 32% respectively, as of June 30, according to the national telecom regulator ARCEP.

Minister Raliou is optimistic that Starlink will expand Niger’s network coverage, stating, “With Starlink’s satellites, the entire country will have coverage.” Starlink currently operates around 6,500 low-Earth orbit (LEO) satellites, which are anticipated to fill gaps in Niger’s telecom network. ARCEP reports that while telecom networks cover 77% of Niger’s population (about 26.3 million people), only 30% of the country’s territory has geographic coverage.

According to the GSMA’s Mobile Connectivity Index, Niger scored 61.3 out of 100 for network coverage in 2023, with 2G, 3G, and 4G covering 92%, 72.2%, and 58% of the population, respectively. However, only 24% of the population had access to 3G and 16% to 4G as of 2021, according to the ITU’s DataHub. The GSMA’s October 2024 “State of Mobile Internet Connectivity Report” also identified Niger among countries where more than 10% of the population lacks mobile internet access.

Improving Service Quality

Niger government also expects Starlink to improve the quality of internet service, with an anticipated average speed of 200 Mbps. This focus on connectivity quality comes as Niger’s telecom operators face mounting pressure to improve service for consumers. In early 2023, after a 2022 warning, ARCEP conducted a quality-of-service audit, revealing widespread non-compliance in voice, SMS, and internet services across all operators. This led to a CFA4.3 billion ($7 million) fine.

Supporting Niger’s Digital Transformation

Enhanced coverage and service from Starlink are seen as key steps in Niger’s digital transformation goals. Minister Raliou remarked that Starlink’s presence will support modernization efforts across government, economic sectors, and businesses. In October 2023, Niger announced a decade-long digital development policy that includes regulatory reforms and infrastructure projects to drive digital transformation and socio-economic development.

Addressing Accessibility Challenges

While increased coverage is promising, access remains a significant hurdle. The GSMA notes that 90% of the 3.4 billion people worldwide without mobile internet live in areas with coverage but face barriers such as high service costs, device prices, and low digital literacy. In sub-Saharan Africa, about 60% of the population does not use mobile internet despite network availability. Starlink has not disclosed its rates for Niger, where it is expected to launch in 2025. In neighboring Benin, Starlink charges CFA30,000 per month, with an upfront equipment fee of CFA400,000.

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