Starlink, the satellite internet service owned by Elon Musk’s SpaceX, has suspended its decision to increase monthly internet subscriptions for Nigerian users.
The company had raised its monthly subscription by 97 per cent three weeks ago, from N38,000 to N75,000, prompting complaints from customers about the steep cost.
Starlink also raised the price of its installation kit for new users to N590,000 from N440,000.
This announcement sparked controversy in the Nigerian telecom sector, with local operators accusing the Nigerian Communications Commission (NCC) of double standards, as local providers have long appealed to the regulator for a tariff review but have not received approval.
In response, the NCC stated it had not approved Starlink’s price increase, noting that Starlink’s actions violated Sections 108 and 111 of the Nigerian Communications Act, 2003, as well as conditions in its license regarding tariffs.
However, in a message to its subscribers on Thursday, the internet service provider explained that the price increase would be put on hold while it addresses regulatory concerns.
The company, with 24 million internet users, assured customers who had already been charged the increased rate that they would receive a credit.
“Last month, we increased the monthly service price for Starlink in Nigeria to account for inflation, helping us maintain operations and continue delivering reliable service.
“Today, we are temporarily suspending this price increase as we navigate regulatory challenges. We remain committed to providing high-speed internet in Nigeria, but we need regulatory support to make the improvements necessary for a better customer experience.
“Without these approvals, our ability to continue delivering service is at risk,” the company noted.