KEY POINTS

• The decline in the naira’s value has driven Starlink’s prices up by over 115%.
• Starlink services, which once cost ₦270,000, now stand at ₦590,000.
• Many Nigerians are now struggling to afford the internet service due to currency depreciation.

The current situation where the naira is depreciating against the dollar is also making internet services such as Starlink very expensive for most people in Nigeria, as the cost of the satellite internet service has risen by more than a hundred percent in the recent past.

The service offered by SpaceX increased the subscription fee by 115% from ₦270,000 to ₦590,000 due to the current exchange rate and inflation rates in Nigeria.

This has raised the cost of Starlink beyond the reach of many people in Nigeria, even in the rural and under-served regions, that already had poor access to the internet.

Starlink, which recently launched its services in Nigeria with the hope of offering affordable and fast internet connection, is now in the firing line as many households and business entities are unable to meet the rising costs.

Effects on internet connection and economy

The increase in Starlink prices is also likely to have ripple effects on Nigeria’s digital economy as well. Internet connection is very important for companies, schools, and even hospitals, and in a country where traditional structures are often nonexistent.

Most Nigerian business people and small scale business people had at first seen Starlink as a perfect solution to the country’s internet challenge. However, with prices going high because of the current situation of the naira, they are now thinking twice.

Business Day has reported that the rising Starlink’s prices will deepen the digital divide in Nigeria, thus, continues to restrict access to basic services for low-income households.

Expectation of future price stabilization

However, most citizens of Nigeria are optimistic that something will be done to address the problem with the currency with a view to reducing some of the services that are in their holding now such as Starlink services.

As the government is in search of how to solve the problem of the depreciation of the naira, the consumers and business people are eagerly waiting for a cheaper and better internet service.

The increasing need for internet connection and the current pressure on the naira, there is the need to develop new strategies for internet connection in Nigeria.

As the country intensifies efforts to deepen internet penetration, the cost of services such as Starlink will be a major discourse in Nigeria’s economic and technological development.