Sunday, May 24, 2026

East Africa becomes battleground in satellite internet debate

By Groum Abate

Kigali, Rwanda 

East African governments are being urged to rethink how they regulate satellite internet as a new Africa CEO Forum report warns that offshore telecom operators could weaken local investment, reduce public revenues and reshape the region’s digital future. The report says satellite providers such as Starlink are expanding quickly across Africa, but their direct-to-consumer model raises questions about sovereignty, taxation and fair competition.

The report argues that Africa’s biggest internet challenge is no longer coverage alone, but affordability. It says about 86 percent of people in sub-Saharan Africa live within coverage areas, yet only 38 to 43 percent are actually connected, meaning the region’s digital divide is now driven more by cost than infrastructure gaps.

For East Africa, the issue is especially relevant because countries such as Kenya, Rwanda, Tanzania and Ethiopia are already weighing how to balance satellite services with mobile and fibre networks. The report says Kenya and Rwanda are among the markets where satellite internet has gained traction, while Tanzania and Ethiopia still face major affordability and access gaps that make hybrid connectivity models more attractive.

The report says satellite internet can help connect remote schools, clinics and rural communities, but warns that offshore operators may also draw away high-value urban and enterprise customers that traditionally help fund broader network expansion. That, it says, could squeeze incumbent telecom operators, discourage investment in fibre and towers, and reduce the flow of licensing and tax revenue to governments.

The paper cites Kenya as an example of how policy can adapt, pointing to the country’s growing use of disaster-risk financing and hybrid connectivity approaches. It says governments should require satellite operators to comply with the same rules as terrestrial providers on licensing, taxation, security and data handling.

The report also urges East African states to coordinate more closely through regional and continental frameworks so they can negotiate from a stronger position. It recommends a hybrid model in which satellite services complement, rather than replace, local telecom infrastructure, with more emphasis on African-owned gateways, data centres and network capacity.

Hot this week

Production up, but the ‘cost’ variable weighs heavily

Production is up in 2021 for the Italian agricultural...

Luminos Fund’s catch-up education programs in Ethiopia recognized

The Luminos Fund has been named a top 10...

Well-planned cities essential for a resilient future in Africa concludes the World Urban Forum

The World Urban Forum (WUF) concluded today with a...

Private sector deemed key to unlocking AfCFTA potential

The private sector’s role is vital to fully unlock...

Elon Musk’s SpaceX plans for biggest IPO in history to shake Wall Street

SpaceX’s IPO filing – the biggest in history -...

COP 31 President urges world to switch on to electrification

COP31 President-Designate Murat Kurum called for an urgent increase...

Ethiopia sets course for a decade of capital market reform

The Economic Commission for Africa (ECA), the Ethiopian Capital...

UNESCO honors Sudanese journalists syndicate with 2026 World Press Freedom Prize

The UNESCO/Guillermo Cano World Press Freedom Prize 2026 was...

Abdoulaye Ndiaye, winner of the first edition of the Africa NextGen Economist Prize

The Africa NextGen Economist Prize, created by Jeune Afrique...

Africa Day must mean Africa’s empowerment

Africa Day should be more than a ceremonial date...

India Africa development cooperation: The Harambee Factor

India–Africa development cooperation has emerged as a substantive and...
spot_img

Related Articles

Popular Categories

spot_imgspot_img