
Vodacom has teamed up with Starlink, the world’s biggest satellite internet group, to expand its network coverage and services in its African markets.
Waldo Swiegers/Bloomberg/Getty Images
- Vodacom has announced a new partnership with SpaceX’s Starlink to improve its reach in Africa.
- Vodacom is currently pushing to add some 40 million new customers in Africa, as it eyes a goal of 260 million.
- Starlink, meanwhile, recently celebrated the launch of its 10 000th satellite and, although it isn’t licensed in SA, that may soon change.
- For more financial news, visit News24 Business.
SA’s largest mobile operator, Vodacom, announced on Wednesday it had signed a “pivotal” deal with Starlink, the world’s largest broadband satellite provider.
Starlink operates in 25 African markets, with Vodacom saying the move will allow it to boost its network reach. This comes as the company drives a strategy to offer increasing value and new services, such as pay-as-you-use backup internet, to millions of African businesses.
“We are delighted to collaborate with Starlink, a move that accelerates our mission to connect every African to the internet,” CEO Shameel Joosub said.
“Low-Earth-orbit satellite technology will help bridge the digital divide where traditional infrastructure is not feasible, and this partnership will unlock new possibilities for the unconnected.”
“By collaborating with Vodacom, Starlink can deliver reliable, high-speed connectivity to even more customers, transforming lives and communities across the continent,” vice-president of Starlink operations at SpaceX, Chad Gibbs, said in the statement.
Vodacom, which has about 220 million subscribers, is pushing for 260 million by 2030, saying the move will help it to “edge closer to universal coverage.” The group has a footprint that reaches into 47 African markets, and it operates in SA, Lesotho, the Democratic Republic of the Congo (DRC), Mozambique, Tanzania, and Egypt, as well as Ethiopia and Kenya via Safaricom. Starlink is available in Lesotho, Mozambique, the DRC and in Kenya - among other African nations.
Vodacom said the move would accelerate network coverage expansion and improve performance in rural areas, including connectivity for schools and health centres.
Vodacom would be authorised to resell Starlink equipment and services to enterprise and small business customers in Africa, while retaining the flexibility to create localised value propositions that considered the unique requirements and affordability of the African market, it said.
It said it had also created a suite of relevant products, including pay-as-you-use backup internet, “100% unbreakable internet”, and device as a service – which refers to payments for equipment via subscription.
Starlink, owned by Elon Musk’s SpaceX, is a constellation of low-Earth-orbit satellites that can beam connectivity to almost any spot on the planet.
It does not operate in SA, but has indicated it is wants to, should SA allow equity-equivalent programmes for the ICT sector, which allows for licensing without a 30% black ownership threshold being met.
Other companies, including Eutelsat, OneWeb, and Amazon, are also launching satellite-connectivity constellations. Starlink is currently the market leader in this space, with far more satellites in orbit than other providers. It has now launched more than 10 000 of them.
In its submission on the proposal, SpaceX said that it was committed to black economic empowerment, but not the 30% equity rule. On a designated webpage for South Africa, the company said it had committed to a R500-million investment that would connect 5 000 rural schools across SA with free internet, serving 2.4 million learners.
“Starlink is committed to providing reliable, high-speed internet access across the country, especially in rural areas where traditional connectivity falls short,” the website reads.
“However, we are currently unable to apply for the licences required to operate due to current ownership rules. That may soon change.”
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