MTN Explores Strategic Partnership with Starlink for Satellite Connectivity in Africa

The MTN Group is actively exploring a strategic partnership with Starlink, a move that could reshape Africa’s telecommunications landscape, according to the company’s Chief Corporate Services and Sustainability Officer, Adwoa Wiafe.

Speaking at MTN Ghana’s annual Media Forum, Ms Wiafe revealed that the telecom giant is considering collaboration with Starlink, Elon Musk’s satellite internet service, as part of its broader strategy to leverage satellite technology across its African operations. Pilots have already commenced in several markets.

This confirmation aligns with earlier statements from former MTN Ghana CEO, Selorm Adadevoh, who stressed that MTN’s approach to Starlink would be more cooperative than combative, marking a significant shift in how Africa’s largest telecom by subscribers is approaching the disruptive entrant.

Starlink’s foray into Africa has generated debate, particularly around its impact on incumbent operators. The satellite provider offers download speeds significantly higher than existing networks but comes at a premium price, making it more attractive to enterprise clients and affluent consumers.

However, Starlink has yet to address satellite-to-mobile connectivity, creating an opening for operators like MTN with established infrastructure on the continent.

MTN Group CEO Ralph Mupita has underscored the importance of forging “smart partnerships” in the coming five years to meet the evolving demands of customers. The collaboration with Starlink is seen as central to MTN’s ambitions to integrate satellite solutions into its mobile services portfolio, particularly in underserved areas.

In neighbouring Kenya, a price war between Starlink and Safaricom saw the latter enhance internet speeds while maintaining existing price points in a bid to retain market share. Starlink responded by slashing prices, prompting Safaricom to consider a partnership rather than direct competition. However, MTN faces stricter regulatory oversight in Ghana, where it has been designated a Significant Market Power (SMP) operator, limiting its ability to cut prices aggressively without facing penalties.

Despite these constraints, Ms Wiafe reassured that MTN is “aware of where the future is going” and is positioning itself to offer competitive services within regulatory bounds, while pursuing partnerships that will enable it to deliver enhanced customer experiences in an increasingly competitive market.

Source:norvanreports.com