Elon Musk’s satellite internet company, Starlink, has finally launched in Zimbabwe, but the journey to get there was far from smooth.
The company’s global licensing and market activation director, Ryan Goodnight, revealed that obtaining an operating licence was a “difficult and complex” process, highlighting the country’s bureaucratic hurdles that often stifle innovation and progress.
Goodnight, in a post on X, expressed his team’s perseverance in navigating the complex regulatory framework. A senior official from the Information Communication Technology, Postal and Courier Services ministry confirmed the licensing process was “complicated and cumbersome”, citing outdated regulations and the need for multiple clearances from different ministries.
Adding to the challenge was government concern over Starlink’s potential to disrupt the local telecommunications market. Zimbabwe’s telecoms industry is dominated by a few key players, and Starlink’s low-cost, high-speed internet service poses a threat to existing monopolies.
Further delays arose from national security concerns. Some officials feared that Starlink’s satellite network, providing internet coverage across the entire country, could lead to issues related to data sovereignty and control over Zimbabwe’s digital infrastructure.
Despite these hurdles, Starlink is now available in Zimbabwe, becoming the 14th African country to receive the service. The company offers two packages: a standard package with speeds of up to 200Mbps for US$50 a month, and a Mini package with speeds of up to 100Mbps for US$30 a month. Both packages require a setup kit, costing US$350 and US$200 respectively.
However, the process has been far from smooth, with allegations of political interference and attempts to secure lucrative deals for those close to power. Award-winning journalist Hopewell Chin’ono revealed that a meeting took place in Harare involving representatives from Starlink, DHL, the Secret Service, the defence ministry, and ZIMRA, the Zimbabwe Revenue Authority.
Chin’ono, citing sources within Starlink, alleged that authorities proposed a 40% stake in the company’s local operations for Chivhayo’s IMC, with the controversial Mutapa Investment Fund (MIF) receiving 10%. This proposal was reportedly rejected by Starlink, who stated that the other parties were offering little beyond political influence.
The Mutapa Investment Fund, a state-owned investment fund, oversees 20 parastatal entities, including major companies like NetOne, Air Zimbabwe, and the National Railways of Zimbabwe.
Chin’ono also revealed that Starlink was initially set to dispatch 1,500 test kits from America to Harare this week, but this was delayed until POTRAZ signed off on the shipment.
“My Starlink source told me this morning that they rejected the deal because the other parties were not bringing anything to the table except political capital. The Starlink Africa and Middle East contact informed me that they will be shipping the first 1,500 test kits this coming week via DHL, and they should arrive in Harare within the week for pre-go-live regulatory local compliance activities by POTRAZ,” said Chin’ono.
The investigative journalist also shared that Starlink will be using the Destination Duties Paid (DDP) arrangement for importing units via DHL, meaning SpaceX will pay customs duties upfront, ensuring a seamless experience for customers.
The decision to bypass Chivhayo and offer direct sales to customers has been met with widespread speculation and whispers of political maneuvering. Chivhayo, a known benefactor of ZANU PF and a figure embroiled in several corruption scandals, had been poised to profit handsomely from the Starlink deal.
Reports suggested that Zimbabweans were initially expected to pay US$650 for the Starlink kit, double its retail price, under Chivhayo’s control. This sparked public outcry, with many fearing that Chivhayo would exploit the situation for personal gain, much like his alleged dealings with the Zimbabwe Electoral Commission (ZEC) where he received over US$100 million for election materials.
Chivhayo’s recent spending spree, buying luxury cars for ZANU PF supporters and singers, further fuelled public anger and raised concerns about his integrity.
Sources close to the matter have revealed that Mnangagwa and licensing authorities ultimately decided to sideline Chivhayo due to the scandals that had tarnished his image and cast a shadow on the President’s office, The Standard has reported.
Meanwhile, Liquid Intelligent Technologies, the largest internet access provider in Zimbabwe, says it is not worried about the imminent entry of Starlink into the market. Liquid, which is a business unit of Cassava Technologies, is present in more than 25 countries across Africa and has an extensive fibre broadband network covering over 110 000 km in the region.
Responding to questions, Liquid Intelligent Technologies’ regional chief commercial officer Central Africa Ms Lorreta Songola said the company was not moved and remained confident of maintaining its market-leader position despite prospects of more competition in the sector.
“After all, competition is healthy,” she said, adding that this would be an opportunity for Zimbabweans to enjoy competitive services and pricing from all the players in the sector.
“We already operate alongside Starlink in our other regional markets like Zambia, and we are all operating well,” she added.
Liquid, with its extensive infrastructure and existing partnerships, is confident in its ability to compete with Starlink in the Zimbabwean market. The arrival of Starlink is expected to bring much-needed competition to the internet service provider market, ultimately benefiting Zimbabwean consumers with more choices and potentially lower prices.
