Starlink Surpasses FiberOne to Become Nigeria’s Second-Largest ISP
Elon Musk’s satellite internet company, Starlink, has secured its position as Nigeria’s second-largest Internet Service Provider (ISP) by subscriber numbers as of the third quarter (Q3) of 2024. This development was revealed in the latest report from the Nigerian Communications Commission (NCC), highlighting the company’s rapid growth in the country’s internet market.
Starlink’s Meteoric Rise
Starlink’s active customer base in Nigeria reached 65,564 by the end of Q3 2024, overtaking FiberOne, which previously held the second spot. The company’s growth has been extraordinary, gaining 41,667 new subscribers since December 2023 when it had 23,897 active users and ranked third.
While Spectranet retained its top position as Nigeria’s leading ISP with 105,441 active subscribers, it witnessed a decline of over 8,000 customers compared to its 113,869 users in December 2023. Meanwhile, FiberOne, now in third place, saw a sharp drop in its subscriber base, falling to 33,010 users by the end of Q3 2024.
Nigeria’s ISP Landscape
As of Q3 2024, Nigeria had 241 licensed ISPs, with only 124 of them having active subscribers. These ISPs collectively accounted for 307,946 active users, a modest figure when compared to Nigeria’s dominant mobile network operators (MTN, Airtel, Globacom, and 9mobile), which had a staggering 132.4 million internet subscriptions as of September 2024.
Why Starlink is Gaining Popularity
Despite its higher costs compared to local ISPs, Starlink has attracted a significant customer base due to its ability to provide reliable internet in underserved areas. Since launching in January 2023, the satellite-based service has become a preferred option for users in regions with poor or unreliable broadband infrastructure.
However, its pricing remains a challenge. In December 2024, Starlink raised its monthly subscription cost from N38,000 to N75,000, a move that led to a dispute with the NCC, which claimed that the company had not obtained regulatory approval before implementing the price hike.
Overwhelming Demand & Service Capacity
The demand for Starlink’s service has been so overwhelming that, at certain points in 2024, the company had to suspend new orders in Lagos, Abuja, and Port Harcourt after reaching full capacity. Similar shortages were reported in Benin City and Warri, where the service was sold out.
Future Prospects
As Starlink continues to expand in Nigeria, its ability to maintain service quality, control pricing, and meet regulatory requirements will determine its long-term success. With increasing competition and evolving consumer needs, Starlink’s journey in Nigeria’s ISP sector is expected to remain a key talking point in the tech and telecom landscape.
