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Elon Musk’s Starlink To Receive Sanction Over Price Hike

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Elon Musk’s Starlink To Receive Sanction Over Price Hike

Elon Musk’s satellite internet service, Starlink, is set to receive sanctions from the Nigerian Communications Commission (NCC) over its increase in its subscription prices in Nigeria, News About Nigeria reports.

This was disclosed in a statement issued by the commission’s Director of Public Affairs, Reuben Muoka, on Tuesday.

He noted that the Commission is taking enforcement measures against Elon Musk because he raised the price without the regulator’s approval.

Recall that Starlink in a message sent to its customers last week, stated that the price hike would affect both existing and new customers.

The monthly subscription fee was increased by 97%, from N38,000 to N75,000.

It also stated that new users will face a higher cost for the Starlink kit (the hardware needed for installation), which is now priced at N590,000, up 34% from the previous price of N440,000.

However, reacting to this, the NCC stated that it had not approved the price increase.

An official of the Commission, Mr Mouka, explained that the commission was surprised when the company announced the price changes, despite having filed a request with the NCC for a price adjustment, which the regulator had yet to approve.

“The decision by Starlink to unilaterally review its subscription packages upwards did not receive the approval of the Nigerian Communications Commission.

“The action of the company appears to be a contravention of Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003, and Starlink’s Licence Conditions regarding tariffs.

“The commission will, therefore, take appropriate enforcement measures against any action by a licensee that is capable of eroding the regulatory stability of the telecommunications industry,” he stated.

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