Elon Musk’s SpaceX has announced a partnership with e-commerce company Jumia Technologies to enhance its satellite broadband services in Africa.
Jumia, backed by investors such as Pernod Ricard and Goldman Sachs Group, will be responsible for selling Starlink’s satellite terminals and other equipment in select African countries, beginning with Nigeria in the near future.
This collaboration will provide Jumia with the advantage of being the first e0commerce company to offer sales and distribution of these kits in Africa.
Starlink, known for its fast-speed internet services, has expanded its reach to Africa through partnerships with Jumia, an e-commerce platform.
This move will allow Starlink to sell its portable terminals in areas with limited formal addresses and city mapping, addressing the low internet penetration in the continent.
While telecom operators have traditionally been the main providers of broadband in Africa, the challenge of infrastructure rollout in remote regions has hindered their efforts.
Previous attempts by big tech companies to provide high-speed internet in Africa have been unsuccessful, leading to a reliance on fibre and undersea cables.
Facebook, under Meta Platforms, made an effort to construct a massive drone for offering high-altitude connectivity in Africa, but the project was ultimately halted.
Similarly, Google’s Project Loon attempted a similar endeavor using helium-filled balloons before abandoning it two years ago.
In contrast, Musk’s ambitious plan involves a network of numerous small satellites that communicate through user terminals, presenting a more promising opportunity to connect people across the vast continent.
However, the price of a standard Starlink terminal in Nigeria, which amounts to US$557 or R10,500, may discourage potential users.
El Gabry stated that when they initially launched their African e-commerce business, they had to create their own business models, transportation network, and even map out certain areas.
This experience has equipped them with the necessary expertise to navigate the retail and merchandise landscape in Africa.
Jumia intends to sell Starlink’s products in the 11 African countries where it operates in the future. Starlink has confirmed the deal