Local internet service providers say they are increasingly feeling the pressure from Starlink, the satellite internet service founded by tech billionaire Elon Musk. They cite Starlink’s aggressive pricing model as a major threat that they cannot realistically match or sustain economically.
Speaking at a recent Paratus Botswana Wholesale Client Engagement Session, leading ISPs acknowledged that Starlink’s entry has significantly disrupted the market.
“Starlink is hitting the market at very low prices, and we are struggling to compete,” said an executive from a prominent local ISP. “Consumers are demanding more, and we are constantly being asked why Starlink is cheaper than local alternatives.”
Starlink’s arrival in Botswana has been widely hailed as a significant technological milestone. Using a network of more than 7,000 low-Earth orbit satellites, the service delivers download speeds of up to 200 Mbps and latency between 20 and 40 milliseconds — far exceeding the 50 Mbps average typically offered by top local ISPs.
The company’s mini residential plan starts at P400 per month, with a one-time hardware cost of P2,400. That makes it notably more affordable than traditional broadband services in Botswana, which often charge considerably more. Customers who opt for the standard kit pay the same monthly fee but face a higher hardware cost of P4,999. Purchases made directly through Starlink’s website also incur an additional P312 in shipping and handling, unless bought from authorized local resellers.
This affordability, paired with Starlink’s ability to reach underserved and remote areas, has made it a compelling alternative. Unlike terrestrial ISPs, which require expensive infrastructure to serve sparsely populated regions, Starlink only needs a user terminal and a clear view of the sky — a key driver behind its rapid adoption, particularly in areas with limited internet access.
Both wholesale and retail ISPs are scrambling to adapt. Paratus Botswana, the first Starlink reseller in the country, has emerged as a key player by offering managed solutions that include installation, maintenance, and 24/7 customer support.
Jeremy Muller, technical manager at Paratus Botswana, said Starlink’s swift entry caught many local providers off guard.
“The gap between the northern and southern hemispheres is shrinking. We no longer have to wait decades for new technologies to arrive; it is happening in real time now,” Muller said.
Still, he acknowledged that local ISPs face significant barriers to competing, including limited funding, lack of space research capabilities, and infrastructure constraints. Unlike Starlink, which operates at a global scale, local companies simply cannot match the required capital intensity.
Even so, the local industry is working on a response. As a key wholesale provider, Paratus Botswana said it is developing a more affordable bandwidth solution aimed at reducing costs for local ISPs and, by extension, end users.
“Paratus is working on a competitive product, set to be announced later this year, which will directly address some of Starlink’s offerings,” Muller said. “It is not about attacking or resisting technology, but rather embracing innovation and exploring new ways to remain competitive and relevant.”
Starlink’s impact is already visible. Just months after launching, it faced oversubscription in Gaborone and surrounding areas, prompting the company to pause new registrations after attracting more than 6,000 users.
Still, local ISPs find some comfort in Starlink’s limited reach in rural and northern Botswana, where the upfront hardware costs remain prohibitive for many low-income users. However, during a recent visit by a Botswana government delegation to Starlink and SpaceX facilities in the U.S., Ben MacWilliams, Starlink’s global licensing and activation director, revealed plans to collaborate with the government to expand rural connectivity.
Currently, two Starlink gateway stations operate in Gaborone and Lobatse, with further expansion planned. MacWilliams told President Duma Boko and his delegation that Starlink aims to make Botswana a key testing ground for emerging connectivity technologies, increasing both user capacity and bandwidth.
“These advancements will help accommodate more users online and improve overall service quality,” he said.
Starlink’s entry into Botswana followed a lengthy regulatory and licensing process. The breakthrough came after former President Mokgweetsi Masisi met with Starlink executives in the U.S. in May 2024. The Botswana Communications Regulatory Authority (BOCRA) subsequently granted the company a two-year provisional license, which expires in 2026.
Despite concerns about the competition, Minister of Communications and Innovation David Tshere said Starlink is unlikely to drive local ISPs out of the market.
“The pricing structure of Starlink provides a viable alternative to traditional internet services and enhances nationwide internet penetration,” he said during the March 2025 SpaceX visit.
Across Africa, Starlink is gaining momentum. According to a report by Rest of World, Starlink is now cheaper than the leading ISP in five African countries: Ghana, Kenya, Zimbabwe, Mozambique, and Cape Verde. Nigeria, the continent’s most populous country, was the first to adopt Starlink in January 2023. It has since become the second-largest ISP in Nigeria, with 65,564 subscribers as of September 2024, up from 23,897 at the end of 2023, according to the Nigerian Communications Commission.
In Botswana and Zambia, Starlink is only slightly more expensive than local alternatives, by about P50 to P100 per month. Yet, due to its superior speed, flexibility, and ease of access, many users consider it worth the premium.
In neighboring South Africa, regulatory hurdles related to local ownership requirements have delayed Starlink’s launch, though negotiations are ongoing.
