Chivhayo’s IMC gets licence to partner Musk’s Starlink

THE Postal and Telecommunications Regulatory Authority of Zimbabwe (Potraz) has approved the application by local firm, IMC Communications owned by businessman Wicknell Chivhayo, for a licence to provide internet services in Zimbabwe under a partnership with US billionaire Elon Musk’s Starlink, a subsidiary of global aeronautics giant Space X, Business Weekly can reveal.

The entry of Musk’s Starlink into Zimbabwe’s information technology space, is expected to revolutionise the industry and significantly cut the cost of digital services, which have remained elevated despite their critical importance in the digital era globally.

Starlink’s high-speed, low-latency services are useful in a country and continent where many rural localities have poor or non-existent fixed and/or mobile network connectivity.

This publication is reliably informed that IMC’s licence was issued by Potraz this week and confirmed through correspondence to managing director, Danny Marandure.

The IMC boss said yesterday in an interview that IMC was delighted and grateful that the regulator, Potraz, had officially granted IMC the ISP (Internet Service Provider) operating licence in Zimbabwe.

He noted that with the approval of IMC’s application for the ISP licence, Zimbabwe was now “set to witness a mammoth digital revolution”.

“Competition is healthy and IMC will no doubt increase competition and innovation in the Zimbabwe internet market, which should lead to lower prices and better quality for consumers.

“This is no doubt a game changer for customers where other internet solutions are either unattainable or cost prohibitive.

“IMC is poised to tap into new technologies that will revolutionise our economy and align with the President’s goal of Vision 2030 of making reliable connectivity accessible to every person in Zimbabwe and embracing a digital future that leaves no one and no place behind.

“This now allows IMC to play its part in helping realise this vision.

“Our service offering will leverage cutting-edge satellite technology and prioritises customer satisfaction to bridge the digital divide, providing equal opportunities to all and making sure we leave no one behind,” he said.

Potraz director general, Dr Gift Machengete, confirmed the development saying the regulator had approved the application by IMC Communications for the ISP licence.

“They made an application for what is called ISP or internet service provider and we approved it,” Dr Manchengete said.

Well-placed sources said IMC had since paid a staggering US$575 000 for the permit, paving the way for the company to start the roll-out of wireless kits that allow internet connectivity from any part of the country at the lowest cost and at between 10-15 times the currency speeds.

IMC will also be liable to an annual licence fee equivalent to 2 percent of gross turnover plus universal services fund USF amounting to 1,5 percent of total revenue.

Further, this publication understands that Potraz is at the advanced stages of processing Starlink’s licence after the global satellite internet service firm, Starlink, paid the requisite initial application fees.

The developments come after President Mnangagwa indicated in May this year that the Government had approved the licensing of Starlink to provide internet and related digital services in Zimbabwe through its sole and exclusive partner IMC Communications.

Announcing the Government’s decision on his social media handle X (Formerly Twitter), President Mnangagwa said one of the strategic pillars that anchored the Second Republic’s Vision 2030 was innovation, science and technology.

He noted that prioritisation of the digital economy and the emerging importance of technology in day-to-day operations of business, Government and activities of citizens required the Government to lead from the front.

“I take this opportunity to, on behalf of the Government of Zimbabwe, to congratulate IMC Communications (Pvt) Limited and Starlink on this commendable milestone aimed at revolutionising the digital and communications technology landscape in Zimbabwe,” he said.

He said investments of this magnitude and strategic importance represented the cornerstone of the Second Republic’s objective of having a fully digitised economy by 2030.

Starlink, which provides coverage to more than 80 countries, is a Low Earth Orbit (LEO) satellite operator wholly owned by global conglomerate, Space X, which is owned by the world’s richest billionaire, Musk. SpaceX designs, manufactures and launches advanced rockets and spacecraft.

The company was founded in 2002 to revolutionise space technology, with the ultimate goal of enabling people to live on other planets.

Starlink has established a foothold in several other African countries including Nigeria, Zambia, Mozambique, Rwanda, Mauritius, Sierra Leone and Kenya-ebusinessweekly