State plans to get involved in price determination

With the introduction of Starlink and its reduced rates, authorities hope that the cost of the Internet will decrease. Tahina Razafindramalo, Minister of Digital Development, Posts, and Telecommunications, stated on Monday during a Huawei event that Internet prices will soon decrease.

« Our goal is clear : to liberalize the sector to encourage competition », the Minister said in an interview with the press. According to him, prices will drop immediately, especially with the recent arrival of a satellite operator, particularly Starlink, and the access to all technologies by all operators.

If operators delay in adjusting prices, the State plans to get involved in price determination. Tahina Razafindramalo warns that if operators cannot reach an agreement, a price ceiling will be set to reduce Internet prices. According to available information, the decree is being drafted and is ready to be implemented. He emphasizes that the State prefers not to regulate prices, allowing operators to self-regulate and compete among themselves. However, if prices remain high, the State will intervene.

In his remarks, Tahina Razafindramalo highlights that the State has agreed to establish a price floor to ensure investment protection. In April, a minimum price was set, with a cost of less than a dollar per gigabyte. However, this was only valid for one month. According to the Minister, operators must commit to reducing Internet tariffs.