February 4, 2025

Starlink’s South Africa Launch Delayed As Elon Musk Attacks Equality Laws

Plans to launch Starlink in South Africa are facing delays due to Elon Musk’s attacks on the country’s Black Economic Empowerment (BEE) laws, The Financial Times reports.

The policies, designed to mitigate racial inequalities formed under apartheid, require foreign investors in South Africa’s telecom sector to allocate 30% of a project’s equity to Black-owned businesses to qualify for a license. The policy is supported by the African National Congress Party (ANC), a political party in South Africa known for its opposition against apartheid.

Elon Musk says the equality laws are racist

South African officials say Musk has shown deep interest in starting Starlink’s satellite internet service in the country. In September, the South Africa-born entrepreneur shared that he was “still waiting for regulatory approval” from Pretoria after launching the business in Botswana, Mozambique, and Zimbabwe.

On Monday, he took to X to describe the country’s new Expropriation Act as “openly racist.” The law allows the state to seize land for public purpose to address racial inequalities in land ownership—most land is still owned by South Africa’s white minority.

President Donald Trump also shared his concerns over the weekend, stating that South Africa’s government was “treating certain classes of people very badly.”

Will South Africa waive the Black empowerment policy?

Solly Malatsi, minister of communications and digital technology and deputy chair of the Democratic Alliance, has proposed allowing Starlink a pass from empowerment rules. Speaking to the Financial Times, Malatsi said it could be possible to expand the telecoms sector exceptions to ownership rules, also known as “equity equivalent programs,” which are offered to other industries, including automobiles.

“I recognise the opportunity that equity equivalence programmes in the [telecoms] sector can help in expanding broadband connectivity to the quarter of our population which does not have access to the internet, while grappling with the reality that the current legislation doesn’t cover for that,” he added.

However, the possibility of the ANC allowing any expectations is small. One person told FT that the party is torn over the Starlink issue, especially after Musk’s latest involvement.


Image: Getty/Nathan Laine

Habiba Katsha

Habiba Katsha is a journalist and writer who specializes in writing about race, gender, and the internet. She is currently a tech reporter at POCIT.