The South African government has firmly rejected billionaire Elon Musk’s assertion that his satellite internet company, Starlink, is unable to operate in the country due to racial policies. The country’s telecommunications regulator, the Independent Communications Authority of South Africa (Icasa), clarified that Starlink had not even applied for a license, contradicting Musk’s claim.
Musk, who was born and educated in South Africa before emigrating to the United States, made the statement in a post on X (formerly Twitter), the social media platform he owns. He alleged: “Starlink is not allowed to operate in South Africa because I’m not black.”
The comment was widely criticized and dismissed as misleading by South African officials. Clayson Monyela, a senior official in the Department of International Relations and Cooperation, publicly refuted Musk’s claim, stating:
“Sir, that’s NOT true & you know it! It’s got nothing to do with your skin colour. Starlink is welcome to operate in South Africa provided there’s compliance with local laws. This is a global international trade and investment principle.”
Regulatory Compliance and the BEE Framework
Musk’s remarks appeared to be a criticism of South Africa’s Black Economic Empowerment (BEE) policies, which require foreign-owned telecommunications companies to allocate 30% of equity in their local subsidiaries to historically disadvantaged groups. While this requirement has been a point of debate among global investors, South African authorities maintain that it is a standard policy aimed at addressing economic disparities rooted in the country’s apartheid-era history.
Local technology news outlet TechCentral reported that SpaceX, Starlink’s parent company, had previously engaged with Icasa, urging it to reconsider the 30% ownership requirement for telecommunications licensees. However, Icasa stated that it had not received any formal application from Starlink or SpaceX.
A spokesperson for Icasa confirmed: “Icasa has not received any application from Starlink or SpaceX.”
Meanwhile, South African Communications Minister Solly Malatsi, who has been reportedly engaging with industry stakeholders on policy flexibility, did not respond to requests for comment. However, TechCentral also reported that Malatsi had proposed alternative compliance measures, such as “equity equivalents” like skills development initiatives, which could potentially allow companies like SpaceX to operate within the existing legal framework without needing to cede direct ownership stakes.
Starlink’s Regulatory Challenges in Africa
While Starlink has successfully expanded into multiple African nations, regulatory hurdles have also prevented its operation in certain countries. In addition to South Africa, Starlink has faced obstacles in places like Cameroon and Namibia, where authorities have cited licensing and compliance issues as reasons for the delays in granting approvals.
Musk’s recent statements come amid growing diplomatic tensions between South Africa and the United States. The billionaire, who is now an adviser to U.S. President Donald Trump, has made critical remarks about his home country before. Within weeks of taking office, Trump’s administration suspended U.S. aid to South Africa, citing concerns over its land reform policies and its legal action against Israel at the International Court of Justice.
Despite Musk’s comments, South African officials have reiterated that Starlink is welcome to operate in the country, provided it complies with the necessary legal and regulatory requirements.
