The Starlink South Africa licensing dispute has taken a racially charged turn after Elon Musk claimed the country barred his satellite internet firm from operating because he is “not black.” Musk’s statement, made to his 219 million followers on X (formerly Twitter), has triggered diplomatic ripples, inflamed political debate, and complicated US–South Africa relations.
The Legal Hurdle: Black Empowerment Requirements
South Africa mandates that telecom operators must meet 30% ownership by historically disadvantaged groups, a key pillar of its post-apartheid Black Economic Empowerment (BEE) policy. The rule aims to reverse decades of racial inequality, but Musk sees it as a barrier to foreign investment.
However, South Africa’s communications regulator (Icasa) said Starlink never formally applied for a license, contradicting Musk’s narrative. The Foreign Ministry added that Starlink is welcome—as long as it complies with local laws.
Musk vs. ANC and the US–Africa Divide
Musk’s harsh criticism aligns with comments from US President Donald Trump, who has accused South Africa of committing “land genocide” against white farmers and threatened to boycott the G20 summit set to be hosted in the country.
Trump’s claims echo Musk’s allegation that “a major South African political party” (implied to be the EFF) promotes white genocide—a claim widely debunked but politically inflammatory. Musk also cited a recent law allowing land seizure without compensation, which the government insists applies under limited conditions.
Political Resistance and DA’s Push for Reform
Communications Minister Solly Malatsi of the Democratic Alliance (DA) has tried to ease Starlink’s path into the country. Malatsi suggested allowing “equity equivalent” social investments in lieu of the 30% black ownership rule. But six months later, there’s been no policy shift, likely due to resistance from ANC lawmakers, who argue that “transformation is non-negotiable.”
Khusela Diko, chair of the parliamentary communications committee, warned that “circumvention is not an option.” Her remarks reinforce the ANC’s stand that Musk and Starlink will not receive special treatment.
Wider Starlink Expansion—and Controversy
Elsewhere in Africa, Starlink has gained ground, operating in over 20 countries, including Nigeria, Somalia, and Lesotho. Notably, Lesotho granted Starlink a 10-year license just days after Trump imposed—and then partially paused—tariffs on its imports. Activists in Lesotho condemned the move, calling it a “betrayal” of local interests due to lack of local ownership.
In Namibia, Starlink awaits a decision on its license and an exemption from the 51% local ownership requirement, with the regulatory body citing ongoing legal reviews.
Why It Matters: Connectivity vs Compliance
Despite controversy, Starlink’s low-orbit satellites offer promise in bridging the digital divide, especially in rural South African regions, where 20% of the population lacks internet access. Yet, Icasa has banned regional roaming workarounds and warned that unauthorized Starlink services will be penalized.
A compromise could benefit both parties: enabling broadband access for millions while helping Starlink tap a lucrative emerging market. But with political resistance, US diplomatic friction, and regulatory rigidity, progress remains stalled.
A Fragile “Bromance” Breaks Down
Last year, President Cyril Ramaphosa met Musk in New York and attempted to court his investment. Today, that rapport has cooled significantly. In a bid to repair ties with the Trump administration, Ramaphosa has appointed former finance deputy Mcebisi Jonas as his special envoy to the US.
Yet Jonas is already facing backlash from the South African right wing for past remarks criticizing Trump. The diplomatic balancing act is delicate—especially with Trump threatening a 30% tariff on South African goods.
Conclusion
The Starlink South Africa licensing dispute is no longer just about broadband—it’s now a geopolitical flashpoint. With racism, investment policy, and US-Africa diplomacy all in play, how this standoff resolves could reshape tech regulation and foreign investor confidence across the continent.