Elon Musk’s Starlink could launch in South Africa soon

Starlink, Elon Musk’s satellite internet service run by SpaceX, is edging closer to entering South Africa as the government moves to ease rules for foreign operators. The company, which has already begun expanding in Africa, could soon offer services to the continent’s largest economy without giving up ownership.

Solly Malatsi, Minister of Telecommunications and Digital Technologies, directed the Independent Communications Authority of South Africa (Icasa) to revise local ownership rules. In a gazette published Friday, Malatsi said about 90 percent of the 15,000 public submissions supported a policy shift that would allow companies to count equity-equivalent investment programs toward empowerment, rather than requiring a strict 30 percent local ownership.

Satellite providers eye South Africa opportunities

“Amending these rules could open the way for Starlink and other satellite internet providers to operate while contributing to South Africa’s economy,” Malatsi said. He first proposed the changes in May after reviewing the public’s responses. Musk has resisted ceding equity, citing the country’s current regulations as restrictive, prompting critics to accuse him of bias.

Under the current framework, Icasa’s ownership rules do not fully recognize equity-equivalent investment programs (EEIPs), which allow companies to support local initiatives without transferring shares. EEIPs fund high-impact projects in infrastructure, education and digital access, providing alternatives for foreign firms to participate in economic transformation.

Adjusting the rules could help telecom companies fund programs that improve connectivity for rural and underserved communities. Satellite internet, using low-Earth orbit networks, promises more reliable and affordable access in areas where only 1.7 percent of households have internet, according to a 2023 national survey.

Similar exemptions already exist in sectors like automotive manufacturing, where major companies fund initiatives to increase participation from historically disadvantaged groups.

Starlink seeks expansion across Africa

Starlink began operating in Africa in 2022 and has expanded steadily as approvals come through. Namibia recently advanced its licensing process after the Communications Regulatory Authority of Namibia published Starlink’s application in the gazette and invited comment.

Cameroon has taken a similar step. The Telecommunications Regulatory Board has submitted a draft concession agreement and technical specifications for Starlink Cameroun Sarl, according to details outlined during the country’s 2025 budget review presented to lawmakers.

Musk, with a net worth of $468 billion, has said Starlink plans to expand wherever regulatory approval is granted. For South Africa, the pending rule changes could determine whether that expansion finally reaches one of the continent’s most competitive telecoms markets.