The news:
- ICASA has warned South Africans against using unlicensed Starlink services, citing regulatory non-compliance.
- Starlink has not submitted a formal application for operating licences in South Africa.
- The government has proposed “equity equivalent” alternatives to existing 30% Black ownership requirements, but critics argue policy changes may favour Elon Musk’s Starlink, raising concerns about regulatory integrity.
South Africa’s communications regulator, the Independent Communications Authority of South Africa (ICASA), has issued a stern warning to citizens using Starlink’s satellite internet services without proper authorisation. The regulator emphasised that utilising such unlicensed services violates national regulations and could lead to enforcement actions.
Despite a months-long campaign to launch in South Africa, Starlink has yet to submit a formal application for the licences required to operate legally in South Africa. South Africa’s Black Economic Empowerment (BEE) laws mandate 30% ownership by historically disadvantaged groups, a concession which the company is unwilling to make.
In response to these challenges, Communications Minister Solly Malatsi recently introduced a proposed policy direction suggesting “equity equivalent” alternatives.
This approach would allow foreign companies like Starlink to invest in local infrastructure or small Black-owned businesses instead of meeting the traditional equity ownership requirements.
However, the timing and nature of the proposed changes have sparked controversy. Critics argue that the policy shift appears tailored to accommodate Starlink, especially following Elon Musk’s public criticism of South Africa’s BEE laws as “openly racist.”
Opposition parties and industry stakeholders express concerns that such exceptions could undermine the country’s commitment to economic transformation and set a precedent for regulatory favouritism.
“We are not going to accept a situation where our laws are going to be rewritten in Washington,” Sixolisa Gcilishe, a member of the leftist Economic Freedom Fighters, said on Tuesday.
While the government insists that the proposed policy changes are not designed to benefit any specific company, the debate highlights the tension between fostering innovation and maintaining equitable economic policies.
