SA look to ease Starlink amid Ramaphosa, Trump meeting

AS DIPLOMATIC tensions simmer between the United States and South Africa, South African government is reportedly exploring a workaround to Black Economic Empowerment (BEE) laws to pave the way for Elon Musk’s Starlink to launch in the country.

- LUNGANI ZUNGU

According to Bloomberg sources familiar with the matter, the South African government is preparing to offer Musk a tailored solution that circumvents existing BEE requirements – rules which Musk has publicly slammed as “racist and improper.”

This comes amid media reports that President Cyril Ramaphosa’s high-powered delegation was offering a workaround to South Africa's Black Economic Empowerment (BEE) laws to enable Starlink's entry into the local market.

Ramaphosa is expected to meet with US President Donald Trump today.

Starlink, a satellite-based internet service developed by Musk’s SpaceX, was aimed at providing global internet access, especially in underserved or remote regions.

Musk, who was born in South Africa, has previously claimed that Starlink was prohibited from the country because he is not Black.

The South African government swiftly rejected this claim, stating that the laws applied equally to all foreign-owned telecommunications companies.

The government's reported offer involves allowing Starlink to meet the requirements of South Africa's equity rules through alternative investments, such as infrastructure or small business development.

These kinds of arrangements, known as “equity equivalent” programmes, have been accepted in other industries where direct equity ownership isn’t feasible due to global company structures.