Icasa could clip Starlink's wings if found to be operating illegally
Communications and Digital Technologies Minister Solly Malatsi has defended ICT policy, denied special treatment for Starlink, and stressed the need to align sector regulations with transformation laws through equity equivalent investment options.
Image: X / IOLGraphics
Billionaire Elon Musk's Starlink could be slapped with fines or even a ban on its operations if found to be offering services without authorisation in the country.
The Independent Communications Authority of South Africa (ICASA) confirmed that the organisation had launched an investigation into the alleged unlawful use and provision of Starlink services in South Africa.
This comes after the uMkhonto weSizwe Party (MK Party) alleged that Starlink was offering its services in South Africa without a licence.
ICASA has also engaged SpaceX for further clarity and has deployed inspection teams on the ground to investigate the matter further.
ICASA spokesperson Milly Matlou said: 'ICASA has launched an investigation into the alleged unlawful use and provision of Starlink services in SA. We have also engaged SpaceX for further clarity and have currently deployed inspection teams on the ground to investigate the matter further.'
According to ICASA, its investigation will determine whether Starlink has indeed breached South African laws and regulations.
Video Player is loading.
Play Video
Play
Unmute
Current Time
0:00
/
Duration
-:-
Loaded :
0%
Stream Type LIVE
Seek to live, currently behind live
LIVE
Remaining Time
-
0:00
This is a modal window.
Beginning of dialog window. Escape will cancel and close the window.
Text Color White Black Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Transparent Semi-Transparent Opaque
Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps
Reset
restore all settings to the default values Done
Close Modal Dialog
End of dialog window.
Advertisement
Next
Stay
Close ✕
Ad loading
If found guilty, the company could face enforcement actions, including fines or even a ban on its operations in the country.
'Should the investigation yield any breach with regulatory and legislative frameworks, the Authority will explore the applicable enforcement actions within its disposal, which may include, among others, lodging a formal complaint with the International Telecommunication Union (ITU),' Matlou said.
'To this end, ICASA has published a general notice under Government Gazette no 49777 reiterating that all entities offering electronic communications services within South Africa are required to comply fully with the applicable legislative and regulatory frameworks.'
The MKP alleged that Starlink was operating in South Africa without authorisation, using a shadow entity called "ICASAsePUSH" to masquerade its operations.
The party claimed that this constitutes a 'blatant' violation of South African telecommunications law and represents a direct affront to the country's Broad-Based Black Economic Empowerment (B-BBEE) framework.
The party made the allegations during the Portfolio Committee on Communications and Digital Technologies meeting in Parliament on Tuesday.
'During that session, the MK Party directly challenged the Minister of Communications and Digital Technologies regarding his awareness of this operation. His professed ignorance was not only unacceptable but deeply troubling,' spokesperson Nhlamulo Ndhlela said.
'The MK Party will not tolerate the erosion of our legal framework by foreign profiteers or their local enablers. We categorically reject any attempt to circumvent B-BBEE laws under the guise of innovation or foreign investment.'
Communications and Digital Technologies Minister Solly Malatsi has expressed his full support for ICASA's investigation, stating that it is the regulator's responsibility to manage both license applications and investigations.
This will be the second time the ICASA investigates Starlink's dealings.
In 2023, ICASA issued a notice, warning that it was illegal for anyone or company to use Starlink, as it doesn't hold a license to operate in the country.
Cape Times

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles

IOL News
an hour ago
- IOL News
Navigating tough times: Huge Group's strategy for sustainable growth
South African investment holding company Huge Group is positioning itself for long-term growth, despite the challenging economic and political landscape, it said in its annual report released on Friday. With assets under management of R1.463 billion for 2024, the company is actively refining its investment strategy, focusing on ecosystems and technology enablement. Its investment portfolio companies comprise: - Huge TNS is a network enabler offering a comprehensive suite of data, voice, and network services, along with ICT hardware solutions for corporate businesses, small and medium enterprises (SMME) and small home offices. - Huge Connect recently embarked on a process of pivoting the business to incorporate a much broader, full-service IoT proposition for enterprise and SMME clients. - Huge Distribution is a customer-centered, channel-only telecoms and renewable energy solutions distributor serving the South African and African market. It is positioning itself as a leading importer and distributor of alternative energy products and solutions, including solar panels, inverters, and lithium batteries - Huge NXTGN. The latest addition to Huge Group's portfolio introduced a highly sophisticated enterprise network enablement capability into the portfolio and served as the inflection point for the evolution of its strategy in addressing the rapidly evolving needs of enterprise and SMME clients. AND provides agile cloud-native, turnkey enterprise enablement capabilities. James Herbst, the CEO, said, "As a South African investment company, we operate in a challenging environment. SA's small-cap sector has suffered from prolonged neglect. High interest rates, global and local political uncertainty, and a profoundly limited institutional appetite have all weighed on market sentiment. It is in this light that the outcomes HugeGroup has achieved are remarkable." He said like many of its peers, Huge Group's market price also trades at a substantial discount to its NAV (net asset value) – a reflection of the current investment environment, small cap sentiment, technical share imbalances (where the supply of small-cap shares exceeds the demand for them), rather than a reflection of the fundamental value of its investment portfolio. "The valuation gap which is currently extant, which is represented by the discount at which our shares trade to their net asset value, will begin to narrow as investors and analysts begin to understand our investment approach," he said. Veran Kathan, the chairman of Huge Group, said the South African operating environment had been much tougher for businesses this year. The Government of National Unity had faced challenges, global and local services inflation had been much stickier than expected (resulting in interest rates falling far slower than expected), and global geopolitical tensions had continued to rise. After Huge reviewed its investment philosophy, approach, models, and style "we realised how well Huge Group and its PICs (portfolio investement companies) are already positioned to innovate, and we realised that we have the ecosystem and technology to connect consumer brands to consumers in a cost-effective way, where convenience is a theme, where all the parties have a great experience, and where value is shared – and so Huge NXTGN was born. In pursuit of this innovation, we deployed considerable capital to Huge NXTGN," he said. On governance, in August 2024, Maria Heraty resigned as Huge Group's chief financial officer and Tamryn van Tonder, Huge Group's chief commercial officer, stepped in to fulfill her role Van Tonder said, as regards investment performance, given general market sentiment and volatility this year, Huge have opted for a more conservative approach tovaluing the investments within its investment portfolio, despite falling interest rates, which ordinarily have a positive impact on valuations. She said the investment performance was also negatively impacted by delays in the deployment of loan capital to its existing PICs. Looking forward, Huge remains resolute in its commitment to continue investing in "our ecosystems, while remaining equally focused on active cash management, the optimising of our investment portfolio's cost base, as well as initiatives focused on unlocking synergies and efficiencies across our investment portfolio," she said. BUSINESS REPORT

IOL News
5 hours ago
- IOL News
The merger of KZN's Gold Circle and Cape Racing has birthed Race Coast.
The merger of Gold Circle's operations in KwaZulu-Natal and Cape Racing from the Western Cape has given rise to an exciting new entity known as Race Coast. Founded under the auspices of the uMhlanga-based South African sports betting company Hollywoodbets, this collaboration has been met with resounding support from the nation's leading horse trainers, who believe it represents a bright future for the sport. Prominent South African champion trainer Justin Snaith, along with the globally-renowned horse racing ambassador Mike de Kock and accomplished trainer Dean Kannemeyer, have publicly endorsed Race Coast. Their collective enthusiasm highlights a refreshing wave of optimism within the racing community. The Cape Town-based Snaith emphasised that this initiative promises not only to elevate the standards of racing but also to foster a deeper connection between the sport and its fans. He reflected on the initial success in his province of a similar initiative, RaceCape, initiated by Cape Racing and Hollywoodbets. Snaith is celebrating a half-century of KZN winter season assaults for the famous family operation. His father Chris, still a key member of their team, first raided with a string from the Cape in 1975. 'That structure has proven a tremendous success! It has not only boosted ownership and field sizes in the Western Cape but has also provided trainers with additional funding to enhance their operations. "Now we mark the historic beginnings of Race Coast, which is another generous initiative by Hollywoodbets, aimed at promoting ownership in KwaZulu-Natal and the Cape while boosting the horse population,' said at the launch of Race Coast. Snaith reminded us of the past, recalling that many feared that horse racing in South Africa might not survive after the COVID-19 pandemic. 'However, the dedicated efforts of a few individuals have not only saved the sport but have also paved the way for an exciting future. It is a future that we can shape and reinvent, making it better for all stakeholders involved. "Race Coast marks the beginning of something special for the province and the future of horse racing in South Africa. On behalf of all our owners, staff, and horses, we want to express our sincere gratitude,' he concluded. Mike de Kock, hailed as one of the great trainers of his generation, echoed this sentiment. He expressed confidence that Race Coast would invigorate South African racing and attract a new generation of enthusiasts, emphasising the intrinsic value of promoting racing as both an entertainment platform and a cultural cornerstone. De Kock, who recently joined forces with his son Mathew in a training partnership, said: 'De Kock Racing has been around for a long time, but as a new training partnership, Mathew and I are excited to be involved with the innovators behind Race Coast. "We have already seen the evidence of their vision and commitment, and we have positioned ourselves to grow with them. We look forward to what the future holds.' Three-time Hollywoodbets Durban July winning trainer Kannemeyer said a refreshing wave of enthusiasm and hope have been felt tangibly in the horse racing fraternity. 'The improvement and upliftment have been in bricks and mortar, communication, and incentives and stakes across the spectrum in the Cape, and looking at the rejuvenated Hollywoodbets Greyville landscape. It is a revelation and a passion-driven work-in-progress, in simple terms," he said. "The Hollywoodbets Team have made a difference in a short time, and one gets a very warm feeling that the sport is in good hands. We are all united under the flag of future prosperity, and, on behalf of our owners and the DKR team, I extend sincere onward and upward best wishes to Race Coast.'

IOL News
6 hours ago
- IOL News
WATCH: Elon Musk's bizarre departure from Trump's administration - with a black eye
Elon Musk bid farewell to Donald Trump in the Oval Office appearance, sporting a black eye and dismissing drug abuse claims while vowing to remain a close advisor. But many people were more interested in the livid black bruise around Musk's right eye. "I look forward to continuing to be a friend and advisor to the president," he said. South African-born Musk, wearing a black T-shirt with the word "Dogefather" in white lettering and a black DOGE baseball cap, said many of the $1 trillion savings he promised would take time to bear fruit. "He's going to be back and forth," said Trump, showering praise on the tech tycoon for what he called the "most sweeping and consequential government reform program in generations." But Trump insisted that Musk was "really not leaving" after a turbulent four months in which his Department of Government Efficiency (DOGE) cut tens of thousands of jobs, shuttered whole agencies and slashed foreign aid. As the world's richest person bowed out of his role as Trump's cost-cutter-in-chief, the Republican hailed Musk's "incredible service" and handed him a golden key to the White House. Billionaire Elon Musk bade farewell to Donald Trump in an extraordinary Oval Office appearance Friday, sporting a black eye, brushing aside drug abuse claims and vowing to stay a "friend and advisor" to the US president. Speculation about the cause was further fueled by accusations in the New York Times Friday that Musk used so much of the drug ketamine on the 2024 campaign trail that he developed bladder problems. 'Punch me' The SpaceX and Tesla magnate said that his son was to blame for the injury. "I was just horsing around with lil' X, and I said, 'go ahead punch me in the face,'" 53-year-old Musk said. "And he did. Turns out even a five-year-old punching you in the face actually is..." he added, before tailing off. Musk, however, dodged a question about the drug allegations. The New York Times said Musk, the biggest donor to Trump's 2024 election campaign, also took ecstasy and psychoactive mushrooms and traveled with a pill box last year. Musk, who has long railed against the news media and championed his X social media platform as an alternative, took aim at the paper instead. "Is that the same publication that got a Pulitzer Prize for false reporting on the Russiagate?" said Musk, referring to claims that Trump's 2016 election campaign colluded with Moscow. "Let's move on. Okay. Next question." Later in the day, when a reporter asked Trump if he was "aware of Elon Musk's regular drug use," Trump simply responded: "I wasn't." "I think Elon is a fantastic guy," he added. The White House had earlier played down the report. "The drugs that we're concerned about are the drugs running across the southern border" from Mexico, said Trump's Deputy Chief of Staff Stephen Miller, whose wife works for Musk. Musk has previously admitted to taking ketamine, saying he was prescribed it to treat a "negative frame of mind" and suggesting his use of drugs benefited his work. 'Disappointed' The latest in a series of made-for-TV Oval Office events was aimed at putting a positive spin on Musk's departure. Musk is leaving Trump's administration under a cloud, after admitting disillusionment with his role and criticizing the Republican president's spending plans. It was a far cry from his first few weeks as Trump's chainsaw-brandishing sidekick. At one time Musk was almost inseparable from Trump, glued to his side on Air Force One, Marine One, in the White House and at Trump's Mar-a-Lago resort in Florida. The right-wing magnate's DOGE led an ideologically-driven rampage through the federal government, with its young "tech bros" slashing tens of thousands of jobs. DOGE's achievements fell far short of Musk's original goal of saving $2 trillion dollars. The White House says DOGE has made $170 billion in savings so far. The independent "Doge Tracker" site has counted just $12 billion while the Atlantic magazine put it far lower, at $2 billion. Musk's "move fast and break things" mantra was also at odds with some of his cabinet colleagues, and he said earlier this week that he was "disappointed" in Trump's planned mega tax and spending bill as it undermined DOGE's cuts. Musk's companies have suffered Tesla shareholders called for him to return to work as sales slumped and protests targeted the electric vehicle maker, while SpaceX had a series of fiery rocket failures. AFP