Africa's richest country pushes rule review that would ease Elon Musk's Starlink entry
South Africa is reconsidering its Black Economic Empowerment (BEE) policies related to foreign satellite internet providers.
The proposed changes suggest allowing equity-equivalent programs instead of mandatory 30% Black ownership.
SpaceX supports these reforms, which might facilitate its operations in the country without ceding ownership.
Opposition voices criticise the potential policy shift, alleging favouritism towards wealthy foreign interests.
The Department of Communications and Digital Technologies is considering 19,000 public submissions on proposed changes to the Black Economic Empowerment (BEE) rules.
The review would assess whether tech firms could meet the requirements through equity-equivalent programs rather than the current 30% Black ownership threshold, according to Bloomberg.
'We are prioritizing it, you cannot sit on submissions. Once done, and based on the sentiment, we can make a submission to Icasa to make the final decision,' Communications and Digital Technologies Minister Solly Malatsi said, referring to the regulatory Independent Communications Authority of South Africa.
No Starlink in Africa's biggest economy
Despite being operational in over 17 African countries, including neighbouring nations like Namibia, Mozambique, and Botswana, South Africa, the continent's largest economy, is not on the Starlink network.
Elon Musk has rejected demands to give up equity to meet Black-ownership rules designed to address apartheid-era inequalities, calling the laws 'openly racist.' SpaceX, in its submission to the government, has backed the proposed amendments.
Under the new changes, telecoms companies could meet empowerment requirements by investing in infrastructure, digital inclusion, or research projects that benefit disadvantaged communities, rather than ceding ownership.
The plan has drawn sharp criticism from opposition parties and civil society groups, who accuse the government of rewriting laws to favour a wealthy foreign billionaire.
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