A racially charged dispute between Elon Musk and South Africa has erupted over the billionaire’s satellite internet service, Starlink, which has failed to launch in the country due to local black empowerment laws. Musk, in a tweet to his 219 million followers, claimed that Starlink was “not allowed to operate in South Africa simply because I’m not black.” This comment has ignited a diplomatic row between the US and South Africa, Africa’s most industrialized nation.
The South African regulatory body, the Independent Communications Authority of South Africa (Icasa), stated that Starlink had never formally applied for a license to operate in the country. The South African Foreign Ministry, on the other hand, clarified that the company would be welcome to operate if it complied with local laws.
To operate in South Africa, foreign companies like Starlink must meet the country’s black empowerment laws, which require 30% ownership by historically disadvantaged groups, particularly the black population. These laws, part of the post-apartheid government’s efforts to address racial inequalities, have been a point of contention for Musk. Starlink’s official submission to Icasa pointed out that these provisions could exclude foreign satellite operators from entering the South African market, according to local news outlet TechCentral.
However, South Africa’s Foreign Ministry disputed this view, noting that over 600 US companies, including tech giant Microsoft, operate in South Africa in compliance with the local laws.
The row has also found support from Communications Minister Solly Malatsi, who hails from the opposition Democratic Alliance (DA) party. The DA is a vocal critic of black empowerment laws, arguing they foster corruption and cronyism. Malatsi has suggested that a policy change could ease Starlink’s entry into South Africa, although no progress has been made to date.
Political opposition from ANC lawmakers in parliament, particularly from Khusela Diko, chairperson of the parliamentary communications committee, has thwarted efforts to bypass the 30% equity requirement. Diko stressed that “transformation” in the tech sector was non-negotiable, reinforcing the government’s stance on compliance with the laws.
The tensions also come amid worsening relations between the US and South Africa, particularly during the presidency of Donald Trump. Musk, a close ally of Trump, has echoed the former president’s claims about land confiscation and alleged white genocide in South Africa—claims that have been widely dismissed. The US president’s controversial statements about white farmers have further fueled the diplomatic discord.
Amid this, South Africa’s government has struggled to balance economic interests with political pressures. In an attempt to reset relations, South African President Cyril Ramaphosa appointed former deputy finance minister Mcebisi Jonas as a special envoy to the US. However, Jonas’ past criticism of Trump has sparked backlash, complicating efforts to rebuild relations.
As Starlink continues to expand across Africa, with operations already in 20 countries, South Africa remains one of the biggest markets it has yet to crack. The company’s goal of expanding internet access to underserved areas aligns with South Africa’s objective of providing universal internet access by 2030. However, the diplomatic dispute may complicate the path forward for Musk’s ambitious plans in the country.
