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SpaceX’s Starlink Pushes for Satellite Licensing in South Africa

Starlink seeks to bypass ownership rules in South Africa as it aims to launch satellite Internet services.

SpaceX’s satellite Internet service, Starlink, is stepping up its efforts to launch in South Africa, with the company set to attend public hearings hosted by the Independent Communications Authority of South Africa (Icasa) on February 5 and 6. The purpose of the hearings is to discuss new licensing rules for satellite services, and Starlink is hoping to get the green light to begin operations in the country.

Starlink has been eager to roll out its services in South Africa, but it’s been held up by Icasa’s regulations, which require companies to have 30% local ownership by historically disadvantaged groups under Broad-Based Black Economic Empowerment (BEE) rules. SpaceX, however, argues that this ownership requirement poses a barrier for global satellite operators like them.

While SpaceX has already set up a legal entity in South Africa and met most other requirements, the BEE policy has kept them from launching. In response, the company is asking Icasa to reconsider the 30% local ownership rule and instead allow companies to meet local economic goals through “equity equivalent programmes.” This would involve companies contributing to South Africa’s economy through projects like universal service initiatives, rather than having to give up ownership.

Starlink’s timing couldn’t be better. South Africa is facing significant internet coverage gaps in rural and underserved areas, and Starlink’s satellite technology could help bridge these gaps. The company sees itself as a perfect fit for the government’s SA Connect initiative, which aims to expand broadband access across the country.

Starlink has already made successful launches in other African countries, including Botswana, Zimbabwe, and South Sudan in 2024, proving its ability to handle high demand in markets with limited infrastructure. This success strengthens its case for South Africa, with Starlink pushing the message, “We’ve done it before—just give us the chance.”

Icasa, which has not issued new telecom licenses in 13 years, is looking to modernize its regulatory framework. In August, the agency published a proposed licensing framework, which includes clearer rules for international satellite providers, registration requirements, and a review of spectrum fees. The goal is to make South Africa’s telecom market more attractive to big players like SpaceX.

The upcoming hearings could be a game-changer for South Africa’s tech landscape, balancing the need for local economic participation with the potential for a massive tech boost. All eyes will be on the discussions in February to see if they clear the path for Starlink to finally launch in South Africa.

 

Vivian Akinyosoye
Vivian Akinyosoye is a seasoned journalist with a background in English Language and a Masters degree in International Law & Diplomacy. She officially began her career in journalism when she joined Channels Television Lagos Nigeria in 2000. Her work in Channels allowed her to hone her skills as a journalist laying a solid foundation for a successful career as a versatile reporter covering Human angle stories, Health, Aviation, Metrofile, Travels, Business and Finance. She served as State House Correspondent Abuja in her early years with Channels TV and has trained at the London Academy for Film, Media and TV. She also served briefly with Silverbird Television Lagos Nigeria before joining African Voices 1 Network Intl (AV1 News) where she currently serves as Lead Editor, Business & Finance.

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