In brief
The South African government is reviewing policies that may allow Elon Musk's Starlink to operate without local shareholding requirements. This comes after a pivotal White House meeting between President Trump and President Ramaphosa.
The South African government is taking steps to potentially approve Elon Musk’s Starlink satellite internet service, marking a significant shift in its regulatory approach. Recently, officials initiated a policy review that could enable Starlink to operate in the country without being obligated to sell shares to Black South Africans, adhering to local laws that aim for economic inclusivity post-apartheid.Historically, these laws require foreign companies to offer partial ownership to previously disadvantaged groups in South Africa, a move designed to address economic inequalities that linger after the end of apartheid. Musk has publicly criticized these regulations as discriminatory, previously saying, “Starlink is not allowed to operate in South Africa, because I’m not black,” reflecting his frustration with the existing ownership laws.This announcement follows a tense Oval Office discussion where President Trump raised unfounded claims about violence against white farmers with South Africa's President Cyril Ramaphosa. U.S. officials have suggested that exempting American companies from these local ownership rules could benefit trade relations and offer broader opportunities for investors like Musk. The move could be part of Ramaphosa's strategy to repair the often frosty relationship between South Africa and the United States while facilitating the launch of Starlink in South Africa.
