Starlink asked South African regulators to relax 30% local ownership rules so it can launch satellite internet for rural communities.
American satellite internet provider Starlink, owned by billionaire Elon Musk’s company SpaceX, has made a fresh plea to South African authorities to ease strict local ownership laws.
The company presented its position during a public hearing hosted by the country’s media regulator, the Independent Communications Authority of South Africa, on Wednesday, August 19, 2026.
Starlink asked official leaders to change or relax current telecommunications rules so that fast satellite internet can finally reach millions of people living in remote villages across South Africa.
The main reason for the long debate is a South African law that says any foreign telecommunications company operating inside the country must hand over thirty percent of its company ownership to local historically disadvantaged groups.
This rule, known as Black Economic Empowerment, was created decades ago to help balance wealth after apartheid. However, because SpaceX owns one hundred percent of its global operations everywhere in the world, it cannot sell pieces of its business to local owners.
Because of this clash, Starlink has been blocked from getting an official operating license, even though it already operates in twenty-nine other African countries.
During the public meeting, senior representatives from SpaceX urged officials to adjust the rules so global tech companies can bring money and internet equipment into the country.
Encouraging government regulators to look at international standards, SpaceX Senior Director for Market Access and Development Ryan Goodnight stated that ICASA should address how the licensing and ownership framework clashes with operational fee rules.
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Explaining why clear rules matter for big projects, Ryan Goodnight pointed out that long term licenses give operators “an avenue to set out a long term infrastructure and operational plan”.
Reports show that South Africa’s Communications Minister, Solly Malatsi, recently proposed a workaround. Under this idea, foreign companies would not have to sell thirty percent of their business; instead, they could invest money into local community projects, like giving free internet equipment to rural schools.
However, local political groups remain split, with some arguing that changing ownership rules undermines local business empowerment.
In plain and simple terms, Elon Musk’s internet company wants to bring fast satellite internet to South Africa, but government rules say foreign companies must give away thirty percent of their local business to local citizens.
Starlink is asking the government to let them invest in local schools and communities instead, so everyone can get internet access.
