### South Africa's Regulatory Shift: Opening Doors for Foreign Satellite Internet Providers In a significant policy change, South Africa's communications minister has lifted the requirement for foreign satellite internet providers, including Elon Musk's Starlink, to sell 30% of their local equity to Black or other non-white owners. This directive, published in a government gazette, allows these companies to operate without the previous ownership mandate, instead permitting them to invest in "equity equivalent" programs aimed at supporting previously disadvantaged groups. This move has been framed as a response to criticisms of the country's ownership laws, which Musk described as "openly racist" [https://apnews.com/article/south-africa-elon-musk-starlink-91c9289d2d4f13d5c20decda3c896875]. ### Overview of the Policy Change and Reactions 1. **Policy Change Details**: - The new directive allows foreign satellite internet providers to bypass the 30% local ownership requirement. - Companies can now meet affirmative action criteria through investments in skills training and other support programs for disadvantaged communities [https://www.devdiscourse.com/article/law-order/3729527-south-africa-eases-satellite-internet-rules-for-starlink]. 2. **Political Backlash**: - South African lawmakers have expressed concerns over this policy shift, calling for its withdrawal due to fears it undermines local ownership and affirmative action principles [https://insidepolitic.co.za/south-african-lawmakers-seek-halt-to-easing-rules-for-starlink]. 3. **Implications for Starlink**: - The removal of the ownership requirement is seen as a crucial step for Starlink's entry into the South African market, with plans for a launch in 2026 now more feasible [https://newsnote.co.za/starlink-set-to-launch-in-south-africa-in-2026-as-government-scraps-30-black-ownership-rule]. ### Supporting Evidence and Data - **Key Dates**: - The policy change was officially published on December 12, 2025, and was widely reported on December 13 and 15, 2025 [https://www.devdiscourse.com/article/law-order/3729384-south-africas-telecom-transformation-new-rules-for-starlink-and-others]. - **Stakeholder Reactions**: - Elon Musk's comments on the previous ownership laws highlight the tension between foreign investment and local affirmative action policies [https://broadbandbreakfast.com/south-africa-eases-affirmative-action-regulations-on-starlink-that-musk-said-were-racist]. ### Conclusion: A Controversial Path Forward The recent policy change in South Africa represents a pivotal moment for foreign satellite internet providers, particularly Starlink. The decision to eliminate the 30% local ownership requirement has sparked a mix of optimism and controversy: 1. **Positive Outlook for Foreign Investment**: - The new regulations are expected to facilitate the entry of Starlink and similar companies into the South African market, potentially enhancing internet access and competition [https://teslanorth.com/2025/12/12/starlink-nears-south-africa-launch-after-rule-change]. 2. **Concerns Over Local Ownership**: - Lawmakers and critics argue that this shift could undermine the progress made in local empowerment and affirmative action, raising questions about the long-term implications for South Africa's telecommunications landscape [https://insidepolitic.co.za/south-african-lawmakers-seek-halt-to-easing-rules-for-starlink]. 3. **Future Developments**: - As the situation unfolds, the balance between attracting foreign investment and maintaining local ownership principles will be a critical area of focus for policymakers and stakeholders alike [https://www.broadcastandcablesat.co.in/s-africa-eases-rules-opening-door-for-starlink-and-other-foreign-operators].