South Africa Eases Satellite Internet Rules for Starlink

A policy update in South Africa allows foreign satellite internet providers like Elon Musk's Starlink to operate without selling local equity. Instead, they must invest in programs supporting disadvantaged groups. This marks a shift aimed at boosting foreign investment while continuing efforts to address apartheid-era inequalities.

South Africa's communications minister has ordered a significant policy shift, authorizing Elon Musk's Starlink and other foreign-owned satellite internet providers to operate without the mandate of selling 30% of their local equity to Black or other non-white owners.

Published in a government gazette, this policy update permits foreign companies in the communications sector to fulfill affirmative action requirements through 'equity equivalent' programs. These initiatives include skills training and other support for historically disadvantaged groups, favorably altering the investment landscape for foreign enterprises.

The policy change, welcomed by South Africa's Communications Minister Solly Malatsi, could potentially speed up the deployment of high-speed internet in the country's rural areas. However, some critics argue that the existing affirmative action laws have previously deterred foreign investment, despite their role in addressing historical injustices.

(With inputs from agencies.)