Effort to Get Starlink in South Africa Collides With Tension Over Musk

Africa|Effort to Get Starlink in South Africa Collides With Tension Over Musk

South Africa’s president, Cyril Ramaphosa, has been vocal about his desire to see his country’s wealthiest son, Elon Musk, invest some of his billions at home.

But his overtures have been stymied by Mr. Musk’s criticism of the South African government as racist. Mr. Musk has argued that a law requiring foreign companies to sell ownership stakes to Black people — or others who faced discrimination during apartheid — is discriminatory and prevents his satellite internet provider, Starlink, from operating there.

Now, a South African official is paving the way for Starlink, and other similar providers, to operate in the country through an alternative to the requirement of Black ownership.

The official, Solly Malatsi, who oversees the country’s telecommunications, has said that he is finalizing a directive that would allow satellite internet companies to obtain licenses by investing in disadvantaged communities, rather than by selling equity in their companies.

The directive would still need to go through a public consultation process with the Independent Communications Authority of South Africa, which regulates the telecommunications industry, before going into effect.

Mr. Malatsi’s political opponents say that providing an alternative to Black ownership would undermine efforts to undo racial disparities cemented during apartheid. They accuse him of trying to appease Mr. Musk, who was born and raised in South Africa but has rarely returned since moving away as a teenager.