Austin, Texas, USA – Tech mogul Elon Musk has launched a scathing attack on the South African government, labeling its Black Economic Empowerment (B-BBEE) policies as “racist” for blocking the operation of his satellite internet service, Starlink.
Okay News reports that the controversy centers on South Africa’s Electronic Communications Act, which requires telecommunications companies to have at least 30% ownership by historically disadvantaged groups (Black, Coloured, or Indian South Africans) to receive a license. Musk, who was born in Pretoria, claims these rules are being used to unfairly exclude Starlink despite his company’s willingness to provide massive social investment.
“South Africa won’t allow Starlink to be licensed, even though I was BORN THERE, simply because I am not Black!” Musk posted on X (formerly Twitter). He further alleged that his team had been approached multiple times with offers to “bribe” their way into a license by using a Black “frontman” to meet the requirements, a practice he stated he has refused on principle.
SpaceX had reportedly proposed a social investment package worth approximately $30 million (₦500 million Rand) to provide free high-speed internet to 5,000 rural schools, potentially benefiting over 2.4 million students. Supporters of Musk’s stance argue that the 30% equity rule is hindering digital inclusion, especially since Starlink is already operational in over 20 other African nations where rural communities now have access to healthcare and educational resources.
However, South African regulators and politicians maintain that the B-BBEE laws are necessary to redress the economic imbalances left by the apartheid era. Critics of Musk’s outburst argue that global corporations must respect the sovereign laws of the countries they operate in, regardless of the founder’s birthplace. As it stands, millions of South Africans in remote areas remain without high-speed satellite connectivity as the standoff between the billionaire and the government continues.
