Elon Musk Challenges South Africa's BEE Laws in Controversial Remarks on Starlink Operations

• Elon Musk questions South Africa's BEE regulations, claiming they're discriminatory to non-Black individuals
• Musk's comments spark backlash, with many viewing obstacles to Starlink as legal rather than personal
• Government officials clarify Starlink's operations must comply with local laws despite Musk's criticisms

Elon Musk has once again taken aim at South Africa over the country's economic transformation policies after questioning why he cannot launch his Starlink satellite internet service.

Musk reposted an interview at the Qatar Economic Forum, in 20 May 2025, where he questioned why he cannot obtain an operating licence for Starlink in South Africa.

"As a person born in South Africa, I cannot get a licence to operate Starlink because I am not black. Does that seem right to you?" Musk asked the interviewer.

The interviewer responded, explaining that the country has rules aimed at promoting economic equality and that the government appeares to have found a workaround for him.

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Musk, however, deflected, insisting the interviewer answer whether the law seems right to her.

"Why do you like racist laws?" he pressed.

Musk argued that South African laws strongly favour Black South Africans, leaving others at a disadvantage.

Musk criticises South Africa’s transformation laws

Elon Musk has previously criticised South Africa’s transformation policies, claiming they are more discriminatory than apartheid-era legislation. Born in Pretoria but now based in the United States, Musk has faced accusations of spreading misleading information about his home country.

Referencing Starlink, Musk compared South Africa’s current legislation to apartheid-era laws. In a post on X, the social media platform he owns, he claimed that the country now has more laws targeting white people than there were laws against black people under apartheid, arguing that race-based legislation should not exist.

Background on the Starlink deal

The controversy stems from a directive issued by Minister of Communications Solly Malatsi, widely seen as an attempt to bypass Black Economic Empowerment (BEE) ownership requirements for Starlink. Malatsi instructed the telecom regulator, ICASA, to relax its strict equity rules in favour of multinational companies like SpaceX.

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Historically, ICASA has required that 30% of equity in any telecom licence be held by historically disadvantaged groups. SpaceX, however, has a global policy of retaining 100% ownership of its subsidiaries, meaning Starlink cannot legally operate in South Africa under the current framework.

ANC criticised Malatsi's move to make way for Starlink

The African National Congress (ANC) criticised Malatsi’s directive, stating that he has neither the legislative nor the moral authority to reverse democratic gains unilaterally and without support from ICASA or his department.

Presidential spokesperson Vincent Magwenya clarified that Starlink will be allowed to operate in South Africa as long as it complies with local laws. While Malatsi’s actions were “within the law” to accelerate ICT licence applications, Magwenya stressed that the president would not condone any attempt to bypass legal equity requirements.

South Africans respond to Musk

Reactions from the public have been mixed, with some accusing Musk of misleading the public.

@GodPenuel commented:

"You're lying. Black foreigners cannot operate in South Africa without abiding by the law. Companies must offer a stake to historically disadvantaged people. The issue isn’t the law—it’s corruption in implementation."

@CryptoGuyTris said:

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"If Elon were black, he wouldn’t face this issue. Changing the colour of his skin shouldn’t determine eligibility for a licence."

@DjangoXtra stated:

"There are over 230 American companies operating in South Africa. No special exception will be made for you. You benefited from apartheid—use your leverage elsewhere."

@TheTruthPanther remarked:

"Elon, claiming Starlink is blocked because of your race is misleading. The obstacles are legal, not personal."

@Timboo stated:

"This hurts South Africans, not Starlink. Denying broader internet access is ridiculous."

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In a separate development, Musk reignited speculations about a “bromance revival” with former US President Donald Trump. On 4 January 2026, Musk posted a picture on X of a dinner with Trump and First Lady Melania Trump, following a very public spat earlier last year.

Source: Briefly News