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Starlink’s parent company, SpaceX, has withdrawn its planned participation in public hearings on South Africa’s proposed new satellite services licensing framework, TechCentral has learnt.
The hearings, organised by communications regulator Icasa, began in Pretoria on Wednesday. SpaceX was scheduled to present in the morning but failed to appear for its allocated timeslot. According to an Icasa spokeswoman, SpaceX later notified the regulator that it would no longer participate in the oral hearings, though its written submission remains on record. The company has not provided a reason for its withdrawal and could not be reached for comment.
The move follows a recent social media post by SpaceX CEO Elon Musk, in which he questioned President Cyril Ramaphosa about South Africa’s “openly racist ownership laws.” The comment has reignited debates over the country’s Black economic empowerment policies and the Expropriation Act, which Ramaphosa signed into law last month.
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Adding to tensions, newly appointed U.S. Secretary of State Marco Rubio announced his withdrawal from the upcoming G20 summit in South Africa, citing concerns over the country’s land reforms and alleged anti-American sentiment. Following these developments, Ramaphosa engaged in direct discussions with Musk to address what his office described as “misinformation about South Africa.”
In its written submission to Icasa, SpaceX urged the regulator to reconsider the requirement for foreign satellite operators to have 30% shareholding by “historically disadvantaged” groups.
“Many foreign satellite operators, particularly those with direct-to-consumer business models, have global policies that prevent local shareholding, thus excluding them from the South African market. This holds true even when these operators are willing to comply with B-BBEE requirements and invest in initiatives that directly benefit the target communities,” SpaceX argued.
The company suggested that aligning licensing regulations with the ICT sector code—allowing equity equivalent programs as an alternative to local shareholding—could lower barriers for foreign operators, fostering innovation, competition, and long-term industry growth.
Communications Minister Solly Malatsi has previously called on ICASA to make similar reforms, emphasising the need to reduce regulatory hurdles that deter foreign investment in South Africa’s ICT sector. However, ICASA has faced criticism at this week’s hearings for focusing narrowly on satellite services instead of implementing a broader review of licensing regulations. The Association for Communications and Technology (ACT), which represents major South African telecom operators, warned that Icasa’s approach could unfairly benefit select companies. ACT has called for uniform licensing rules across all industry players to ensure a level playing field.
Icasa’s public hearings will continue until Friday, with additional industry stakeholders—including satellite and mobile operators—scheduled to provide oral submissions.
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