Starlink is reportedly eyeing a massive investment in South Africa, committing to spending R2.5 billion, but regulatory delays are scuppering these plans, for now.
According to reports in TechCentral, a senior director in charge of market access at Starlink owner SpaceX recently told a meeting of South Africa’s Internet Service Providers’ Association that the company is willing to comply with BEE rules and that it also wants to partner with local telecommunications operators, ISPs and other companies as part of its go-to-market strategy.
In May this year, the Minister of Communications and Digital Technologies, Solly Malatsi, announced a new policy direction designed to attract investment in South Africa’s ICT sector while accelerating transformation efforts.
Published in the Government Gazette, the draft policy outlined how equity equivalent investment programmes (EEIPs) can be used by multinational companies to meet empowerment obligations under the Electronic Communications Act.
EEIPs offer alternatives to traditional equity ownership, enabling companies that do not typically sell local shares, such as Elon Musk’s Starlink, to invest in initiatives that support South Africa’s transformation goals.
But since Malatsi’s announcement, there appears to have been little progress and few updates on implementing the policy direction.
Meanwhile, the National Sea Rescue Institute (NSRI) has welcomed the reporting in TechCentral, regarding Starlink’s intentions to expand its operations and infrastructure investment in South Africa.
NSRI Chief Executive Officer, Mike Vonk, says this promises to be a game-changer for sea rescue communication, especially to cover large areas of remote waters.
Vonk says during rescues in such isolated locations, NSRI rescue crews, who are all unpaid volunteers and often operate beyond the reach of land-based or mobile networks, frequently face communication issues that can be limited or completely cut off.
Communication breakdowns can delay response times, hinder coordination, and increase risk for both rescuers and those in distress. Starlink’s low-latency satellite network offers the potential to bridge this gap.
“When our volunteers are operating far offshore in difficult conditions, every second of communication matters. Starlink’s technology will help ensure that our crews remain connected during the most complex and time-critical rescues, improving their safety and, ultimately, saving lives.”
In 2024, the NSRI expressed its support for Starlink’s introduction to South Africa, recognising its potential to improve emergency communication nationwide. Vonk says this renewed commitment brings that vision significantly closer to reality.
“The NSRI’s mission has always been to save lives on South African waters. Reliable communication is central to that mission. The progress being made to bring Starlink to South Africa is encouraging, and we look forward to working with Starlink, government and local partners to integrate this technology safely and sustainably into our operations.”
