financetom
Technology
financetom
/
Technology
/
South African lawmaker accuses minister of trying to change law for Musk's Starlink
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
South African lawmaker accuses minister of trying to change law for Musk's Starlink
Apr 7, 2025 10:32 AM

By Nqobile Dludla

JOHANNESBURG (Reuters) - A senior South African lawmaker on Monday accused the communications minister of seeking to erode the country's laws on local ownership to appease foreign businesses looking to work in the country, which include Elon Musk's Starlink.

Last year Communications Minister Solly Malatsi said he would issue a policy directive on the recognition of equity equivalent programmes in his sector to accelerate broadband access and bring in multinationals who could not comply with local equity ownership requirements.

The Electronic Communications Act states that historically disadvantaged groups must hold at least 30% equity in any potential licensee seeking to operate in South Africa's telecommunications, broadcasting or postal sectors.

Starlink's parent company SpaceX wrote to telecommunications regulator ICASA that local shareholding laws were a significant barrier and that it should rethink the 30% ownership requirement for licensees by introducing equity equivalent programmes as an alternative.

The Chairperson of the Portfolio Committee on Communications and Digital Technologies, Khusela Sangoni Diko, said in a statement the minister was seeking to "erode hard-won transformation goals" by looking to bypass the Act.

"It appears these proposed directives and regulations are an attempt to undermine empowerment legislation by stealth and, should this be found to be the case, they will be fiercely opposed," Diko said.

She referred to mobile operator MTN and American low-earth orbit (LEO) satellite provider Lynk's trial of Africa's first satellite voice call using a smartphone as an example of partnerships achieved within local laws.

"These initiatives underscore the importance of fast-tracking South Africa's satellite programme, and that there is no need for overreliance and obsession with a single satellite provider," Diko said.

"Several other satellite providers have indicated keen interest in entering the South African market and in compliance with our laws."

The minister's office was not immediately available for a comment.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Assessing ON Semiconductor's Performance Against Competitors In Semiconductors & Semiconductor Equipment Industry
Assessing ON Semiconductor's Performance Against Competitors In Semiconductors & Semiconductor Equipment Industry
Aug 1, 2024
In the dynamic and fiercely competitive business environment, conducting a thorough analysis of companies is crucial for investors and industry enthusiasts. In this article, we will perform an extensive industry comparison, evaluating ON Semiconductor in relation to its major competitors in the Semiconductors & Semiconductor Equipment industry. By closely examining crucial financial metrics, market position, and growth prospects, we aim...
Arista Networks's Options: A Look at What the Big Money is Thinking
Arista Networks's Options: A Look at What the Big Money is Thinking
Aug 1, 2024
Whales with a lot of money to spend have taken a noticeably bullish stance on Arista Networks ( ANET ). Looking at options history for Arista Networks ( ANET ) we detected 17 trades. If we consider the specifics of each trade, it is accurate to state that 47% of the investors opened trades with bullish expectations and 29% with...
Peeling Back The Layers: Exploring FormFactor Through Analyst Insights
Peeling Back The Layers: Exploring FormFactor Through Analyst Insights
Aug 1, 2024
During the last three months, 4 analysts shared their evaluations of FormFactor ( FORM ) , revealing diverse outlooks from bullish to bearish. The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months. Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish Total Ratings 3...
Performance Comparison: Lam Research And Competitors In Semiconductors & Semiconductor Equipment Industry
Performance Comparison: Lam Research And Competitors In Semiconductors & Semiconductor Equipment Industry
Aug 1, 2024
In today's rapidly changing and highly competitive business world, it is vital for investors and industry enthusiasts to carefully assess companies. In this article, we will perform a comprehensive industry comparison, evaluating Lam Research ( LRCX ) against its key competitors in the Semiconductors & Semiconductor Equipment industry. By analyzing important financial metrics, market position, and growth prospects, we aim...
Copyright 2023-2025 - www.financetom.com All Rights Reserved