Daily News Reporter | May 26, 2025
Koppies supporter, a fiery speech of freedom, and the Economy Freedom Soldier (EFF) Leader on the eve of a critical by-election Julius Malema He vehemently opposed the government's proposal to ease the broader Black Economic Empowerment (BBBEE) requirements to encourage Elon Musk's Starlink entry into the South African market.
Malema's comments have been brought to another signal that changes the dynamics in the country's policy decisions as a result of a high-profile meeting between President Cyril Ramaphosa and former US President Donald Trump.
Malema directly accused the government of responding to foreign interests at the expense of local economic transformation, saying, “Today, Johann) Rupert has risen and why is Elon Musk's Starlink not giving him the opportunity in South Africa?”
This assertion highlights the potential undercurrents of international influences that could affect regional policy decisions.
The proposed change that Malema labeled South Africa's transformation efforts as frustrated was launched by the Minister of Communications and Digital Technology of Solly Malatsi, a member of the Democratic Union (DA).
In the official official gazette, Malatsi argued that relaxing the B-BBEE rules for multinational organisations like SpaceX, Starlink's parent company, is essential to accelerating broadband access to economic growth. However, Malema rebutted this rationale, arguing that such a move would undermine B-Bbee's principles by undermining local empowerment.
“There is no such law in South Africa. If Starlink doesn't comply with bees, it won't come to South Africa,” he asserted, emphasizing that at least 30% of ownership must be distributed to black South Africans.
He clarified his broad vision of empowerment, claiming that “we need to go to as many black people as possible because we want to benefit from our economy.”
Malema's criticism reverberated across a wide range of political circles. It reverberated across various political circles, particularly when it became clear that the relaxation of regulations was presented within 48 hours after a high-level meeting in which Rupert cited the orders of Starlink's market entries, crime, economic stagnation and technological advances to promptly track Starlink's market entry.
The Portfolio Communications and Digital Technology Committee has since summoned Minister Malazi to clarify a policy directive aimed at relaxing the BBBEE requirements inherent in satellite services, in his claim that it violates the Electronic Communications Act, which is favorable to low-Earth orbit satellite providers.
Committee Chairman Xcella Dico highlights growing concerns about this policy change, indicating that its impacts will ensure immediate investigations as it could resonate with the overall ICT landscape in South Africa.
The pressure on the South African government is as economic stakeholders and political parties are scrutinizing policies that could respond to international business around local empowerment. As tensions rise, South Africa's future of broadband access and transformation lies in the balance highlighted by the ongoing struggle for economic equity.
“Disclaimer – the views and opinions expressed in this article are the views of the author and are not necessarily those of the Bee Room.”
