South Africa Sets to Make Changes to Its BEE Rules for Elon Musk’s Starlink

South Africa is getting ready to make some changes to its Black Economic Empowerment (BEE) rules for Elon Musk’s Starlink to help it start working in the country. Starlink is a satellite internet service that could bring faster and better internet to many people, especially those living far from cities. But so far, it has been hard for Starlink to get permission to operate in South Africa because of the BEE rules.

These BEE rules are meant to make sure that people who were left out in the past, especially black South Africans, get a fair chance to own part of big companies. The law says that any telecom company in South Africa must have at least 30% ownership by these groups. Elon Musk and Starlink have said this rule is stopping them because Musk is not black, and they feel the law is unfair.

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This caused a lot of talk online. Some people agreed with Musk, but South African officials quickly said that the rule is not about skin color but about giving opportunities to those who were disadvantaged for many years. They want to make sure the country’s economy is fair for everyone.

Now, South Africa is planning to offer Starlink a way around the strict ownership rule. Instead of owning part of the company, Starlink could meet the BEE rules by doing other things. For example, they might invest in building internet infrastructure, train local people, or give satellite kits to schools and rural areas that don’t have good internet. This kind of deal has worked before with car companies like BMW and Toyota, which also found ways to support local communities without changing ownership.

The government says these changes are not just about helping Starlink. They want to make South Africa more attractive for foreign companies to invest and help more people get connected to the internet. Right now, many rural homes in South Africa don’t have internet at all, so Starlink’s technology could really help.

But some leaders worry that changing the BEE rules for Starlink might weaken the country’s efforts to support black South Africans. They say it’s important to keep the rules strong and not give special treatment to big foreign companies.

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Still, the chance to bring better internet to millions of people is exciting. If South Africa agrees to these new terms, Starlink could start working here soon and help many people get faster and more reliable internet.

This decision will be important not just for Starlink but for how South Africa balances its local laws with the need to welcome new technology and investment from around the world. It shows how the country is trying to grow while still making sure everyone has a fair chance to benefit.

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