Johannesburg – The Economic Freedom Fighters (EFF) has vowed to take legal action against the South African government over reports that it plans to offer Elon Musk’s Starlink a special exemption from Black Economic Empowerment (BEE) laws.
Musk’s low-orbit satellite internet service Starlink, which already operates in 18 African countries and has a network of around 5 500 satellites, serving more than 2.6 million users worldwide, has met regulatory hurdles in its attempt to set up shop in South Africa.
However, the EFF has condemned any moves to bypass SA’s strict BEE regulations as unconstitutional, warning that this would compromise the country’s sovereignty.
EFF Condemns ‘Unlawful’ Starlink Deal
EFF spokesperson Sinawo Thambo argued that if Musk were genuinely concerned about South Africans, he would advocate for sanctions and disinvestment rather than pushing for Starlink’s entry into the market.
“This decision undermines our laws and economic transformation agenda,” Thambo stated.
“If Elon Musk truly cared about the people, he would respect South Africa’s policies instead of seeking preferential treatment.”
Government’s Reported Workaround for Starlink
According to a Bloomberg report, South African officials are set to meet with Musk or his representatives to discuss a last-minute exemption of Starlink from BEE requirements.
The talks are expected to take place during this week’s visit to the U.S. by President Cyril Ramaphosa and his delegation aimed at easing tensions between South Africa and President Donald Trump.
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Musk, who spent at least $250 million supporting Trump in the presidential campaign, has the U.S. president’s ear.
Sources suggest the SA government is keen to fast-track Starlink’s operations in South Africa, where high internet costs and connectivity gaps remain major challenges.
However, critics argue that bypassing BEE laws sets a dangerous precedent for foreign investors.
Legal and Political Backlash
The EFF insists that any exemption for Starlink would violate South Africa’s constitutional commitment to economic redress.
The party has warned of court action if the deal proceeds without adherence to local ownership laws.
As the debate intensifies, the government faces mounting pressure to balance foreign investment with equitable economic policies.
The outcome of the proposed Starlink deal could set a significant precedent for future tech investments in South Africa.
In recent months Julius Malema the leader of the EFF and Musk have engaged in a bitter exchange of words.
Musk called for Malema to be declared an “international criminal” on social media.
The EFF leader responded saying he will never be bullied by Musk and Trump, adding sacastically that he would be “happy to be an international criminal.”
*This article first appeared in our sister publication techfinancials.co.za
