South Africa’s Starlink licencing row becomes political battle over telecom reforms

Solly Malatsi, South Africa’s Communications Minister, has said the Starlink licencing controversy has evolved from a satellite broadband debate into a political battle over his reform agenda

In a sharply worded letter, dated Sunday and addressed to Parliament’s communications committee chairperson Khusela Sangoni, Malatsi rejects suggestions that he was influenced into pursuing policy changes that could benefit Starlink, insisting the reforms predated any engagement with the satellite operator.

“It is impossible to be unduly influenced to do something one is already doing,” he wrote, arguing that recognising Equity Equivalent Investment Programmes (EEIPs) in the Information and Communication Technology (ICT) sector was already part of both the Democratic Alliance (DA) party’s 2024 election manifesto and the GNU’s Medium Term Development Plan.

The letter marks a turning point in a dispute that has rapidly evolved from questions about Starlink’s market access into one of the GNU’s most politically charged technology controversies.

Rather than merely responding to Parliament’s request for clarification, Malatsi, who is also the DA’s Deputy Federal Chairperson, sought to dismantle the narrative that private lobbying influenced government policy.

His response came after Sangoni, a senior African National Congress (ANC) member,  requested a detailed explanation following claims by former agriculture minister John Steenhuisen alleging that public affairs firm Resolve Communications facilitated engagements between government ministers and private clients, including Starlink. Resolve Communications, owned by former DA leader Tony Leon, declined to comment on the allegations but on Sunday rejected the allegations.

In her letter to Malatsi on July 1, Sangoni said that while the allegations remain untested, they raise serious questions about the relationship between public office bearers and private interests in policy and regulatory decisions.

“At face value, these allegations invoke concerning historical precedents in our country, where private interests sought to direct government policy and executive decisions during the State Capture era,” she wrote.

At the centre of the dispute is South Africa’s effort to reform telecommunications policy to accommodate low-Earth orbit (LEO) satellite operators while preserving the country’s black economic empowerment framework. Starlink, the SpaceX-owned satellite broadband service, has been unable to secure a licence in South Africa because the country’s Electronic Communications Act requires network operators to have at least 30% ownership by historically disadvantaged South Africans.

Malatsi has proposed recognising Equity Equivalent Investment Programmes (EEIPs) as an alternative compliance mechanism, a move widely viewed as opening a pathway for multinational satellite operators that cannot meet local ownership requirements. 

In his letter, Malatsi argued that his engagement with Starlink was neither unique nor secretive. He said he has met a range of satellite operators and industry stakeholders, including Amazon LEO, China Satellite Network Company, Space24, Spacesail and Starlink, stressing that none of those meetings involved discussions about individual licence applications.

“Such meetings are always about understanding each entity’s capabilities and sharing insights about the country’s current regulatory dispensation,” he wrote.

The minister also distanced himself from claims involving Resolve Communications, the public affairs firm that advises Starlink on government relations and strategic communications in South Africa.

According to Malatsi, Resolve approached his office only twice: once regarding Premium Ideas SA’s concerns over non-compliant SIM card registration and later over Hot 102.7FM’s licence amendment application, which was ultimately referred to the communications regulator. He also disclosed two telephone conversations with Resolve CEO Paul Boughey, describing one as a routine inquiry about accessing a government gazette.

Crucially, Malatsi disclosed for the first time that his only meeting with a SpaceX representative, Ryan Goodnight, in September 2024, was facilitated directly by lawyer Robert Appelbaum rather than Resolve Communications.

“It is important to clarify that the media interview on which you relied… alleges neither that I met with Resolve Communications nor that it facilitated any meeting with Starlink,” he wrote.

Malatsi also broadened his defence beyond the immediate allegations, arguing that engagement between ministers and industry is an essential part of policymaking. “As Ministers, we are constantly approached by stakeholders,” he wrote. “Engagements with stakeholders may broaden my perspective on issues, but they do not dictate my decision-making.”

In a pointed political comparison, Malatsi referenced President Cyril Ramaphosa’s own meeting with SpaceX chief executive Elon Musk, noting that the Presidency had publicly acknowledged Starlink would be among the topics discussed. The comparison appeared aimed at arguing that engagement with global technology companies is a routine function of government rather than evidence of undue influence.

Parliament’s communications committee will now consider Malatsi’s response before determining its next steps. With the ANC demanding greater scrutiny and the DA insisting the controversy is politically motivated, the battle over Starlink has evolved into more than a licensing dispute; it has become an early test of how the Government of National Unity manages technology policy, foreign investment and political accountability.

True scale demands moving beyond surface-level integrations to robust execution. We’ve filtered the noise out of Moonshot 2026, optimising the conference strictly for high-calibre connections between startup founders, global financial operators, enterprise leaders and individuals rewiring Africa’s technical frameworks.

Get 20% off Early Bird tickets for a limited time.