ANC chided for blocking Elon Musk’s Starlink
The DA deplores the ANC decision to keep Elon Musk’s satellite communications network out of SA. The party says that this service could go a long way to help connect remote places to the internet.
Rural internet connectivity, or that of areas outside big centres such as Johannesburg, Cape Town or Durban, remains a sore point. While access to internet services is necessary, the cost of building networking infrastructure in underserved areas remains a challenge. This is the gap that Musk’s Starlink and other satellite providers have been filling.
DA MP Dianne Kohler Barnard says SA looks set to become one of the few African countries to not roll out Starlink.
In 2021, SpaceX, a space exploration company owned by SA-born Musk, began offering satellite-based internet services in the US and other parts of the world to connect those without access to fast 3G and 4G mobile connectivity or wired options through telephone or fibre lines. Starlink uses satellites to connect to devices on the ground.
Responding to a written reply to parliamentary questions from communications & digital technologies minister Mondli Gungubele, Kohler Barnard said: “South Africans will never receive free internet or data, and millions will continue to live with no access to technology, unless it is provided by an ANC cadre or tenderpreneur”.
At the heart of the matter is ownership of telecom assets.
“For Starlink to operate in SA, they require individual IECS/IECNS applicants or licensees to have a minimum 30% equity ownership held by persons from historically disadvantaged groups,” Kohler Barnard quoted Gungubele as saying.
About 20 African countries are said to have rolled out the service or are likely to do so soon. “Even our neighbours, Mozambique and Botswana are ahead of us in the rollout.
“If Starlink were available in SA, children in even the most rural of areas would have access to information and learning materials, and others would be able to educate themselves beyond the constraints of formal universities or schools which millions simply cannot afford,” said Kohler Barnard.
Andre Wills, MD of ICT research firm Africa Analysis, said that when it comes to SA and many other parts of Africa “the challenge is how to cost effectively address the broadband needs of consumers or businesses who are located in rural areas that are outside of mobile network coverage”.
For decades, mobile operators and internet service providers have poured billions into expanding their networks. Though MTN and Vodacom have covered more than 80% of the country with 3G and 4G, the last mile of getting to people in outlying or rural areas has proved to be challenging.
Low population density make it hard to justify the economics of building network towers or laying down fibreoptic cable. In the US, the Federal Communications Commission has found that more than 18million Americans do not have access to any broadband network, especially in rural areas.
“What we find is that the ideal choice in really remote areas is satellite, and there is a choice of providers,” Wills told Business Day.
“If Starlink was available in SA, that would be an option as well. But they’re not going to fundamentally change the market. They’ll just need another connectivity provider that finds a niche in the market. They’re not going to be the number 1, number 2 or number 3 that’s pretty well covered.”
Vox, one of SA’s large technology and telecom players, invested much of its resources in recent years to connect people in outlying parts. In addition to existing satellite services, the company focused its fibre rollout in secondary towns in recent years.
Rival operator Telkom is also a big player in the satellite market. The state-affiliated operator has a number of bank branches, including their ATMs, connected through its satellite service.