SpaceX spoke at the Icasa regulator's hearings to push for approval of ownership restriction rules that hinder Starlink licensing. This issue was raised during hearings formally concerning satellite spectrum fees.
Ryan Goodnight, SpaceX's Senior Director of Market Access and Development, appeared before the communications regulator on Wednesday to comment on the draft amendments to the 2015 Radio Frequency Spectrum Regulations and the related 2010 Radio Frequency Spectrum Fees Regulations, published on May 15th.
The hybrid hearings, concluding on Thursday, are part of consultations aimed at establishing a registration regime for space segment operators, granting perpetual licenses for satellite terminal networks, and setting separate fee formulas for gateway ground stations and user terminal networks. The draft also revises the reference table, which for the first time mentions satellite terminal networks, including VSAT and ESIM terminals.
Goodnight informed the board that SpaceX, founded in 2002, has successfully completed over 680 missions and currently serves more than 12 million Starlink customers. He noted that this experience has given the company a clear understanding of which regulatory approaches are effective. He characterized the consultation as a 'very, very welcome improvement' to the existing regime and praised Icasa for adopting best international practices.
Among other things, SpaceX insists on introducing a new fee for a gateway ground station, which will be calculated per license rather than per station, allowing one license to cover multiple gateways across the country.
Clarity Requirements
The company also strongly urged the regulator to expand the available Ku-band spectrum access for mobile ground stations, terminals installed on aircraft and vessels, and to confirm that one perpetual license can cover an entire fleet of terminals regardless of model or use case. SpaceX also sought clarification on whether the network terminal fee under the amended reference table 9 applies to local, not foreign, terminals operating in the country.
Regarding duration, SpaceX demanded a minimum license term of 10 years with clear renewal rules, arguing that long-term licenses significantly influence operators' decisions on infrastructure placement.
The most pressing request was addressing how the overall licensing and ownership system interacts with fee rules. It was noted that spectrum regulations require a minimum capital participation of 30% for historically disadvantaged groups but do not specify how this applies to new license categories for gateways and user terminals.
However, the barrier preventing Starlink from entering South Africa is legislative, not regulatory. The Electronic Communications Act requires owners of individual licenses to have at least 30% equity held by historically disadvantaged groups, and SpaceX does not intend to transfer local capital. Minister of Communications Solly Malatsi approved the final policy direction on December 12, 2025, calling on Icasa to recognize investment programs equivalent to equity as an alternative—a mechanism SpaceX has been promoting since 2024.
On May 13th, Icasa stated it could not fully implement this direction without an amendment to the Electronic Communications Act, just one day after Malatsi told parliament in his budget speech that the government would seek legislative changes. SpaceX has not yet submitted a formal license application.
Icasa's Reaction
Rian van der Koff, senior manager of the spectrum licensing body, questioned whether a pure throughput-based fee would incentivize efficient use of scarce spectrum, and asked SpaceX to provide examples of administrations where a fixed-rate approach proved more successful. He showed considerable sympathy towards the terminals, agreeing that the regulator does not want licensing to be burdensome, and that minor equipment changes should not necessitate new license applications.
The fee and licensing framework should apply to all operators considering the South African market, not just Starlink. Satellite broadband access is increasingly seen as the fastest way to connect rural and remote areas not reached by fiber optic and mobile networks, and Starlink continues to penetrate African markets while South Africa remains closed to it.