In a recent controversy, Elon Musk, the world’s richest man and CEO of SpaceX and Tesla, has come under fire for spreading misinformation on his social media platform, X (formerly Twitter).
Musk claimed that his satellite internet service, Starlink, was denied a license to operate in South Africa because he is not black.
This statement comes just a day after a significant financial blow to Starlink, as the Canadian government canceled a $100 million contract with the company.
“We’re ripping up Ontario’s contract with Starlink. It’s done. It’s gone. We won’t award contracts to people who enable and encourage economic attacks on our province and our country,” Canadian province’s premier, Doug Ford. Ford.
On Thursday, March 6, Donald Trump announced new 25% tariffs on imports from Mexico and Canada. The move, which comes amid calls from citizens of Canada to revoke Musk’s Canadian citizenship, has been linked to the South African-born billionaire’s role in the newly formed Department of Government Efficiency (DOGE).
Elon Musk’s misinformation on X
On March 7, 2025, Musk posted on X: “Starlink is not allowed to operate in South Africa, because I’m not black.” This claim was made in response to another post alleging that there are 140 race-based laws in South Africa that are anti-white. However, Musk’s assertion has been widely debunked.
X’s generative AI, Grok, identified Musk as one of the leading spreaders of misinformation on the platform. Grok stated, “Based on available reports, analyses, and sentiment on X as of March 07, 2025, Elon Musk is frequently identified as one of the most significant spreaders of misinformation on the platform.”
The AI further noted that Musk’s large following—over 200 million users—amplifies the reach of his often misleading content, which spans topics from politics to health issues and conspiracy theories.
Regulatory hurdles in South Africa
In reality, Starlink’s inability to operate in South Africa is due to regulatory requirements, not Musk’s race. The Independent Communications Authority of South Africa (ICASA) mandates that telecom companies must have 30% ownership by “historically disadvantaged groups” (HDGs) as part of the country’s Black Economic Empowerment (BEE) policy. This policy aims to redress centuries of racial inequality and colonial exploitation.
ICASA had organised regulatory hearings to gather industry feedback on its proposed licensing system for satellite services. However, Starlink withdrew from these hearings, effectively halting its plans to expand into South Africa.
According to Techpoint, the company’s withdrawal was a strategic decision, not a result of racial discrimination.
International reactions and backlash
Musk’s claims have sparked significant backlash, both locally and internationally. Clayson Monyela, South Africa’s head of Public Diplomacy, responded to Musk’s post on X, stating:
“Sir, that’s NOT true & you know it! It’s got nothing to do with your skin colour. Starlink is welcome to operate in South Africa provided there’s compliance with local laws. This is a global international trade & investment principle. There are over 600 USA companies investing & operating in South Africa…all complying & thriving! Microsoft just announced additional investments yesterday.”
The controversy has also led to broader discussions about Musk’s influence and the consequences of his actions. Recently, the Canadian government canceled a $22 billion contract with Starlink, and American products are reportedly being removed from Canadian retail stores.
This backlash follows a series of incidents where Musk’s controversial statements have led to significant financial and reputational damage.
