The South African government is reportedly preparing to offer Elon Musk’s Starlink a unique exemption from the country’s Black ownership requirements. This move aims to pave the way for the satellite internet service to operate within South Africa.

Instead of the standard 30% Black ownership required by Black Economic Empowerment laws, South Africa is proposing an “Equity Equivalent” model. This alternative would allow ICT companies, including Starlink, to invest in infrastructure, training, or rural internet access. A similar approach has been successfully used in the auto industry.

This proposal comes amid rising tensions with both Musk and former U.S. President Donald Trump, who have criticized South Africa’s policies. The decision could be a strategic effort to ease these tensions while still promoting economic empowerment.