Amazon has announced that its new satellite internet service, Amazon Leo, will launch in South Africa by 2027, positioning the tech giant to potentially outpace Elon Musk’s rival Starlink in Africa’s most developed economy.
The tech giant, founded by Jeff Bezos, confirmed a partnership with South African internet provider Herotel to roll out the service in the nation of 62 million people. This marks Amazon’s inaugural satellite internet agreement on the African continent. Financial specifics of the deal were not immediately disclosed.
Amazon’s announcement comes amid sharp criticism from Elon Musk regarding South Africa’s regulatory environment. The world’s wealthiest individual has previously stated that South African regulations have prevented Starlink’s launch there, attributing the issue to his race and accusing the government of racism.
Musk’s comments refer to South Africa’s affirmative action policies. These regulations mandate that foreign companies operating in the communications sector allocate a minority stake in their local entities to Black or other non-white owners to secure a license. The policies are designed to create opportunities previously denied to non-white individuals under the country’s former apartheid system of white minority rule.
In contrast, the South African government has endorsed the Amazon deal, with Communications Minister Solly Malatsi joining representatives from Amazon and Herotel to formally announce the agreement.
Amazon deployed its initial low-orbit internet satellites last year and currently operates over 390. Starlink, which launched its first operational satellites in 2019, now boasts more than 10,000 in orbit. While Starlink’s satellite internet is active in approximately two dozen other African nations, Musk has declined to comply with South Africa’s affirmative action requirements.
Amazon indicated that the South African deal is the first step in its broader African expansion, where it plans to collaborate with Vanu Inc., a Lexington, Massachusetts-based firm specializing in mobile internet for developing countries. Africa, with over 1.5 billion inhabitants, presents a significant market for satellite internet, particularly in rural areas lacking fixed connections.
Amazon Leo, formerly known as Project Kuiper, has already secured agreements for launches in Thailand, Kazakhstan, Australia, Argentina, Brazil, Chile, Colombia, Ecuador, Peru, and Uruguay, according to company statements and local operator announcements. Despite Amazon’s expanding reach, Starlink maintains a substantial lead, reporting operations in over 160 countries globally.
