Starlink’s Regulatory Struggles

also ft; Human Trafficking-induced Cyber Fraud in Southeast Asia

August 31, 2024

CybAfriqué is a space for news and analysis on cyber, data, and information security on the African continent.

Africa’s government is still grappling with upholding true democracy. Hence, the telecommunications sector has suffered a huge blow, and this has ripped off the fundamental rights of citizens in several countries. This is achieved through regulatory oversight and extent. Today’s edition explores how Starlink, despite its potential, has been barred by some African countries. We also visited cyber criminals who are victims of illegal migration and fake job offers in Southeast Asia. 

— Adebola. 

HIGHLIGHTS 

Starlink’s Regulatory Struggles 

Across Africa, Starlink, a subsidiary of Elon Musk’s SpaceX is facing strict regulatory measures restricting its operation owing to issues ranging from licences to government orders and scepticism. The satellite internet initially entered into markets such as Nigeria, Kenya, Zambia, Mozambique, Rwanda, and Malawi, with six other countries which have now welcomed the service of the company.  

When Starlink first deployed operations in Nigeria, the first African country to install the service, it was met with enthusiasm as even many end consumers acquired the facility despite the exorbitant costs. Some called it an Internet ‘revolution’ and ‘game changer’ but this is far from reality in many African countries that have gotten used to the ease of mobile networks, hence, the American company competes for viability—where local ISPs have saturated and are trying to improve—whereas, middle-to-high income earners and large-scale businesses can adopt its services for a relatively better experience.

Notwithstanding these hurdles, Starlink’s major challenge in Africa is tied to licensing and regulation. In South Africa, for instance, the Independent Communications Authority of South Africa (ICASA) requires 30% of Starlink’s equity to be held by persons from historically disadvantaged groups before licensing. Other countries like Côte d'Ivoire, Burkina Faso, DR Congo, and Senegal have also restricted their operations in the country. 

Africa is a booming market for virtually any telecommunication service but Starlink targets a specific niche—’ connecting the unconnected’—offering a platform to bridge the digital divide in Africa via its satellite service. Worth $63.17 billion, of the over 1.5 billion population on the African continent, about 730 million people are projected to use the internet in 2024, meanwhile, the government has been passive towards harnessing the potential of rapid internet usage. 

There have been several internet shutdowns triggered by internal conflicts and, most notably, protests, which communicate the abusive power the government holds when managing the internet, which ought to be an indicator of true democracy and entrenchment of human rights. However, Starlink is not subject to willful internet disruption. In Sudan, following network instability during a national crisis, Starlink allowed access to the internet contrary to the government’s authorisation until it had to withdraw operations. 

In March, a severe subsea cable cut altered network connections in Nigeria and South Africa which affected numerous companies. To witness a complete adoption of Starlink on the African continent means a chance at participatory democracy such that government attitude towards internet users and citizen rights would be the mainstay. 

Human Trafficking-induced Cyber Fraud in Southeast Asia

In a recent Chainalysis report, ‘pig butchering’, a trending scamming method by cybercriminals, has caused an alarm in a situation whereby victims are swindled by close relationships formed online. However, in an interesting turn, another category of victims is scammers who have been trafficked and forced to work for long hours. 

The report highlighted the activity of KK Park, a cryptocurrency wallet associated with scamming located in Myanmar. Some victims who were trafficked from Africa to Thailand revealed that they were subjected to harsh treatment, including sexual abuse, and could buy back their freedom. “We thought we would go work abroad and get a greener pasture, and then things turned another way,” one of the victims said. With this trend, the volume of illicit revenue keeps increasing and is generated in a two-way stream. 

Lured by better opportunities, labour migration on the African continent is on the rise, with plunging economic factors discouraging its inhabitants. There have been innumerable cases of human trafficking due to illegal migration, but many have usually resulted in sex or domestic workers, especially in the Middle East. 

In December 2023, INTERPOL investigated cyber scam hubs in Southeast Asia and found that the perpetrators were trafficked and forced to engage in cyber fraud while enduring physical abuse. The Center for Strategic and International Studies noted that “governments and companies have not undertaken a coordinated strategy to address the growing cyber-scam industry and its increasing connection to human trafficking.” 

FEATURES 

  • Cryptocurrency hacks are drastically increasing and have recorded $1.2 billion so far into the year (2024). This is a looming threat for countries with vast crypto adoption. Share

HEADLINES 

  • TikTok Launches Inaugural Safety Advisory Council in Sub-Saharan Africa - TechArena

  • Bolt blocks accounts involved in fake ride requests and cancelling trend - TechCabal

  • OPay Launches ‘Nightguard’ to Enhance Customer Fund Security - Regtech Africa

  • Regional Collaboration Can Effectively Counter Security Threats In Africa-Prez Akufo-Addo - The Chronicle

  • What Are the Hidden Motives Behind DDoS Attacks in Africa? - IT News Africa

  • Cyberattacks target agriculture, govt services in Africa: Mimecast report - IOL

  • Telcos and Subscribers Applaud Tinubu for Declaring Telecom Infrastructure as Critical National Assets - Regtech Africa

  • Ghana’s National Identification Authority Outlines Plans for Registering Ghanaians in Canada - Tech Labari 

  • Starlink launches in Botswana three months after securing licence - TechCabal 

  • Nigerian fintech lost ₦146 Million initially recovered from fraudsters - TechCabal

  • UK firm fights South African degree fraud - ITWeb

  • Hawks arrest two men in Soweto for allegedly defrauding National Lottery Commission - IOL

  • Two senior municipal employees, service provider in court for over R600,000 fraud - IOL

ACROSS THE WORLD 

OPPORTUNITIES 

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