By Lanre Shodimu
MultiChoice Nigeria, a subsidiary of the South African pay-TV operator MultiChoice Group, has reported a significant loss of 243,000 subscribers on its DStv and GOtv services between April and September 2024. This decline is attributed to Nigeria’s high inflation rate, exceeding 30%, driven by rising costs of food, electricity, and fuel, causing many customers to disconnect.
The company’s regional performance was also impacted, with Zambia losing 298,000 subscribers due to extensive power outages, contributing to a total 566,000-subscriber loss in the Rest of Africa operations.
MultiChoice Nigeria had earlier reported an 18% subscriber loss in March 2024. The company cites currency instability, competition from streaming services, and changes in viewer preferences as additional pressures on its traditional pay-TV model.
To adapt, MultiChoice invested ZAR1.6 billion in its streaming service Showmax, reporting 50% year-over-year growth. CEO Calvo Mawela stated, “We are making good progress in addressing technical insolvency… Our net equity position is expected to recover by November.” Showmax strategically positions the business to participate in the streaming revolution gaining momentum across Africa.
