Africa’s dominant TV provider may go hungry soon as Netflix wages tough competition

Although Netflix and Amazon Prime’s came to Africa in 2016, the multiChoice company; DStv was already finding it hard to battle online content via Google, Youtube and Facebook.

But it hasn't been a jolly ride for the company. The Naspers-owned media giant has been reported to have appealed to South African regulators making a case for why it could not survive any regulation in the face of streaming.

According to DStv a significant number of subscribers have left within half a decade.

MultiChoice says local competitors like iROKOtv and Kwese are giving them such a great competition. Any further regulations, it argued, would affect its profits.

Chief executive Calvo Mawela claimed DStv has lost 100,000 subscribers since the introduction of streaming services like Amazon and Netflix.

Netflix, in particular is waging such a strong competition for DStv, Mawela says.

“So they are here, they are challenging us in our business on a day-to-day basis, and yet they do not have to comply with any of the regulations the country has made."

DStv believes that the contribution it is making to the African continent is mind-blowing

"While Netflix only employs around 4,000 around the world, MulitChoice employs twice as many in South Africa. Where it gets scary for owners of TV stations is how much less TV viewing is happening in younger generations”.

Unable to beat streaming services, MultiChoice plans to join them and is launching a standalone streaming service.

MultiChoice already has the on demand service ShowMax, and DStvNow, the online service that allows existing subscribers to livestream channels or watch selected shows on demand.

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