Shrinking Numbers Reflect a Tougher Reality
MultiChoice Group, the powerhouse behind DStv and Africa’s leading pay-TV provider, has sent a clear warning: Things are getting tougher. In a recent update, the company reported that its subscriber base has fallen from over 23 million to 19.3 million across Africa—a drop of 3.7 million users. That’s nearly a 16% decrease, a signal that the TV giant is feeling the heat in an increasingly competitive and economically strained market.
This sharp decline is more than just numbers—it’s a snapshot of changing consumer habits, rising financial pressures, and a battle to stay relevant in the streaming age.
What’s Behind the Subscriber Drop?
In its recent financial statement, MultiChoice pointed to several pain points. “Household spending remains constrained by the ongoing cost-of-living crisis, compounded by elevated inflation and interest rates in many of the markets in which we operate,” the group said.
In South Africa, which remains its largest market, DStv has seen negative growth due in part to loadshedding, rising living costs, and increasing competition. While the economy is showing small signs of improvement, many South Africans simply don’t have the extra cash to spend on premium entertainment.
Streaming is Changing the Game
More people are cutting the cord and turning to streaming services. It’s not just about price—it’s about choice and convenience. With platforms like Netflix, Amazon Prime Video, and Disney+ offering binge-worthy shows and flexible plans, traditional pay-TV services are feeling the squeeze.
Telecoms analyst Sipho Mkhwanazi explained: “There’s a clear shift in how people consume content. Streaming platforms are cheaper, more convenient, and offer a personalised viewing experience. MultiChoice has to work twice as hard to keep up.”
In response, MultiChoice has revamped its own streaming service, Showmax, through a partnership with Comcast’s NBCUniversal and Sky. While this move is promising, it has also led to increased financial strain. The investment is substantial, and the pay-off hasn’t been immediate.
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Revenue Takes a Hit
MultiChoice is bracing for a challenging year. The company has warned of a drop in trading profit due to weak demand and foreign exchange losses, with countries like Nigeria, Angola, and Zimbabwe presenting specific challenges.
Zimbabwe’s hyperinflation, along with currency instability in Nigeria and Angola, has made it harder for MultiChoice to forecast earnings and move money across borders. In its statement, the company said capital preservation has become a top priority.
Currency Chaos and the Bottom Line
One of the toughest issues? Exchange rates. The naira in Nigeria has dropped by more than 40% over the past year, and the Zambian kwacha has weakened by more than 30%. These shifts mean MultiChoice earns less when converting revenues back to rand.
“Currency instability in our major markets continues to present significant challenges to cash remittance and profit conversion,” the company explained.
Adapting to a New Media Landscape
To stay afloat, MultiChoice is pushing hard into local content—a key strength that has kept African audiences loyal for years. It’s also tailoring its offerings for different countries, creating region-specific shows and pricing packages to appeal to diverse markets.
Kabelo Moeti, a media economist from the University of Johannesburg, put it plainly: “The shift to streaming and digital-first platforms is essential, but it’s not going to be painless. MultiChoice needs to innovate without overspending.”
Canal+ and the Road Ahead
French media company Canal+ has been steadily buying up shares in MultiChoice and may play a big role in shaping the future of the brand. Any formal acquisition, however, will need to go through regulatory approval and navigate complex local market dynamics.
For now, MultiChoice is focused on survival—balancing innovation with financial caution while trying to stay relevant to consumers who are spoilt for choice.
Competition Keeps Rising
Global giants like Netflix aren’t the only threat. Locally, YouTube and TikTok are exploding in popularity, especially among younger viewers who prefer quick, mobile-friendly content. Mobile data is cheaper now, and people want entertainment that’s accessible and on demand.
DStv’s premium packages, while offering great content, are still too pricey for many households. Even the more affordable tiers struggle to keep up with the flexibility and affordability of digital alternatives.
What’s Next for MultiChoice?
As the company heads into what may be one of its most challenging financial years yet, the pressure is on to prove it can adapt. The choices MultiChoice makes now—whether in content strategy, pricing models, or digital investment—will define its future.
This is a crucial moment not just for the company but for the broader media industry in Africa. MultiChoice has long been a leader, but leaders must evolve or risk being left behind.
Is DStv Still Worth It?
With so many choices out there, South Africans are asking: Is DStv still worth the money? That depends on your preferences. Sports fans, for example, still get unmatched coverage on SuperSport. But for series and movies, other platforms might be more appealing—and budget-friendly.
Whether you stay, switch, or mix and match services, one thing’s clear: how we consume content is changing fast, and MultiChoice must keep up.
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