MultiChoice defies a ruling by Nigeria’s FCCPC against its price increases for DStv and GOtv, implementing these hikes starting March 1, 2025. The FCCPC has called for a hearing with MultiChoice’s CEO to discuss the matter. Notably, the company has seen a drop in subscribers, highlighting economic pressures in Nigeria.
MultiChoice has proceeded with price increases for its DStv and GOtv services, despite the Nigerian Federal Competition and Consumer Protection Commission (FCCPC) declaring these hikes unacceptable. The company had previously sought to maintain old subscription rates while negotiating with the FCCPC but opted to implement the new prices, announced on February 27, by March 1. Following this action, the FCCPC has requested that MultiChoice’s CEO attend a hearing to explain the rationale behind the price increases.
Ondaje Ijagwu, the FCCPC’s corporate affairs director, noted that the commission approved MultiChoice’s request for a delay in its hearing. However, the company must now attend a rescheduled investigative meeting on March 6, 2025, along with relevant officials and a comprehensive explanation regarding the price hikes. In a related context, MultiChoice revealed that from April to September 2024, approximately 243,000 Nigerians opted not to renew their subscriptions, mainly due to challenging economic conditions.
Furthermore, MultiChoice reported a significant decline of 30.77% in subscription revenue from Nigeria for the fiscal year ending in March 2024. These figures highlight the broader challenges facing MultiChoice within the Nigerian market and the implications of price adjustments on subscriber retention and overall profitability.
In summary, MultiChoice has implemented price hikes for its services despite the FCCPC’s ruling against them. The situation escalated to a required attendance at a hearing for further discussion on the matter. Additionally, the financial impact of these increases is underscored by declining subscriber numbers in Nigeria, further complicating the market landscape for the company.
Original Source: www.advanced-television.com
