New DStv tiers a ‘raw deal’ for Springboks fans - TimesLIVE

Global streaming giant MultiChoice’s overhaul of its DStv tiered offering has left subscribers asking whether it is holding South African sports fans to ransom.

The Competition Commission previously expressed concerns over the current structure of exclusive broadcasting rights, saying it may stifle competition and have the effect of reinforcing the dominance of platforms like MultiChoice.

“These concerns must be assessed and carefully balanced against the funding requirements of sporting rights owners and their ability to sustain the development of these sports from their own funds,” the Competition Commission spokesperson Siyabulela Makunga told the Sunday Times.

“Furthermore, the public interest concerns regarding a public broadcaster’s access to sporting events of national importance — whether directly with rights holders or through sublicensing — should also be regarded.

“At present, the commission has an ongoing investigation against MultiChoice concerning the exclusivity of sport broadcasting rights, following a complaint lodged by the SABC. Further details on this investigation cannot be shared at this stage in order to safeguard the integrity of the process.”

“The new names were chosen to make it clearer what each package offers, not to obscure anything. Pricing wasn’t changed as part of this update: customers kept what they signed up for, plus more content and value,” MultiChoice told Sunday Times.

“While the acquisition costs for premium sports rights are exceptionally high, preserving Premium as a flagship offering ensures unmatched value for our sports subscribers. We have taken a bold approach by introducing the most significant value addition for subscribers in over a decade — including locking in Premium at R799 for our most loyal customers.

“This represents the first phase of an ongoing product evaluation strategy, where future tiering and packaging decisions will continue to be informed by comprehensive market research, customer feedback and global industry trends.”

As internet penetration expands and data pricing becomes more competitive, MultiChoice says that illegal piracy — rather than legitimate streaming services — poses the single greatest threat to sports broadcasting and content sustainability in South Africa.

DStv Premium, Compact Plus, and Compact (now Sports) customers have access to two concurrent streams as part of their subscription, giving them the freedom to watch on any device.

“Our streaming services enable customers to enjoy content anywhere, anytime. We had to balance protecting our platform against password sharing with delivering strong value to our subscribers. In light of customer feedback, we reversed this decision in April last year, allowing users to enjoy extra concurrent streams once again.

“This change has driven a significant increase in subscribers actively enjoying our DStv Stream product — evidenced by record-breaking streaming engagement during major events like the Fifa World Cup.”

But TV critics have voiced concerns about the approach.

“The Fifa World Cup provided an example of how different platforms can co-exist. While SuperSport held the right to all Fifa World Cup matches, SABC was able to broadcast each Bafana Bafana match. Similarly, for tournaments like the Rugby Championship and this year’s Nations Championship, SuperSport could hold rights to each fixture while SABC could get rights to just the Springboks tests,” Tsholofelo Phaho, former sports broadcaster for 93.8FM and Soccer Laduma told the Sunday Times.

“As a point of patriotism, as many South Africans as possible should have access to televised Springboks matches, so a workaround is surely possible.”

Lufefe Mayekiso, founder of Motorzar TV, said: “I’m disappointed because I’ve been asking for a sports-only package for years, and when we finally get it, it excludes two of the biggest sporting events [Champions League and Springboks games] in a calendar year. Some will be fine with the options, but I imagine that R479 will end up feeling steep for what the package offers.”

“My feeling is that in the next three to five years we are going to see a shift in broadcasting power.

“The sports package is a welcome addition, but the way it’s structured appears to nudge subscribers towards more expensive upgrades to watch their favourite sports. It is a clever strategy on the company’s side, but a raw deal for subscribers who just want to support the Springboks.”