MultiChoice Africa, the parent company of satellite TV services DStv and GOtv, has announced plans to slash DStv subscription fees across East Africa.
The company revealed that from September 1, 2019, there will be a reduction in monthly fees for DStv consumers in Uganda, Kenya, Tanzania, and Mozambique.
According to the report, a representative of the company stated that not all these countries will have the same price reduction changes because each country has different cost structures influenced by local dynamics such as inflation, content costs, foreign exchange rates, local taxes, and overheads required for each business.
For example, MultiChoice Uganda will be cutting monthly DStv subscription fees by up to 30% while Kenya's subscription fees will be slashed by between 5% and 37%.
In Mozambique, prices of DStv Portugese packages including DStv Bue, DStv Grande+, DStv Grande, and DStv Facil will be reduced. However, DStv Business as well as GOtv Plus and GOtv Lite subscription fees will be increased.
In a statement reportedly released by MultiChoice Kenya, the subscription fee reductions are aimed at making “great entertainment accessible to more consumers in Kenya and we believe this move will grant more of our customers access to the complete world of exciting entertainment channels at a lower price."
DStv is not the only satellite TV service that has slashed subscription fees in recent times. In April, StarTimes, a Chinese-owned company, lowered its subscription fees for consumers in Kenya.
MultiChoice has not revealed if the reduction in the subscription fees will be extended to other parts of Africa. In March and April 2019 respectively, there was an inflation in DStv subscription fees in Namibia, Zambia, and South Africa.
In 2016, MultiChoice Nigeria was probed by the Nigerian Senate over alleged unwholesome practices and unreasonable subscription hikes across their various bouquets. In spite of the probe, the company increased DStv subscription fees twice between 2017 and 2018.
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In the wake of MultiChoice Africa’s plans to slash subscription fees, the company is going through some internal problems. Today, the staff of MultiChoice South Africa embarked on a strike to protest job cuts at the pay-television operator.
The strike is as a result of the Pay-TV service provider’s plans announced in June to retrench up to 2194 staff members in its customer service operations.