Multichoice, stakeholders reject pay-per-view subscription model

The Evangelist edition
September 23, 2022
By Tope Omogbolagun

Stakeholders, including a major cable television firm in the country, MutiChoice Nigeria, have told the Senate that the pay-per-view model being canvassed by the Senate is not workable..

They stated this at a one-day public hearing organised by the Senate Ad hoc Committee investigating Pay-TV hikes and demand for the pay-per view subscription model in Nigeria.

The panel is chaired by the Senate Deputy Whip, Senator Sabi Abdullahi, and have as members, Senators Michael Nnachi, Suleiman Abdul Kwali, and Abba Moro, who moved the motion for the upper chamber to probe the incessant price hike by cable television operators.

The House of Representatives had adopted pay-as-you-go and a price slash for DSTV and other cable satellite operators in the country.

The House considered and approved recommendations of the “Ad–hoc Committee on Non–Implementation of Pay–As–You–Go and sudden Increment of Tariffs plan by Broadcast Digital Satellite Service Providers.”

In his presentation, the Chief Executive Officer, MultiChoice Nigeria, John Ugbe, said several legal and legislative moves made to compel the firm to operate per view model did not work because it was not feasible.

Ugbe said, “Whilst it may appear to be a noble intent for this committee to be concerned over the rising cost of subscription services, the Pay-Per- View model being canvassed by this committee will not work either to the benefit of the consumer or the industry.

“It would appear that this problem is because of some confusion in understanding the basic definitions and distinctions between some of the existing operational business models in telecommunications and pay-tv broadcasting.

“A pay per view PPV is not the same, and is very different from Pay As You Go (PAYG).”