SOUTH AFRICA
The Independent Communications Authority of South Africa (Icasa) awarded broadcast licences to five applicants in 2007. After a process of bilateral negotiations between Icasa and these licence holders, specific and generic conditions will be attached to each licence. The issue of individual licences is expected to be concluded in 2008. The process of converting M-Net’s broadcast licence to align with the terms of the new Electronic Communications Act should be completed in 2009.
The entry of these new competitors has produced an upward spiral in the price of content rights, squeezing operator margins. The costs for renewing sports rights for various sports are high. Our group is currently the biggest funder of sport leagues on the African continent as a whole.
The equated subscriber base grew by 178 000 to 1,57 million households on the back of good content and an attractive sports offering. The lower-priced DStv Compact bouquet grew to 258 000 subscribers. A mid-priced tier, DStv Select, which sells for R139 per month, was launched in June 2007 and the affordable EasyView bouquet, selling at R20 per month, was relaunched.
The personal video recorder (PVR) continued good growth, closing on 242 000 subscribers. A high-definition PVR will be available shortly.
MultiChoice launched eight new channels – MagicWorld, Sony Entertainment, One Gospel, Animax, M-Net Stars, The Style Network, Trace TV and Nat Geo Wild. Further additions are planned for the year ahead.
M-Net’s schedule was spiced with new local productions. The Coconuts (a comedy series); Ella Blue, Jacob’s Cross and Feast of the Uninvited (drama); Are you Smarter than a 5th Grader? (game show), as well as the return of Deal or No Deal have increased audiences significantly. Binnelanders (soap opera) continues to perform well after its introduction to combat the loss of advertising revenues when M-Net’s Open Time window fell away in April 2007. South Africa’s venerable soap opera Egoli is now running for its 17th consecutive year. M-Net was the first broadcaster in the world to flight three reality shows simultaneously – Idols, Big Brother Africa and Survivor South Africa. Both M-Net Series and M-Net Action settled in well following their revamp. kykNet continued to focus on local dramas and reality shows, while Channel O serves young music enthusiasts across 80 countries in Africa.
SuperSport secured various long-term broadcasting rights. As a consequence of SuperSport’s agreement with the PSL, soccer fans enjoyed a feast of local games in the 2007/2008 season: approximately 187 matches were broadcast, compared with about 76 broadcast in the 2006/2007 season prior to SuperSport acquiring the rights. In addition to SuperSport’s own broadcast, some 90 matches were sub-licensed to the SABC, including the big derbies and finals of competitions.
SuperSport’s production teams had a busy year with extensive coverage of four world cups: Rugby World Cup, Cricket World Cup, Twenty20 Cricket World Cup and the Women’s Soccer World Cup.
The sports teams in which SuperSport has an interest have performed reasonably well, with the Free State Cheetahs winning the Currie Cup (rugby) and the Sharks narrowly losing in the 2007 Super14 rugby competition final. SuperSport United rewarded their fans by securing the PSL League title for 2008.
When launched in 2006/2007, MultiChoice’s Phuthuma Nathi was the largest empowerment transaction in the media sector. MultiChoice also runs various projects that uplift previously disadvantaged people in areas such as preferential procurement, community development and corporate social investment initiatives. MultiChoice is committed to a healthy and safe working environment and continues to conduct annual risk and compliance audits.
Further details of MultiChoice’s corporate social investment and sustainability initiatives are available on the website (www.multichoice.co.za). |
