As the Proteas claimed long-awaited cricketing glory, many South Africans tuned in via SuperSport — MultiChoice’s flagship platform. Yet, this moment of national celebration was juxtaposed with troubling financial results from the broadcaster, raising questions about the direction of its transformation strategy.
MultiChoice grapples with the disruptive impact of global streaming giants, attempting to pivot from its satellite television roots to a future dominated by digital content consumption. In doing so, it has placed considerable emphasis — and investment — into its Showmax streaming platform. But the cost is proving steep. In the financial year ending March 2025, MultiChoice shed 1.2 million subscribers, split evenly between South Africa and the broader continent. Despite shrinking volumes, the company raised prices — a move seemingly at odds with market realities, especially when more affordable and flexible alternatives like Netflix are gaining ground.
Rather than leveraging its core strength — premium live sports — to innovate a hybrid digital DStv model, MultiChoice appears fixated on replicating the Netflix model. This strategic choice places it in direct competition with well-capitalised global players, an arena where profitability is elusive even for established incumbents. Meanwhile, Canal+’s proposed acquisition looms large, with each quarterly update painting a more complex picture of what the French group is buying into.
In stark contrast, Telkom’s trajectory offers a case study in measured evolution. The telecoms operator has focused on strengthening profitable, scalable verticals — particularly in mobile and fibre. With Telkom Mobile now delivering ten consecutive quarters of leading service revenue growth and fibre division Openserve contributing over 80% of segment revenue, the results speak for themselves. The company has managed to grow adjusted EBITDA by 25.1% on revenue growth of just 3.3%, reflecting a robust margin improvement strategy.
Telkom’s transformation has been steady rather than spectacular, but it’s yielded tangible shareholder value — including a 79% rise in its share price over the past year. By investing in areas with a competitive advantage, Telkom has outmanoeuvred legacy decline without overreaching.
Whether MultiChoice can emulate such a turnaround remains uncertain. Canal+ may yet succeed in creating an African streaming champion, but it’ll need resilience and substantial resources to navigate the terrain ahead.
