• Latest
Canal+ Gets Approval To Buy Pay-TV Group OCS and Orange Studio

South Africa: Competition Commission Rules MultiChoice-SABC Deal As Notifiable Merger – Report

November 26, 2024

BMA Survey Reveals A “Payment Paradox” In Africa’s Streaming Market: Mobile Money Dominates Daily Life But Lags In OTT Acceptance

March 19, 2026
Showmax Originals Shines At 2025 Zanzibar International Film Festival With Multiple Wins

South African Parliament Investigates Impact Of Showmax Closure On Film And TV Industry

March 19, 2026
Production Sharing Agreements As A Strategy To Elevate Content

Transforming Tanzanian Cinema: Tanzania Film Board Partners With EACLC For Free Access To Commercial Spaces

March 19, 2026
Central African Republic Embraces High-Speed Internet With Starlink Launch

Central African Republic Embraces High-Speed Internet With Starlink Launch

March 19, 2026
FIFA Teams Up With YouTube For Groundbreaking 2026 World Cup Streaming Partnership

FIFA Teams Up With YouTube For Groundbreaking 2026 World Cup Streaming Partnership

March 19, 2026
EAB26

Broadcasters Convention – East Africa 2026

March 19, 2026
AI And Broadcast Compliance: What Players Must Know About Emerging

AI And Broadcast Compliance: What Players Must Know About Emerging

March 19, 2026
East Africa Broadcasters To Re-Examine The Role Of Hybrid Cloud-Satellite Workflow In Media Environments

East Africa Broadcasters To Re-Examine The Role Of Hybrid Cloud-Satellite Workflow In Media Environments

March 18, 2026
ZDF Studios Expands Children’s Brand ‘Pash’ Into Pay-TV Via Wedotv Partnership

ZDF Studios Expands Children’s Brand ‘Pash’ Into Pay-TV Via Wedotv Partnership

March 18, 2026
BBC Studios To Launch First-Ever French-Language BBC Earth Channel In Africa

BBC Studios To Launch First-Ever French-Language BBC Earth Channel In Africa

March 18, 2026
Uganda: Kwiso TV Launches Streaming Service On AfroMobile: A New Era For East African Storytelling

Uganda: Kwiso TV Launches Streaming Service On AfroMobile: A New Era For East African Storytelling

March 18, 2026
Ghana And Japan Unite To Elevate Local Animation Industry On The Global Stage

Ghana And Japan Unite To Elevate Local Animation Industry On The Global Stage

March 18, 2026
Friday, March 20, 2026
Broadcast Media Africa
  • Home
  • News & Reports
    • Animation Content
    • Broadcasting
    • Broadcasting Right
    • Broadcasting Rights
    • Cinema Content
    • Connectivity
    • Content Distribution
    • Content Production
    • Content Regulation
    • Film Festival
    • Film Industry
    • Media Regulation
    • Mergers & Acquisition
    • OTT & Streaming
    • Pay-TV
    • Radio Broadcasting
    • Regulation
    • Satellite
    • Tech Features
    • Telecommunications
  • Industry Resources
    • Audio & Podcasts
    • Reports & Presentations
    • TV and Videos
  • Products & Services
    • Promo: Spotlight Service
  • Events
    • All Events
    • BMA Events
  • Join BMA Network
  • Login
Login
Join BMA Network
BMA
  • Home
  • News & Reports
    • Animation Content
    • Broadcasting
    • Broadcasting Right
    • Broadcasting Rights
    • Cinema Content
    • Connectivity
    • Content Distribution
    • Content Production
    • Content Regulation
    • Film Festival
    • Film Industry
    • Media Regulation
    • Mergers & Acquisition
    • OTT & Streaming
    • Pay-TV
    • Radio Broadcasting
    • Regulation
    • Satellite
    • Tech Features
    • Telecommunications
  • Industry Resources
    • Audio & Podcasts
    • Reports & Presentations
    • TV and Videos
  • Products & Services
    • Promo: Spotlight Service
  • Events
    • All Events
    • BMA Events
  • Join BMA Network
  • Login
Login
Join BMA Network
BMA
Join BMA Network
No Result
View All Result
Home Broadcasting

South Africa: Competition Commission Rules MultiChoice-SABC Deal As Notifiable Merger – Report

November 26, 2024
Reading Time: 2 mins read
A A

In South Africa, the Competition Commission has determined that a merger arising from a 2013 agreement between MultiChoice and the SABC qualifies as notifiable and breaches the Competition Act.

In response, MultiChoice has submitted an exception application to the Competition Tribunal to contest this finding.

The agreement in question was a channel carriage deal for DStv, which included a termination clause that would come into effect if the SABC opted to broadcast its channels on an encrypted digital terrestrial television (DTT) platform. This occurred during a contentious period when MultiChoice was in a dispute with eMedia, the owner of E-tv, regarding whether government-subsidised DTT set-top boxes (STBs) should feature encryption.

The core of the debate revolved around whether competitors, notably eMedia, should gain access to the pay-TV market backed by government subsidies. MultiChoice contended that adding encryption technology would unnecessarily inflate the costs of these decoder-like STBs and pointed out that they were intended as a temporary solution for those with older TVs unable to receive digital signals.

In contrast, eMedia argued that without encryption, there was a threat that the subsidised STBs, provided for economically disadvantaged households, could be resold in foreign markets that use the same DTT standards as South Africa.

This legal battle waged on for years. Despite the government’s official support for encryption, the SABC entered into an agreement that directly contradicted that stance. The Commission concluded that this deal granted MultiChoice significant sway over the SABC’s strategic direction, effectively categorising it as a notifiable merger.

The complaint against the agreement was initially filed in 2015 by Caxton and CTP Publishers and Printers, the S.O.S Support Public Broadcasting Coalition, and Media Monitoring Africa.

After rigorous proceedings spanning the Competition Tribunal, Competition Appeal Court, and even the Constitutional Court, the Commission confirmed that the channel distribution agreement constituted a notifiable merger.

The agreement’s details surfaced in September 2013, when the Sunday Times revealed that MultiChoice had secretly negotiated a contract with the SABC. According to the agreement, should the SABC start broadcasting its channels on an encrypted DTT platform, it risked the cancellation of a lucrative five-year contract worth millions.

This deal also attracted attention from the Judicial Commission of Inquiry into State Capture. However, in 2022, Chief Justice Raymond Zondo declared MultiChoice free from any allegations of wrongdoing. “In conclusion, there is no evidence that MultiChoice had been involved in any improper, unlawful conduct, still less conduct which amounted to fraud or corruption,” the Zondo Commission’s report affirmed.

Share Tweet Post Email
Tags: Competition CommissioneMediaMultichoiceSABC
Share196Tweet123
Previous Post

South Africa: Proposed New SABC Bill Aims For Financial Sustainability And Inclusivity

Next Post

Celebrating Global TV Excellence – Highlights From The 52nd International Emmy® Awards

Publisher
-
Benjamin Pius
Publisher
-
Benjamin Pius

 About us

Our goal is always to keep industry stakeholders abreast of opportunities in technology and service innovations that are and will shape Africa’s broadcasting and media industry via quality news, information, intelligence and insight .

 Contact us

+44 (0) 207 712 1526
info@broadcastingandmedia.com
BSP Communications Limited
Level 37, One Canada Square
Canary Wharf
London, E14 5AB, United Kingdom

No Result
View All Result
  • Home
  • News & Reports
    • Animation Content
    • Broadcasting
    • Broadcasting Right
    • Broadcasting Rights
    • Cinema Content
    • Connectivity
    • Content Distribution
    • Content Production
    • Content Regulation
    • Film Festival
    • Film Industry
    • Media Regulation
    • Mergers & Acquisition
    • OTT & Streaming
    • Pay-TV
    • Radio Broadcasting
    • Regulation
    • Satellite
    • Tech Features
    • Telecommunications
  • Industry Resources
    • Audio & Podcasts
    • Reports & Presentations
    • TV and Videos
  • Products & Services
    • Promo: Spotlight Service
  • Events
    • All Events
    • BMA Events
  • Join BMA Network
  • Login
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Policy.