MultiChoice steps up
ANNOUNCEMENT: COLLABORATION WITH NETFLIX AND AMAZON
Field trials will shortly be launched of the company’s streaming products.
The MultiChoice group has presented its 2020 financial year report which includes and announcement about a pending collaboration with Netflix and Amazon.
In a presentation published as part of the results, the revelation was made in a section by Calvo Mawela, the CEO of the MultiChoice Group.
The coronavirus pandemic has had a significant impact across the world, adversely affecting the lives of the Group’s customers and its employees.
“Our absolute priority has been the health and safety of our employees and moving swiftly to implement business continuity plans well ahead of the forced lockdowns,” said Mawela.
“Content lineups were adjusted, including making news channels more widely available across the continent, as well as adding more kids’ shows, movies and curated sports content.”
But the most exciting announcement for subscribers who want more content is the expected launch of field trials of DStv’s streaming products, and signed deals with Netflix and Amazon to integrate service on the new Explora decoder.
“We have made further enhancements to the customer experience in and effort to improving retention,” said Mawela.
“Our operational expertise means we have a tailored approach to cater for Africa’s unique business environment.”
The date for the release of the new decoder hasn’t been announced but the set-top box will be adjusting to new technology with support for 4K ultra-high-definition channels to DStv for the first time.
South African TV technology has moved in that direction.
The aftermath of the virus and the low oil price, although uncertain in quantum, will likely have a negative impact on the economies of many of the group’s markets, with weaker currencies and higher levels of unemployment expected.
The impact of this on the group’s performance is not yet known.
“While macro-economic implications are largely uncontrollable, we are taking steps wherever we can to counter potential future headwinds. These include implementing further cost savings initiatives across the organisation and continuing to do what we do best – provide our customers with great entertainment,” said Mawela. Going forward, subject to a stable regulatory environment and the unknown impact of Covid-19, the group will be looking to continue scaling its video entertainment services across the continent, focusing on the mass market for pay TV services, as well as on OTT.
In addition, it plans to further increase its investment in local content and adjust its cost base to acceptable returns.
“We remain well positioned with a sought-after product offering significant scale, a diversified footprint across the African continent and a robust business model with a low reliance on advertising revenue.
“Importantly, we have hedging programmes in place to offset some of the currency pressures we’re exposed to and a healthy balance sheet, which includes R9.1 billion in cash.
“These organisational strengths provide us with confidence that we can withstand the impending macro-challenges and demands and continue to enrich lives through our video entertainment services,” Mawela said.
Its speculated that the service will work the same way as Showmax does on DStv, an added benefit that might sit on a different price package.
Priority has been health, safety of employees