South Africa: Govt. Agency To Investigate DStv's Deal With Netflix And Amazon Prime Video
The Competition Commission of South Africa - the government agency focussing business practices and activities for competitive fairness and openness - has said it is launching an urgent investigation into Multichoice plans to add Netflix and Amazon prime video to DStv explorer decoder.
A statement from the Mr Siyabulela Makunga, head of communications at the Competition Commission said that "The Commission is very keen to review all the agreements regarding this deal, to assess the effect, if any, that the proposed bundling will have on competitiveness in the marketplace."
Multichoice is expected to take a dim view of this intervention by the Competition Commission. The organisation sees its DStv platform as a "one-stop-shop" where consumers might access all available content from just the one producer. According to Multichoice Chief Financial Officer, Mr Tim Jacobs, the deal with Netflix and Amazon Prime Video was so that they can offer "simplicity, choice and convenience to their subscribers.
Calvo Mawela, Chief Executive Officer for Multichoice also weighed in to defend the move, confirming that Multichoice has always been a "multi-channel operator" that always seeks to purchase and quality content and channels to its platforms and that Netflix and Amazon Prime Video are only a couple in the long line third party providers that they deal with.
Multichoice does not understand where the fuss lie!
Credit: contribution from mybroadband.co.za