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Reps to probe DStv, StarTimes for ignoring ‘pay per view’ subscription

DStv, Startimes and other Cable television service providers in Nigeria will be investigated as their subscription plans come under scrutiny again.

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Digital Satellite Television (DStv), Startimes and other Cable television service providers in Nigeria will be investigated as their subscription plans come under scrutiny again following demand for ‘Pay Per View’ by Nigerian subscribers.

The current monthly subscription plan was criticised by the House of Representatives, as the lawmakers accused MultiChoice’s DSTV of cheating its subscribers by offering prepaid plan rather than the ‘Pay Per View’ subscription plan.

DStv plans to go “dishless” as it introduces streaming product come 2020

This made the House of Reps resolve to probe the operators of the cable television service providers after unanimously adopting a motion moved by Unyime Idem titled ‘Call on MultiChoice Digital Satellite Television (DSTV) and Other Service Providers to Introduce the Pay as You Go Tariff (PAYG) Plan.’ 

The House of Reps set up an ad hoc committee which will invite Federal Government agencies regulating the industry, including the Federal Ministry of Communications and Digital Economy over the matter.

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[READ MORE: Reps set to probe CBN, FIRS, others over alleged fraudulent forex dealings)

Why the clamour for Pay Per View? Nigeria has poor electricity supply, so the prepaid or monthly subscription plan is not fully utilised by subscribers of DStv and StarTimes. In order to enjoy the subscription, subscribers have to spend extra on alternative source of power supply.

The erratic power supply is one of the reasons that have affected the penetration of cable television in Nigeria, struggling to surpass the over 2 million subscribers in a country with about 200 million. In Nigeria, over $14 million is spent on generator and fuel annually.

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Also, the likes of DStv charge operators of viewing centres extra for public use and the operators have to depend on generators to run their football viewing centers. Basically, operators of the viewing centres believe they are working for the cable service providers. Pay Per View will limit the cost of subscription, which means subscribers can only be charged for content watched.

More clampdown on cable operators: The Nigerian government has also resolved to strip cable television of exclusive right to content, ensuring content will be available for more than two cable service.

This means the exclusive right to football leagues, sports, foreign dramas and other consumer-driven contents will not be owned by one cable television company.

READ MORE: On Twitter, Nigerians are demanding pay per view subscription from DStv

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What Dstv has to say: Nairametrics reached out to Multichoice for comments and a company representative explained that there are misconceptions about what Pay per view really means. Contrary to general belief, the Multichoice representative said pay per view does not necessarily enable customers to match their TV consumption to subscription as it is the case with electricity metering and mobile telephony.

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Instead, pay per view only applies to a one-off broadcast of high stakes games such as football, boxing, and wrestling matches, the company spokesperson claimed.

“It is a type of pay television service by which a subscriber of a television service provider can purchase events to view via private broadcast.”

Pay per View service can be purchased via a cable or satellite TV provider as a non-refundable separate package in addition to a pre-existing subscription. An example of pay per view in action was the Mayweather vs. McGregor fight, aptly dubbed ‘The Money Fight’. In this case, subscribers had to each pay up to $100 for the bout in the US, and watch or not, the subscription ended with the 10 round fight.

READ ALSO: Apple sets to launch Netflix’s rival, Apple TV

“We broadcast the same boxing match to our Premium subscribers at no extra cost, and those who have Exploras were able to record the match and re-watch at another time. It is important to state that it is an expensive service to subscribe to. To date, no pay-TV operation globally has a model based solely on a pay as you view, as it is not a viable business model,” she added.

 

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Olalekan is a certified media practitioner from the Nigerian Institute of Journalism (NIJ). In the era of media convergence, Olalekan is a valuable asset, with ability to curate and broadcast news. His zeal to write was developed out of passion to shape people’s thought and opinion; serving as a guideline for their daily lives. Contact for tips: [email protected]

21 Comments

21 Comments

  1. Folashade

    March 18, 2020 at 3:07 pm

    Pay as you go should be implemented, because in their country they do pay as you go why should ours be different. I love dis steps by d Reps

    • Skipper man

      March 18, 2020 at 9:48 pm

      Where in their country did you see pay as you view we better face we suppose face. Even in advanced countries nothing like pay as you view.

      • Wivas

        March 19, 2020 at 11:58 am

        Are we doing what advanced countries doing?, when it come to issues of this you guys like referencing advanced countries as if the good things they are doing we are also doing it here

      • Anonymous

        March 19, 2020 at 9:53 pm

        i believe you don’t know what you are talking about my best you are one of Dstv agent why did Dstv not allowed tstv who wants to roll out pay per view out ?

  2. Anonymous

    March 18, 2020 at 5:54 pm

    If our leaders could understand our problems like this, I bet you Nigeria would have been a better place by now. Thanks to the reps if they could finish what they have started.

  3. John ushahemba

    March 18, 2020 at 5:58 pm

    If our leaders could understand our problems like this, I bet you Nigeria would have been a better place by now. Thanks to the reps if they could finish what they have started.

    • Christian ugwu

      March 19, 2020 at 6:13 pm

      That is good observation from our leaders,pls let them help us to bring down the DSTV charge’s. I operate viewing center, but I find it difficult to recharge 18,110monthly.pls we need your help,government.

  4. Skipper man

    March 18, 2020 at 9:49 pm

    Our government should be held accountable for poor power supply in the country.

  5. Mrs eze

    March 19, 2020 at 8:32 am

    Yes pay as you go

  6. Anonymous

    March 19, 2020 at 1:08 pm

    Thank you very much for the good steps,this is what we are looking for, for the good of our dear country… All the cables should go for pay per view, after this,they should help us on aedc company a.k.a nepa,we need prepaid meters also, we have tired of crazy bills and no lights… God bless Nigeria

  7. Mr meintain

    March 19, 2020 at 1:11 pm

    Thank you very much for the good steps,this is what we are looking for, for the good of our dear country… All the cables should go for pay per view, after this,they should help us on aedc company a.k.a nepa,we need prepaid meters also, we have tired of crazy bills and no lights… God bless Nigeria

  8. Paul

    March 19, 2020 at 7:05 pm

    Yes , i like the idea ,if only if they will followed it till the end

  9. Anonymous

    March 19, 2020 at 9:59 pm

    Over the years Dstv or multi choice has been ripping nigerian for years what we subscribed for is not what they are given us imagine watching old films more than five times repeatedly in month and the very day your subscriptions finish the cut you off .enough is enough

  10. Musa4real

    March 19, 2020 at 10:01 pm

    Pay as you view is better

  11. Tmart

    March 20, 2020 at 7:52 am

    This step is commendable, pay as you view is the real deal

  12. Ewai, Kufre.

    March 20, 2020 at 8:27 am

    Yes! Pay as you go is most preferred… please this demands also in the power sector light should also be base on pay as you go.

  13. Chartered

    March 20, 2020 at 11:01 am

    Oga what are you saying sef? All ùr comments are offline!

  14. Henry

    March 20, 2020 at 12:13 pm

    I support pay as you view

  15. Kunle

    March 20, 2020 at 12:59 pm

    Was Multichoice’s explanation of pay per view, as is being practiced globally, investigated and found to be true? Nairametrics should do that and come to press with their findings. “Test every spirit”, Bible enjoins us.

  16. Anonymous

    March 20, 2020 at 1:24 pm

    This is a good step taking by Reps. I hope it would be implemented bcos those cable companies will end up bribing the legislatures.

  17. Gbade Adeniran

    March 28, 2020 at 12:26 am

    It is incumbent on the House of Reps to investigate Multichoice claim that PPV is not done globally.
    There should be facts to support either view point, thanks.

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Financial Services

CBN grants Mortgage Refinancing Companies approval to refinance Non-member banks

The CBN has expanded access to mortgage financing by removing restrictions on refinancing mortgages earlier imposed.

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The Central Bank of Nigeria (CBN), has granted approval to Mortgage Refinancing Companies (MRC), to re-finance non-member banks.

This is contained in a circular referenced FPR/DIR/GEN/CIR/07/056 and signed by Ibrahim Tukur, the Director of Financial Policy and Regulation Department, CBN.

The circular improved on the earlier provisions contained in section 7.3.1.5 which states that “A mortgage refinance company (MRC) shall not, without the prior approval of the CBN, extend total outstanding credit to any single borrower, which is equal to or more than twenty times the value of the borrower’s shares with the MRC or 25 percent of its shareholders’ funds unimpaired by losses.”

(READ MORE: Unity bank wants to be seen, but time is running low)

What this means

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Based on the provisions contained in the latest circular, MRCs are now free and legally permitted to refinance the qualifying mortgages of banks and all other non-members ( that do not hold equity), subject to meeting all other relevant requirements specified in the framework.

In a nutshell, the restriction on non-member mortgage lenders from refinancing their mortgages with MRCs has been removed.

Why this matters

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Prior to the provisions contained in the latest circular, CBN had expressed fears that provisions of section 7.3.1.5 negatively impacts the mortgages sub-sector, as it constrains the MRCS from refinancing the mortgages of non-shareholder banks. Therefore, the new order will help to remove the restrictions already highlighted.

In lieu of this, the latest circular stated that the provision of section 7.3.1 5 is hereby revised to “the MRC shall not, without prior approval of the CBN, extend total outstanding credit to any single borrower, which is equal to or more than 25 percent of its shareholders’ funds unimpaired by losses,” the circular reads.

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Business News

Nascon Allied Industries Plc: Increase in sale of goods boosts revenues

Nascon Allied Industries Plc recorded a boost from an increase in the sale of goods revenue-generating unit

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Nascon Allied Industries Plc recorded a boost from an increase in the sale of goods revenue-generating units, as total revenues increased slightly. The company reported revenues of N21.87 billion in 2020 (9months) – 4.01% increase compared to N21.03 billion in the corresponding period of 2019.

What you should know

Key highlights from 2020 (9months) results

  • Revenues increased by 4.01% from N21.03 billion to N21.87 billion YoY.
  • Revenues from sale of edible, refined, bulk grade salt; seasoning and vegetable oil, increased to N21.87 billion, +22.53% YoY.
  • Other income increased to N12.81 million, +27.43% YoY.
  • No revenue was recorded for freight income on the deliveries of salt and seasoning income-generating unit.
  • Gross profit increased to N8.96 billion, +74.56% YoY.
  • Operating profit increased to N3.64 billion +18.60% YoY.
  • Pre-tax profits increased to N3.47 billion, +16.63% YoY.
  • Post-tax profits increased to N2.29 billion, +13.27% YoY.
  • Earnings Per Share increased to 115 kobo, +12.75% YoY
  • Total assets increased to N44.36 billion, +45.79% YoY.
  • Total liabilities increased to N32.04 billion, +67.21% YoY.
  • Total equity increased to N12.32 billion, +9.35% YoY.

(READ MORE:Dangote’s NASCON Allied Industries Plc moves operation from Apapa)

Bottomline

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Nascon Allied Industries Plc recorded a boost from increase in sale of goods revenue-generating unit, but no revenue was recorded for its freight income on the deliveries of salt and seasoning revenue generating-unit.

Though companies have generally recorded decreased revenues in the last three quarters, mostly due to COVID-19; Nascon Allied Industries Plc was able to increase its total revenues and pre-tax profits in the period under consideration.

 

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Tech News

Instagram disables its “Recent” feature

Instagram recently announced it had removed the “recent” tab from hashtag pages on a temporary basis

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COVID-19: Instagram cracks down on coronavirus AR effects, Instagram Tenders apology for fagging #EndSARS fake, Instagram has disabled the “Recent” feature for the forthcoming U.S election,

Instagram disclosed that it would remove the “Recent” tab from its hashtag pages for people in the United States of America.

The social networking and video sharing service stated this on its official Twitter handle. It said it is “doing this to reduce the real-time spread of potentially harmful content that could pop up around the election.”

What you should know

Nairametrics had reported on Instagram’s apology for its algorithm malfunction that led to the flagging of #EndSARS posts as fake.

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Instagram has also taken the following measures to ensure a successful November election.

  • The registration of 4.4 million votes this year through its flagship platform – Instagram and Messenger.
  • Serving as a means of information and tool to people in the US on the electoral process
  • The ban of any content that can thwart the success of the election.

(READ MORE:U.S dollar stable amid U.S holiday)

Mark Zuckerberg, the CEO of Facebook, said he was perturbed about the high risks for civil unrest in the US due to the upcoming presidential election.

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“I’m worried that with our nation so divided and election results potentially taking days or weeks to be finalized, there is a risk of civil unrest across the country.”

Furthermore, he disclosed on a call while discussing Facebook’s Q3 earnings, that “given this, companies like ours need to go well beyond what we’ve done before.”

Why this matters

The aim of the short-term decision is to decrease the spread of misinformation in the forthcoming US election.

 

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