This archive report was first published on 12 June 2020.
On June 11, 2020, MultiChoice, the largest pay-TV group in Africa, revealed a significant shift in its strategy by partnering with Netflix and Amazon to offer streaming services.
The move aims to position MultiChoice as a one-stop-shop for consumers to access various streaming services, including those from Netflix and Amazon.
According to CEO Calvo Mawela, the partnerships will enable MultiChoice to become the platform of choice for people to consume streaming services.
MultiChoice currently serves 19.5 million households in 50 African countries, but the company believes that poor internet access in many of these countries makes a rapid uptake of streaming services unlikely.
However, with the partnerships, MultiChoice aims to capitalize on the growing demand for streaming services in Africa.
As part of its new strategy, MultiChoice has reported its first annual profit since being spun off by parent Naspers.
Chief Financial Officer Tim Jacobs stated that the company sees the various streaming services as complementary, rather than competing with each other.
MultiChoice's decision to partner with Netflix and Amazon marks a significant shift in its strategy from competing with streaming services to working with them instead.
