Business

MultiChoice won’t let its viewers just get 1mth free subscription without a fight

Now at the receiving end of a tribunal order instructing both a fine and one-month free cable service to its subscribers, the entertainment media giant says it will not yield.

After yesterday’s costly verdict given against MultiChoice Nigeria by the Federal Competition and Consumer Protection Tribunal in Abuja, the company has declared that it would challenge all the burdens that have been imposed on it, including a demand to pay ₦150million fine and also offering the subscribers of its cable service DStv and GOtv a month of free viewing.

The inconvenience to MultiChoice resulted from going through with a decision it took back around April ending. A press release from the company informed subscribers that there would be a price increase starting the following month.

ALSO READ: French TV channel Canal+ submits bid to buy Multichoice after exceeding 35% stake

A litigant Festus Onifade reportedly based in Abuja had brought a lawsuit to the tribunal following the announcement of a new pricing regime, and the court had instructed that the review be put on hold as judges decide but MultiChoice went ahead nonetheless.

Now at the receiving end of a tribunal order instructing both the fine and one-month free cable service to its subscribers, the entertainment media giant says it will not yield.

MultiChoice Nigeria is aware of the recent ruling by the Competition and Consumer Protection Tribunal regarding its jurisdiction to entertain a price regulation matter. We disagree with the ruling, and will therefore file an appeal against the said ruling.

As the matter is currently sub-judice, we are restrained from making further comments, the company declared in a statement released to the media.

MultiChoice Nigeria’s announcement that it was going to be increasing the price of its subscription packages on Wednesday 24 April led Acting Executive Vice Chairman of the Federal Competition and Consumer Protection Commission (FCCPC) Dr Adamu Abdullahi to Channels TV’s Dateline Abuja interview the next day.

Having read through a lengthy letter from MultiChoice about the new tariffs that have been introduced, Dr Abdullahi summed up the reasons to be linked to things like the cost of electricity, running generators, the cost of dollars for spare parts and so on.

The FCCPC was to go through the motivations one by one and then reach a decision but that was, as it happened, not done quickly enough. MultiChoice Nigeria went through with its Workers’ Day increment of viewing packages although the tribunal was still waiting to sit and discuss this on 3 July 2024.

High costs of doing business in Nigeria have long been a concern for multinationals and it is why several have been taking their leave and divesting.

There are concerns that hard, strict protection of the Nigerian customer by agencies such as FCCPC could irritate more companies like these and force them to divest and leave the way the pharma and IoCs have been doing in recent months.

ALSO READ: What is driving manufacturers to leave Nigeria with their jobs?

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Articles

Back to top button