FCCPC summons MultiChoice over price increase, threatens sanction

THE Federal Competition and Consumer Protection Commission (FCCPC) has summoned MultiChoice Nigeria, the parent company of DStv and GOtv, over plans to increase the prices of its packages effective March 1.

The FCCPC, in a statement on Tuesday, February 25, signed by its spokesperson, Ondaje Ijagwu, said the summon was for Multichoice to provide clarification regarding the planned increase in subscription prices.

The FCCPC said that in exercising its power under Sections 32 and 33 of the FCCPA, it had directed the chief executive officer of MultiChoice Nigeria to attend an investigative hearing at the Ccommission’s headquarters on Thursday, February 27.

The regulatory body said this followed MultiChoice’s formal notification of the price adjustment, which raised concerns about recurrent unilateral price hikes, potential market dominance abuse, and perceived anti-competitive practices in the pay-TV industry.

“The FCCPC is deeply concerned that Nigerian consumers continue to face frequent price increases, amid accusations that MultiChoice applies different pricing strategies in other markets, heightening questions about fairness and market abuse,the FCCPC stated.

It added that should MultiChoice fail to provide satisfactory explanations or be found in violation of fair market principles, the FCCPC would be left with no other option than to impose penalties or other corrective measures to protect Nigerian consumers.

The FCCPC said it was engaging other relevant agencies to ensure fair competition and consumer protection within Nigeria’s broadcasting and digital subscription landscape.

The ICIR reported that almost a year after its major price preview, Multichoice Nigeria announced plan to increase the prices of its packages effective March 1.

In a message to its customers on Monday, February 24, titledPrice Adjustment on DStv and GOtv Packages,MultiChoice chief executive officer, John Ugbe, explained the reasons for the hike.

According to the company, its latest price review would hike the DStv compact bouquet from N15,700 to N19,000, the compact plus to N30,000, and the premium subscription to N44,500.

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Similarly, GOtv customers who currently pay N3,600 will now pay N3,900, while the tariff on GOtv Plus will rise from N4,850 to N5,800. The GoTV Max package will cost N8,500, while the Supa will jump to 11,400, while Supa Plus rises to 16,800.

The company claimed the price increase was due to the increasing cost of running business in Nigeria. It further pointed to currency depreciation, with the naira’s value dropping significantly and high inflation ballooning its operation expenses.

Meanwhile, there have been growing concerns about the price preview, despite the dwindling economic fortunes of most Nigerian workers.

Nigeria has been grappling with one of its worst inflationary periods in decades, with inflation reaching 24.48 per cent as of January 2025, according to the National Bureau of Statistics (NBS).

In September 2024, MultiChoice Nigeria defended its opposition to apay-as-you-watchmodel in court, stating that such a system was not commercially or technically feasible in satellite broadcasting due to current technological limitations. This stance was in response to consumer advocacy groups pushing for more flexible payment options.

Additionally, between April and September 2024, the company reported a loss of 243,000 subscribers, attributed to rising subscription costs and a shift towards more affordable streaming alternatives.

Bankole Abe

A reporter with the ICIR
A Journalist with a niche for quality and a promoter of good governance

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