MultiChoice eyes job cuts as DStv struggles against Netflix – report
MultiChoice may be forced to shed jobs as DStv continues to battle new entrants into its market, namely Netflix, Amazon Prime Video and other streaming services, according to a report in the Sunday Times.
The report stated that the media institution has asked many employees to reapply for their positions with as many as 200 jobs potentially affected.
“We are creating a leaner and more agile organisation in order to remain globally competitive,” a MultiChoice spokesperson told the Sunday Times.
DStv – particularly its Premium satellite service – continues to lose subscribers. At its year-end in March, MultiChoice said it lost 41,000 Premium subscribers in the period.
This is likely due to a difficult economy, and increasing competition, which also led to MultiChoice launching its own streaming service, Showmax in 2015.
Lower-tier DStv packages, however, have seen user growth, which generates less revenue.
MultiChoice SA CEO Calvo Mawela recently told MyBroadband that Netflix has an unfair advantage over DStv in South Africa, and that a regulatory change is needed to address this problem.
He has called for Netflix to pay taxes in South Africa and abide by local broadcast regulations, which DStv is subject to.
Read: Netflix has an unfair advantage over DStv: Multichoice CEO
Loading ...