MultiChoice’s Side Hustles Shine as DStv Cracks Under Pressure

DStv stumbles, but smart bets on fintech, sports betting and insurance help MultiChoice stay in the game

In a year marred by economic strain and changing viewer habits, South Africa’s broadcasting giant MultiChoice is watching its pay-TV crown slip, but that doesn’t mean the empire is crumbling. While its flagship DStv service is bleeding subscribers and posting heavy losses, a handful of side ventures are quietly turning into unlikely heroes.

The Great DStv Unplugging

If your uncle recently complained about cancelling DStv to save money, he’s not alone. MultiChoice shed 1.2 million subscribers over the past year. With load-shedding, expensive subscriptions, and the global shift to cheaper streaming options, it’s no surprise that viewers are unplugging, or turning to less conventional ways of watching content.

That decline came with a R2.3-billion loss in trading profit, worsened by the hefty price tag attached to the relaunch of its streaming platform, Showmax. It’s a sobering moment for a company that once had a near-monopoly on African screens.

But that’s not the whole story.

Betting Big on Nigeria and Winning

Where DStv falters, MultiChoice’s sports betting platform KingMakers is cashing in. Operating as BetKing in Nigeria and SuperSportBet in South Africa, KingMakers posted a 76% increase in net gaming revenue, earning a solid R1.9 billion in organic growth.

Sure, the naira’s plunge meant that reported revenue dropped slightly, but the fundamentals are strong. In fact, KingMakers even declared an $11 million dividend, with more than half heading back to MultiChoice.

It’s a timely win, especially in Nigeria, a market historically tough to navigate. For once, things are going right there.

Insurance with a Plot Twist

While the number of insurance policyholders dropped by 13%, MultiChoice’s insurance arm NMS Insurance Services (NMSIS) still posted a 17% revenue increase, clocking in at R1.1 billion. Why? The company shifted focus from cheap, low-yield insurance plans to higher-paying device care policies and it worked.

Even better, in late 2024, MultiChoice sold a 60% stake in NMSIS to Sanlam, injecting R1.2 billion in fresh cash into the business. That capital is now cushioning the blow from DStv’s decline.

Moment in the Spotlight: Fintech’s Quiet Rise

Fintech startup Moment flew under the radar during its first year, but made a big impact by facilitating R11.2 billion in transactions. From handling over half of the Group’s internal payments to making it easier to pay for Showmax during load shedding via QR codes, Moment is proving to be more than a side project.

Its voucher system and in-store payment tech helped DStv and Showmax remain somewhat accessible, even as power and data outages plagued customers.

Irdeto’s Fight Against Piracy

Behind the scenes, MultiChoice’s cybersecurity unit Irdeto is doing digital dirty work. From securing gaming and transport platforms to busting piracy rings, Irdeto quietly increased revenue by 5%. In fact, the number of illegal services raided or shut down grew by 63% year-on-year, a testament to the ongoing battle to protect content in a digital age where streams get ripped faster than you can say “DSTV Premium.”

What It All Means for MultiChoice’s Future

MultiChoice’s situation mirrors the struggle of many legacy media houses: disrupted by tech, squeezed by inflation, and chasing younger audiences who aren’t glued to satellite dishes. But instead of folding, MultiChoice seems to be leaning into what it does well knowing Africa’s markets, and pivoting fast.

The company’s diversification strategy is starting to look less like a side hustle and more like the main gig. And if these bets keep paying off, DStv’s decline might one day read like the end of one chapter, not the entire story.

Public Sentiment: Mixed, but Watching Closely

On X (formerly Twitter), South Africans shared a mix of schadenfreude and cautious optimism. “DStv is too expensive, but Showmax’s new series are fire,” wrote one user. Others applauded the company’s push into fintech: “Moment sounds like what we’ve needed for years.”

Yet critics remain sceptical. “Stop trying to be everything, and fix DStv first,” one post read. The public seems ready to give MultiChoice credit, if its new ventures keep delivering.

MultiChoice may be losing the battle on satellite TV, but it’s slowly winning the war elsewhere in betting shops, mobile wallets, and digital backrooms. That pivot could make all the difference in an industry where the remote control is no longer king.

Why So Many South Africans Are Ditching DStv

{Source: Tech Central}

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