Deregulation of MultiChoice's Rates Paused: Tension Between FCCPC Intensifies
MultiChoice's Price Hike under Scrutiny: FCCPC Hearing Reveals Ongoing Regulatory Pressure
In a significant turn of events, MultiChoice Nigeria faced intense regulatory scrutiny at the Federal Competition and Consumer Protection Commission (FCCPC) hearing held on March 6, 2025. The hearing was called in response to MultiChoice's unauthorized price hike that took effect on March 1, 2025.
Prior to the hearing, the FCCPC had directed MultiChoice to maintain existing prices pending investigation. However, the company disregarded this instruction and implemented the price increase. This defiance led to a legal challenge and accusations of abuse of market dominance and anti-competitive behavior against MultiChoice and its CEO.
The specific outcomes of the March 6 hearing have not been explicitly detailed in the search results. However, it is clear that the FCCPC initiated legal proceedings against MultiChoice for defying regulatory instructions and obstructing the investigation into the price hike. The regulator's focus remained on protecting consumers from unfair pricing practices and maintaining competitive fairness in Nigeria's pay-TV market.
MultiChoice had initially announced another round of price hikes for its DStv and GOtv services, with DStv Compact increasing from ₦15,700 to ₦19,000, DStv Premium climbing from ₦37,000 to ₦44,500, and GOtv Supa Plus rising from ₦15,700 to ₦16,800. However, these price increases are currently on hold due to the FCCPC's intervention.
The FCCPC's temporary block on MultiChoice's price increase has brought relief to subscribers who have been frustrated by the company's history of repeated price hikes. Between April and September last year, MultiChoice saw a massive drop of 243,000 subscribers due to price increases.
The FCCPC has not yet announced a decision regarding MultiChoice's price hike request. The hearing with the FCCPC is scheduled for March 6, 2025, and the commission has directed MultiChoice to postpone the price increase until its ongoing investigation is concluded. The commission approved the extension but set a firm deadline-March 6-for the company to present all necessary documents and justifications.
Subscribers are hopeful that the FCCPC will intervene to shield them from further price increases. The outcome of the hearing will determine if the FCCPC will allow MultiChoice to proceed with its price hike or continue to block it.
In the meantime, any adjustments to subscription fees remain prohibited by the FCCPC. This temporary reprieve provides subscribers with some financial relief as they await the FCCPC's final verdict. The ongoing legal proceedings and regulatory scrutiny highlight the importance of fair pricing practices and competitive fairness in Nigeria's pay-TV sector.
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