STRATEGY

Tough times for streamers as Netflix, Showmax cut offerings

African continent video streaming industry is estimated to be generating Sh17.1 billion in revenues.

In Summary

•In latest communication to customers Netflix revealed that it is phasing out its free service in the country, however it didn’t give any reasons for change of heart.

•The Star has also learned that Showmax is in the process of cutting down on its premium offering effective October 1 2023.

streaming videos
streaming videos
Image: HANDOUT

Streaming services platform Showmax and Netflix have revealed plans to cut down on some of their services in the country.

In latest communication to customers Netflix revealed that it is phasing out its free service in the country, however it didn’t give any reasons for change of heart.

Showmax on the other hand has revealed plans to ‘shake things up’ in a move that will see the streaming platform phase out Showmax Pro in its current format.

Netflix noted that On November 1st, 2023, the Free plan will no longer be available and subscribers’ membership will end.

 “Hi Netflix Member, We're writing to let you know about an upcoming change to your membership. If you want to keep watching, Upgrade to one of our paid plans,” the streaming platform sent the communication to its subscribers.

The Star has also learned that Showmax is in the process of cutting down on its premium offering effective October 1 2023.

However, the platform maintained that the cutting down on its pro offering is in preparation for the launch of Showmax 2.0.

“With the relaunch of Showmax later this year, our sport offering will focus exclusively on the Premier League, the most popular league on the continent. More details around pricing and the product will be shared soon,” Showmax said in reply to The Star

As a result of the new changes effective October 1, 2023, Showmax Pro will no longer be available for subscription.

For Showmax the change comes just days after MultiChoice Group and Comcast’s NBCUniversal and Sky announced a new partnership that aimed at bringing the world’s best content and technology to streaming customers across MultiChoice’s 50-market footprint in sub-Saharan Africa.

According to a statement from its mother company, the new Showmax group will be 70 percent owned by MultiChoice and 30 percent by NBCUniversal.

The steaming industry has in the past few years faced increased competition as firms jostle for a slice of the Sh17.1 billion revenues in the video streaming industry in the continent.

The focus for streaming services in the continent comes at a time when Africa is approaching an inflection point in terms of broadband connectivity and affordability.

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