News Highlights:
- FCCPC Summons MultiChoice Over Price Hike Concerns
- Concerns Over Fairness and Market Practices
Following its planned subscription price increase, set to take effect on March 1, 2025, MultiChoice Nigeria, the operator of DStv and GOtv, has been summoned by the Federal Competition and Consumer Protection Commission (FCCPC) for explanations.
FCCPC’s Director of Corporate Affairs, Ondaje Ijagwu, said in a statement on Tuesday, that the regulator had ordered MultiChoice’s Chief Executive Officer to appear at its headquarters on February 27 for an investigative hearing.
Digital TimesNG reports that the invitation comes after the pay-TV announced on Monday a 21 per cent increase in the subscription fee for its DStv Compact package, raising the price from N15,700 to N19,000 among other adjustments in price.
The announcement was greeted with widespread criticism from subscribers, many of whom took to social media to express frustration over frequent price hikes.
The FCCPC in its statement, however, expressed concerns over the recurring unilateral price increases, warning that such actions raise serious questions about fairness, market abuse, and potential anti-competitive practices.
“Exercising its mandate under Sections 32 and 33 of the FCCPA, the FCCPC directed the Chief Executive Officer of MultiChoice Nigeria to attend an investigative hearing at the commission’s headquarters on Thursday, February 27, 2025.
“This action follows MultiChoice’s formal notification of the price adjustment, which raises 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 statement partly read.
The consumer watchdog warned that failure to provide a satisfactory explanation or any violation of fair market principles could result in penalties, sanctions, or other corrective measures.
The FCCPC also confirmed that it is engaging the sector regulator and other relevant agencies to ensure fair competition and stronger consumer protection in Nigeria’s pay-TV industry.
