The Looming Collapse of Multichoice’s Monopoly In Kenya & Africa: What Happens If The English Premier League Streams Direct-to-Consumer?
For decades, South Africa’s Multichoice has been synonymous with premium sports broadcasting in Kenya and across Africa, securing its dominance through exclusive rights to marquee sports events, including the English Premier League (EPL) and the UEFA Champions League. Through DSTV and ShowMax, Multichoice has become the gateway to live sports for millions of fans across 50 African countries.
However, a seismic shift in the sports broadcasting landscape threatens to unravel this dominance. In November 2024, the Premier League announced plans to take its global media production in-house by the 2026/27 season, signaling a potential move toward direct-to-consumer streaming. For Multichoice, this represents an existential threatthat could upend its business model and redefine how sports content is consumed across the continent.
As a past DSTV and ShowMax user, and a keen observer of Africa’s digital transformation, I believe this shift could be a watershed moment for Multichoice. But to understand the gravity of the situation, we need to examine the broader context of why Multichoice charges so much for its services, the lessons from Kenya’s and Africa’s football ecosystem, and the opportunities for Multichoice to pivot and thrive.
Why Does Multichoice Charge So Much?
Multichoice’s pricing structure has been a persistent point of contention for Kenyan and African consumers. In Kenya, DSTV Premium, which includes full SuperSport coverage of the EPL and other premium content, costs approximately KES 11,000 per month. Even ShowMax Mobile, a more affordable option at KES 500 per month, limits users to mobile devices and tablets — a frustrating limitation for fans who want the full experience of watching live matches on larger screens.
These high prices stem from the enormous costs Multichoice incurs to secure exclusive broadcasting rights in Africa. Consider these staggering figures:
- English Premier League: Multichoice paid US$438 million for EPL rights across 50 African countries for the 2016–2019 seasons. This deal has been extended through 2025, likely at an even higher cost.
- UEFA Champions League: Multichoice paid €100 million for exclusive rights to Europe’s premier club competition.
These deals are among the most expensive in global sports broadcasting and explain why Multichoice has relied on premium pricing to recoup its investments. However, this pricing model is increasingly unsustainable in Kenya and Africa, where affordability is a critical factor for most consumers.
The Untapped Potential of Small Payments: Lessons from SportPesa
One of Kenya’s and Africa’s most successful examples of leveraging small payments comes from SportPesa, a leading sports betting company in Kenya. SportPesa capitalized on the passion of millions of young Kenyan men for the EPL, enabling them to place bets as small as KES 50 or KES 100 on individual matches. This ‘trickle-up effect’ generated massive revenues, allowing SportPesa to expand across Africa and even sponsor Racing Point, a Formula 1 team that later became Aston Martin F1 Racing Team.
This example highlights a crucial insight: Kenya and Africa has a massive, engaged market for Premier League content, but cost remains a significant barrier. If Multichoice were to adopt a similar model, allowing fans to pay for individual games or team-specific seasons, it could unlock this market and generate substantial revenues from millions of small payments.
Why the Premier League’s Streaming App Could Be a Game-Changer
The Premier League’s decision to take control of its global media production signals a shift toward a direct-to-consumer streaming model. This approach has already been successfully implemented by other major sports leagues:
- NBA League Pass: Offers live games, highlights, and exclusive content at affordable prices.
- F1 TV: Provides direct access to live races, driver interviews, and behind-the-scenes coverage.
- MotoGP Streaming: Delivers comprehensive live streaming and on-demand race replays.
A Premier League streaming app could allow fans worldwide to access matches directly, bypassing traditional broadcasters like Multichoice. Such an app could offer flexible pricing options, including:
- Pay-Per-Game Access: Fans could pay for individual matches, such as Arsenal vs. Manchester United.
- Team-Specific Season Passes: Fans could follow their favorite teams throughout the season.
- All-Access Bundles: For hardcore fans, an option to access all matches at a discounted rate.
For Kenyan and African consumers, these options would likely be more affordable and accessible than DSTV’s current offerings. For Multichoice, this could result in a significant loss of market share unless they adapt.
Strategic Recommendations for Multichoice
To navigate this disruption, Multichoice must rethink its approach to pricing, partnerships, and platform accessibility. Here are five strategies to remain competitive:
1. Unbundle Sports Content and Introduce Pay-Per-Game Pricing
Multichoice should embrace a more flexible pricing model:
- Allow fans to pay for individual matches or marquee events.
- Introduce team-specific season passes, enabling fans to follow their favorite clubs.
This approach could replicate SportPesa’s success, attracting millions of consumers who are priced out of current DSTV packages.
2. Strike Partnerships with Betting Companies
The strong synergy between football and sports betting offers an untapped opportunity for Multichoice:
- Collaborate with betting companies to provide bundled subscriptions, combining live matches with betting platforms.
- Offer in-match betting features exclusively through SuperSport broadcasts.
- Cross-promote Multichoice services to betting customers, expanding its reach among young football fans.
3. Leverage Mobile Money for Micro-Payments
Kenya’s M-Pesa ecosystem provides an ideal platform for micro-payments:
- Enable fans to pay as little as KES 50 for single matches.
- Offer subscription tiers payable through M-Pesa, making services accessible to underserved markets.
By integrating mobile money, Multichoice can lower entry barriers and attract a broader audience.
4. Expand Device Accessibility
Multichoice must enhance its platform to support seamless streaming across all devices:
- Ensure compatibility with smartphones, tablets, smart TVs, and laptops.
- Partner with affordable set-top box providers to make TV streaming more accessible.
This would cater to both mobile-first users and traditional TV viewers, providing a more inclusive experience.
5. Collaborate with Mobile Networks
Data costs remain a barrier to streaming in Kenya and Africa. Multichoice should:
- Partner with mobile networks to offer streaming-specific data bundles.
- Create co-branded promotions, reducing costs for consumers and increasing subscriptions (I believe this is already happening in Kenya with ShowMax Mobile and Safaricom).
Why Multichoice Must Act Now
The Premier League’s potential streaming app represents more than just a threat — it’s a glimpse into the future of sports broadcasting. Kenyan and African consumers are increasingly demanding flexibility, affordability, and accessibility, and Multichoice’s traditional model is ill-suited to meet these expectations.
If Multichoice fails to adapt, it risks being sidelined in a post-monopoly world where Kenyan and African consumers have direct access to the content they love. However, by embracing innovation and prioritizing customer needs, Multichoice can turn this disruption into an opportunity to reinvent itself and secure its relevance in Kenya’s and Africa’s digital-first future.
Conclusion: A Crossroads for Multichoice
Multichoice’s dominance in African sports broadcasting is under threat, but the path forward is clear. By unbundling sports content, collaborating with betting companies, leveraging mobile money, and expanding device accessibility, Multichoice can unlock Africa’s vast football market and remain a leader in the industry. The stakes couldn’t be higher. The Premier League’s “Netflix of Football” is coming, and Multichoice has a choice: evolve, or die!