Digital TV revenues to hit $1,148 million in 2020

Digital TV other- wise known as pay TV in Ni- geria will more than double its revenues from $449 million in 2014 to $1,148 million in
2020. The fourth edition of the Digital TV Sub-Saharan Af- rica report forecasts that Nigeria and South Africa will contribute more than half of the region’s pay TV revenues by 2020 for the 34 countries covered. Multichoice, owners of Digital Satellite Television,
DStv and Gotv, remain the most dominant digital TV provider in Nigeria. Principal Analyst at Dig- ital TV Research, Simon Murray, said: “Three companies [Multichoice (DStv and GOtv), Canal Plus and Star- Times] accounted for more than 90 percent of pay TV subscribers in Sub-Saharan Africa by end-2014”. Pay TV revenues in Sub- Saharan Africa will reach $6.22 billion in 2020, up from $3.54 billion in 2014 and $1.92 billion in 2010, according to the report. Excluding South Africa, pay TV revenues will climb from $0.83 billion in 2010 to $1.73 billion in 2014 and onto $4.12 billion in 2020. Satellite TV accounted for 92 percent of the 2014 pay TV revenues, although pay DTT will make inroads (contributing $802 million in 2020 – quadruple the 2014 total). Competition and take- up of the cheaper DTT pack- ages will force the Average Revenue per User (ARPU) down in most countries. Of the 12.92 million pay TV subscribers at end-2014, 9.65 million were pay satel- lite TV and 2.81 million pay DTT. The pay total will more than double to 27.95 million by 2020, with satellite TV contributing 16.21 million and pay DTT another 9.44 million. Pay TV platforms in Ni- geria are struggling to beat the June 2015 deadline for a digital switch over by the federal government.