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The South African
16 hours ago
- Business
- The South African
DStv woes: 1.2 million subscribers ditch the dish
Pay-TV operator MultiChoice has reported a sharp decline in its subscriber base for the financial year ending 31 March 2025, losing nearly 1.2 million subscribers across its markets. The drop represents an 8% year-on-year decline, reducing the group's total subscriber base to 14.5 million. According to the company's latest annual results, 589 000 subscribers were lost in South Africa, with a further 591 000 lost across the Rest of Africa segment. The total number of South African subscribers now stands at 7 million, while the Rest of Africa accounts for 7.5 million subscribers. The company's active user base, as measured by its 90-day active subscriber metric, paints an even more concerning picture. The number of active subscribers fell from 20.9 million in 2024 to 18.6 million in 2025 – an 11% decline. South Africa alone lost 614,000 active subscribers under this metric. The subscriber losses translated directly into lower revenues. MultiChoice's blended average revenue per user (ARPU) declined 3% to R222 per subscriber, down from R229 in the previous year. Interestingly, the trend diverged across regions. South African ARPU increased by 4% to R292, driven by a 5.7% price hike on its DStv packages. However, the Rest of Africa saw a 14% decline in ARPU, falling to R148 despite local currency price increases of over 30%. Currency depreciation and weak consumer spending were cited as major contributing factors. Across the 90-day active subscriber base, ARPU remained flat at R170. This masked a 12% drop in the Rest of Africa and a 5% increase in South Africa. The decline in subscribers was spread across all tiers of MultiChoice's service offerings. The premium segment (DStv Premium and Compact Plus) lost 100 000 customers, as did the mid-market segment (Compact and Commercial). The mass-market segment, which includes Family, Access, and EasyView packages, saw the steepest drop with a loss of 400 000 subscribers. The South African market, which once had 9 million subscribers at its peak in 2022, has now dropped to 7 million. Since 2019, the premium subscriber base alone has fallen from 1.6 million to just 900 000 in 2025. Despite the downturn, MultiChoice has taken steps to stem the decline, focusing heavily on retention and win-back campaigns over the past year. Measures included the reintroduction of a second concurrent streaming option at no extra cost and a price reduction on its DStv ADD Movies add-on, from R79 to R49. The group also entered into strategic partnerships with local brands such as Capitec, MTN, and PEP in an effort to expand its distribution footprint and accessibility. While acknowledging the tough operating environment, MultiChoice expressed optimism about stabilising its core video business through customer-focused innovations. The company also intends to expand its efforts in interactive entertainment, financial services, and insurance to diversify its revenue streams. Although the rate of subscriber loss has begun to slow, the group recognises that restoring sustainable growth will require continued adaptation to shifting consumer habits and economic pressures. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.

IOL News
2 days ago
- Business
- IOL News
Department of Correctional Services faces R1. 4 billion over-expenditure
During a briefing on the DCS's second and third quarter performance report for the 2024/25 financial year, committee members were informed that the year-to-date expenditure for the department stood at a considerable R21.6 billion, constituting 78% of the projected annual spending of R29.2 billion. Image: Boxer Ngwenya / Independent Newspapers The Portfolio Committee on Correctional Services has expressed deepening concerns regarding the alarming budgetary excesses plaguing the Department of Correctional Services (DCS), as projections indicate an over-expenditure of R1.4 billion. This situation has arisen amid increasing operational costs, which could severely hinder the department's ability to fulfil its mandate effectively. During a briefing on the DCS's second and third quarter performance report for the 2024/25 financial year, committee members were informed that the year-to-date expenditure for the department stood at a considerable R21.6 billion, constituting 78% of the projected annual spending of R29.2 billion. This figure starkly overshadows the adjusted budget of R27.8 billion, thus highlighting the pressing need for fiscal accountability within the correctional system. The committee identified several contributing factors to this over-expenditure. Chief among them is a cost-of-living adjustment implemented in April 2024, which has compounded existing financial challenges. Additionally, the department's capital budget faces a worrying shortfall of R222 million, severely limiting essential infrastructure upgrades and maintenance needed to improve conditions within correctional facilities. Rising food costs have further exacerbated the situation. This increase is attributed not only to inflation and a rising inmate population but also the increasing number of foreign nationals housed in South Africa's correctional facilities. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ The DCS is also grappling with soaring municipal tariffs for utilities such as electricity and water, which have skyrocketed beyond standard consumer price indices, ultimately straining the already overstretched Goods and Services budget. Moreover, the challenge has been heightened by the transfer of maintenance responsibilities from the Department of Public Works and Infrastructure to the DCS without a corresponding increase in funding, resulting in an alarming R154 million funding gap. Meanwhile, the department's efforts toward digital transformation and cybersecurity are stymied by a severely constrained budget for information technology. Kgomotso Anthea Ramolobeng, Chairperson of the committee, voiced her apprehensions about the department's financial trajectory. 'Of course, we raised concerns about this trend. It is worrying although the factors for such overspending have been placed before us. We urged the department to tighten its belt, like using for example offender labour wherever possible in order to cut cost and that will result in a transfer of skills,' she stated. In light of these challenges, the DCS has initiated measures aimed at curtailing projected over-expenditure. A dedicated committee has been established to monitor spending on a weekly basis, and the committee expressed hope that these interventions would yield tangible results. 'We noted these interventions and hope that the corrective measures will bear fruit. We will need a report detailing progress regarding those measures,' Ramolobeng said. The DCS also reported a troubling statistic: 29 unnatural deaths have been recorded among its inmate population, which stands at 160,353. Ramolobeng underscored the importance of accurate reporting, urging the DCS and the Judicial Inspectorate for Correctional Services to establish a framework to resolve discrepancies in the reporting of these numbers. 'Both parties need to sit down and come up with a way forward of how to address this reporting deficit. We want the DCS to submit a report to us following that sit-down meeting,' she concluded. IOL

IOL News
2 days ago
- IOL News
South Africa's prison population reaches 166 924: The impact of budget constraints
The total population of inmates increased to 166,924 as of December 31, 2024, throughout South Africa. Image: Bheki Radebe Within three months, 6 571 more inmates occupied prisons throughout South Africa, bringing the total population of inmates to 166 924 as of December 31, 2024. The Department of Correctional Services (DCS) presented the 3rd Quarter Performance Report for the 2024/25 financial year to the Portfolio Committee on Correctional Services on Tuesday, noting that the prison population increased from 160 353 on September 30, 2024. In the DCS report, reference was made to the capital budget being underfunded by R222 million, constraining infrastructure upgrades and maintenance. The DCS stated that food costs have surged, driven not only by inflation and a growing inmate population, but also by the rising number of foreign nationals housed in correctional facilities, which are experiencing the highest concentration of this challenge. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad Loading Approximately 27% of offenders in Gauteng are foreign nationals. Polokwane and Thohoyandou in Limpopo, Barberton in Mpumalanga, and Klerksdorp, North West, correctional centres admitted more remand detainees, mostly foreign nationals, due to SAPS operations Vala Umgodi and Shanela, where they were charged for illegal mining and illegal immigration. The DCS stated that due to municipal tariffs for electricity, water, and sanitation escalating above the Consumer Price Index, it is creating further strain on the already stretched goods and services budget. The department stated that the branch budget is also severely constrained, hampering efforts to modernise digital infrastructure and cybersecurity. The DCS did not meet its target in Information Technology (IT) because of a number of sites where a mesh network and an integrated security system (ISS) are installed. The reason provided was attributed to a delay in the testing of the Audio Visual Remand (AVR) due to the unavailability of the confirmed court dates by the Department of Justice. The DCS also stated that funds allocated for the Local Area Network (LAN) infrastructure project were insufficient due to a budget shortfall for the Microsoft licenses. It highlighted that overcrowding in correctional facilities is in excess of approved bed space capacity. 'The admission of remand detainees and sentenced offenders exceeds the outflow of cases from the system,' the DCS stated. The unsentenced inmate population increased by 5 934, while the sentenced offender population increased by 637. With regard to overcrowding in Gauteng, the DCS stated that the Leeuwkop Medium B is unable to utilise four cells with a capacity of 160 because of two burnt cells and two that are adjacent to the burnt cells. At the same facility, the DCS cannot use the Delta units with a bed space of 340 due to a lack of resources; further details are not provided. The DCS was allocated a budget of R27.8 billion, with 60% going towards incarceration, amounting to R16.7bn. Cape Argus

IOL News
2 days ago
- IOL News
South Africa's prison population surges to 166,924 amid budget constraints
The total population of inmates increased to 166,924 as of December 31, 2024, throughout South Africa. Image: Steve Lawrence / Independent Newspapers Within three months, 6,571 more inmates occupied prisons throughout South Africa, bringing the total population of inmates to 166,924 as of December 31, 2024. The Department of Correctional Services (DCS) presented the 3rd Quarter Performance Report for the 2024/25 financial year to the Portfolio Committee on Correctional Services on Tuesday, noting that the prison population increased from 160,353 on 30 September 2024. In the DCS report, reference was made to the capital budget being underfunded by R222 million, constraining infrastructure upgrades and maintenance. The DCS stated that food costs have surged, driven not only by inflation and a growing inmate population, but also by the rising number of foreign nationals housed in correctional facilities, which are experiencing the highest concentration of this challenge. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading Approximately 27% of offenders in Gauteng are foreign nationals. Polokwane and Thohoyandou in Limpopo, Barberton in Mpumalanga, and Klerksdorp, North West, correctional centres admitted more remand detainees, mostly foreign nationals, due to SAPS operations Vala Umgodi and Shanela, where they were charged for illegal mining and illegal immigration. The DCS stated that due to municipal tariffs for electricity, water, and sanitation escalating above the Consumer Price Index, it is creating further strain on the already stretched goods and services budget. The department stated that the branch budget is also severely constrained, hampering efforts to modernise digital infrastructure and cybersecurity. The DCS did not meet its target in Information Technology (IT) because of a number of sites where a mesh network and an integrated security system (ISS) are installed. The reason provided was attributed to a delay in the testing of the Audio Visual Remand (AVR) due to the unavailability of the confirmed court dates by the Department of Justice. The DCS also stated that funds allocated for the Local Area Network (LAN) infrastructure project were insufficient due to a budget shortfall for the Microsoft licenses. It highlighted that overcrowding in correctional facilities is in excess of approved bed space capacity. 'The admission of remand detainees and sentenced offenders exceeds the outflow of cases from the system,' the DCS stated. The unsentenced inmate population increased by 5,934, while the sentenced offender population increased by 637. With regard to overcrowding in Gauteng, the DCS stated that the Leeuwkop Medium B is unable to utilise four cells with a capacity of 160 because of two burnt cells and two that are adjacent to the burnt cells. At the same facility, the DCS cannot use the Delta units with a bed space of 340 due to a lack of resources; further details are not provided. The DCS was allocated a budget of R27.8 billion, with 60% going towards incarceration, amounting to R16.7bn.