The embattled Econet Media has announced that it is shutting down its struggling Kwesé TV entirely on Monday 5 August 2019 after owing more than $130 million (R1.9 billion) in external liabilities to third-party TV content providers and international content suppliers.
The implosion and complete shutdown of Kwesé TV under a barrage of debt explains why its Kwesé Free Sports channel carried on eMedia Investments' Openview free-to-air satellite TV service abruptly went off the air on Sunday a week ago.
Econet Media CEO Joseph Hundah was also forced to abruptly shutter its Kwese Play video streaming service that was housed under its Kwesé TV division.
With Kwesé Play being liquidated, customers in South Africa and across Southern Africa are left with useless Roku streaming devices that will never work again and having paid for a service they're suddenly no longer getting.
The shocking Kwesé TV shutdown is also raising serious questions about the "Kwesé Free TV" TV station that Econet and Kwesé TV wanted to start in South Africa after being granted a commercial free-to-air TV licence by the broadcasting regulator, the Independent Communications Authority of South Africa (Icasa) with Econet Media that holds a 20% stake in this venture.
"How will they broadcast when they have no staff or broadcasting facilities?" South African Kwesé TV staffers are asking who told TVwithThinus that Kwesé TV's South African office in Bryanston, Johannesburg in shutting down.
Econet said in July that its beleaguered pay-TV and TV business struggled to compete with China's StarTimes and MultiChoice's DStv.
Meanwhile current and former South African workers of Econet who are enduring living hell but who were once "promised heaven" if they join Kwesé TV, alleges that they have not been paid, are not getting paid, and are demanding answers about their future and what's going on after a process of retrenchments started as the TV empire of the Zimbabwean billionaire Strive Masiyiwa continues to crumble and implode.
In a statement Econet now says its Kwesé TV's pay-TV service is completely shutting down on 5 August 2019.
"We regret to announce the discontinuation of the Kwesé TV satellite service with effect from 5 August 2019," says Douglas Mboweni, group CEO.
"The service was offered to our customers by our sister company Econet Media. We regret to end this service, which thousands had embraced and welcomed into their homes and offices as a viable, alternative source of news, sport and entertainment."
"The third-party content providers, on whose content we rely, require payment in foreign currency. With the prevailing economic conditions in Zimbabwe, and the current business operating environment – characterized by an acute shortage of foreign currency – sustaining Kwesé and the Kwesé satellite service service was no longer viable."
"Once again we apologise for ending this service and take this opportunity to thank our customers for their valued support," says Douglas Mboweni.
ALSO READ: Living hell after Kwesé implosion: Massive problems, fear, secrecy, non-payment and scared staffers at Econet Kwesé TV in South Africa where workers were once "promised heaven".
