So says MultiChoice, the biggest pay TV operator on the African continent. ''There is a groundswell of an emerging market who suddenly has the disposable income to spend on services like pay TV and mobile services. That's one thing. The other thing is about trying to extend the sophisticated services on the top end of the tier,'' said Chris Oberholzer, the head of strategy and development at the South African satellite broadcaster MultiChoice.
Chris Oberholzer was speaking as part of a panel discussion on the new competitive environment in Africa's broadcasting markets at the AfricaCast 2011 TV summit in Cape Town as part of the 14th AfricaCom conference. When asked about what he perceived to be the biggest barriers for new entrants he said ''the barrier to entry for new pay TV entrants are regulations – excessive regulation, price sensitivity and a lack of infrastructure in countries and that can mean many things.''
Manelisa Mavuso, the managing director for consumer services and retail at Telkom SA said that barriers like ''the issues around rights management, particularly around high-end content, and the cost of the content'' also exist. ''There is, and should be, more content available than Hollywood blockbusters for Africa.''
''Many people in Africa are getting TV for the first time,'' said Jason Lobel, the regional director for Africa for NDS. ''There is actually a television arms race going on to see who can get to all of these people first,'' he said.
''We haven't quite mastered how to position ourselves,'' said Chris Oberholzer, talking on behalf of all pay TV operators and the best strategies to capture these viewers, ''because of this fragmented market''. ''There's such an increasing demand for different things and interactivity requirements. It's very difficult to say: There it is: Those common denominators can serve the highest demand. I think what people are forgetting is that their current TV experience is not an interactive one because there isn't a connected TV set.''
''Until there is really connected TVs and connected set top boxes (STBs) none of these interactive services are technological practical. They are costly and they are not mainstream. Interactivity for television really belongs to something that's connected.''
