Friday, May 26, 2023

eMedia extends channel carriage agreement for a further 5 years with MultiChoice for eNCA on DStv until mid-2028 but accepts carriage fee cut.


by Thinus Ferreira

eMedia's eNCA (DStv 403) will remain available on MultiChoice's DStv platform for another five years until at least mid-2028, although in a tough-bargaining channel agreement, eMedia accepted a decrease in the channel carriage fees MultiChoice is paying to have the South African TV news channel on its platform.

eMedia Holdings published its annual financial results for the year ending 31 March 2023 on Thursday, noting that the group's revenue of R3.1 billion was R20 million less than the previous year due to lower TV advertising income and a reduction in the eNCA licence fee paid by MultiChoice for the news channel.

eNCA, which will turn 15 in June and launched as the eNews Channel in 2008, used to be the most-watched TV news channel in South Africa but has since slipped to second place behind the South African public broadcaster's SABC News which is available on more DStv bouquets and has access to a larger potential pay-TV audience.

eNCA is still the most-watched TV news channel on DStv under higher-income earners within the LSM 8 to 10 consumer segment, and is second overall after SABC News (DStv 404) and still ahead of Thanbile Ngawto and Thokozani Nkosi's Newzroom Africa (DStv 405).

eMedia says as part of the extended channel carriage agreement eNCA as a TV news channel will remain exclusive to the DStv service.

eMedia Holdings notes that it has cut operational costs at eNCA through decreasing employee costs, with a "significant portion of the decrease which can be attributed to the closing of the News & Sports channel on Openview as well as retrenchments due to efficiencies at eNCA".