by Thinus Ferreira
A stalemate in contentious channel carriage negotiations between Canal+'s MultiChoice and Warner Bros. Discovery could see DStv subscribers lose another 12 TV channels at the end of December, in addition to the 4 channels from Paramount Global, which are getting axed.
With Paramount Africa's four linear TV channels - BET Africa, MTV Base, CBS Justice and CBS Reality - all definitely going dark on 31 December, DStv subscribers in South Africa and across the Rest of Africa (RoA) region, might now soon face a blackout of yet another 12 TV channels provided by WBD.
These channels are Discovery Channel, Cartoonito, Cartoon Network, CNN International, Food Network, TNT, TLC, ID: Investigation Discovery, Real Time, HGTV, Discovery Family and the Travel Channel.
MultiChoice hints that WBD wants too much money, noting that it's always trying to give the best content "at the best possible pricing. Every time you subscribe, you trust us with your money, and we take that responsibility seriously".
Shows and movies acquired for M-Net's set of self-packaged channels, like the M-Net (DStv 101) channel and M-Net Movies channels, are presumably safe from the looming Warner Bros. Discovery channels blackout.
This is because HBO series like House of the Dragon and The Gilded Age, as well as other content, are distributed and licensed separately by Warner Bros. Television Group and Warner Bros. Discovery International to individual TV channels.
The deal or no-deal also won't affect the money-guzzling Showmax, MultiChoice's struggling video streaming service, which carries WBD content under different agreements.
How channel carriage agreements with American channel distributors work is that a traditional pay-TV operator like MultiChoice pays a certain amount per TV channel, based on the number of subscribers.
A selection of TV channels from one provider is often bundled together at an overall price.
Further complicating negotiations and giving rise to channel carriage conflict is that either side can baulk at the form, number of channels and type of channels which are part of these "must-take bundles".
Often, the taker only wants certain specific TV channels and not the added pork they're forced to take, and often the provider gives a "take all of these or lose them all" ultimatum.
The latest linear DStv channel carriage agreement standoff for the 12 linear TV channels between MultiChoice and WBD is similar to when MultiChoice and A+E Networks (now Hearst Networks) six years ago, saw the Lifetime and Crime+Investigation channels axed.
In that case, MultiChoice was adamant that it only wanted to continue with History and not all three.
In October 2019, the loss of Lifetime and C+I led to a petition signed by over 5 000 DStv subscribers who demanded these TV channels back, although it never happened.
Four possibilities
It's still unclear what exactly gave rise to the standoff between Warner Bros. Discovery and MultiChoice, with both sides who would have started negotiations for a channel carriage extension months ago already.
One of four possibilities is on the table.
Firstly, it could be that both MultiChoice and WBD want to continue with the same 12 TV channels but that Canal+, which is busy with dramatic cost-cutting at MultiChoice, no longer wants to pay the same price.
It's possible that Canal+ wants MultiChoice to pay less to WBD, given that MultiChoice has lost millions of DStv subscribers over the past few years since the last carriage deal was clinched.
Secondly, it could be that WBD wants an increase in the payment on the existing deal for the 12 channels, and which could be a price that MultiChoice considers to be way too high to pay.
Thirdly, MultiChoice might no longer want some of these 12 channels and only be interested in a smaller bundle but with WBD unwilling to remove them from the existing bundled offer.
And fourthly, WBD itself might want to remove some of the 12 channels from the pay-TV bundle but with MultiChoice being the one who is unwilling to take a package that doesn't include its "must-haves" - and at a price it's willing to pay.
MultiChoice hints that WBD is asking too much money for whatever number of TV channels MultiChoice wants to carry.
The pay-TV provider says "At MultiChoice, our priority is to provide you with the best entertainment experience at the best possible pricing. Every time you subscribe, you trust us with your money, and we take that responsibility seriously".
Warner Bros. Discovery: No deal yet with MultiChoice
MultiChoice confirmed that "The distribution agreement between MultiChoice and Warner Bros. Discovery is scheduled to end on 31 December 2025".
"While discussions between the parties continue, no agreement has been reached at this stage. If this remains unchanged, a number of Warner. Bros Discovery channels may no longer be available on DStv from 1 January 2026," the pay-TV operator says.
If no new deal is reached between MultiChoice and WBD, cost-cutting Canal+ will let WBD's 12 TV channels go and try to find alternatives.
MultiChoice already alludes to a possible future without WBD content, noting that it is already "preparing to further strengthen and enrich its line-up with new content, channels and services".
In a message to subscribers about the likelihood that the pay-TV operator might lose another 12 TV channels, MultiChoice told DStv subscribers that it is ready to replace Warner Bros. Discovery's TV channels with alternatives.
"What matters most is ensuring that your viewing experience remains rich, diverse and enjoyable".
"You will continue to enjoy an exceptional entertainment experience across your package, supported by strong alternative channels across every genre."
Warner Bros. Discovery told TVwithThinus in response to a media query on Monday night that there's no deal yet with MultiChoice and that it understands "the concern" around the axing of WBD's TV channels from DStv.
WBD said that it "deeply values its long-standing partnership with
MultiChoice across multiple territories, and most importantly,
our connection with the millions of viewers who cherish our channels".
"We understand the concern surrounding the potential discontinuation of
our brands, including
Discovery, Cartoonito, Cartoon Network, CNN International, Food Network, TNT, TLC, ID: Investigation Discovery, Real Time, HGTV, Discovery Family, and Travel Channel,
from DStv and GOtv as of 1 January 2026".
"This situation arises because we
have not yet reached a mutual agreement with
MultiChoice to continue broadcasting our much-loved brands."
"We want to
assure our viewers that Warner Bros. Discovery remains unequivocally
committed to finding a resolution."
"Besides the recent change in the
ownership of the MultiChoice business, and the potentially
different strategy pursued by its new owner, the French media group
Canal+, we are actively engaged in discussions with them to ensure that
the customers can continue to enjoy the high-quality, diverse content
they expect and love, from the compelling storytelling
of 90 Day Fiancé and Gold Rush, to the latest seasons of Regular Show and
Teen Titans Go, as well as essential news coverage from CNN
International."
"Our primary goal is to keep these channels accessible to
our loyal audience. We are hopeful that a constructive path forward can
be found that benefits all parties, especially
the viewers."
Trying to douse flames
As new MultiChoice owner, France's Canal+, and David Mignot as new Canal+ Africa CEO, is trying to put out multiple fires.
After running out of toilet paper at the MultiChoice City headquarters in Johannesburg and almost losing SuperSport live broadcasts due to the failure to pay suppliers because of a heavy-handed demand that all suppliers cut their invoices by 20% across the board, Canal+ executives and MultiChoice have angered numerous longtime partners, producers and providers over the past two months.
Meanwhile, Canal+ is battling MultiChoice content losses like Paramount Africa's demise and its TV channels, as well as the ongoing churn of DStv subscribers across Africa.
To try and improve subscriber numbers, MultiChoice is now flooding the market with massive DStv decoder subsidies, hoping to entice new potential DStv subscribers to buy set-top boxes and stay subscribed.
Canal+, in its latest investors' presentation, also revealed that MultiChoice's subscriber losses kept increasing, from 1.2 million year-on-year by the end of March to 1.4 million year-on-year by the end of June.
Then there's Showmax. Mignot is yet to make a decision on its future after billions have been pumped into the loss-making streamer following a partnership relaunch with NBCUniversal's Comcast.
And then there's MultiChoice's latest headache for Canal+: Its expiring WBD channel carriage agreement.
With less than a month to go, Mignot will have to solve the stalemate or see WBD go from DStv.
Some of these TV channels, like The Travel Channel, Cartoon Network and CNN have been available on DStv right from its beginning in 1995, for over 30 years, with the Discovery Channel that was added just a few weeks after DStv launched.
A new content agreement between WBD and Sky in the United Kingdom, exactly a year ago, was similarly contentious until both WBD and Sky signed a new deal and averted a content blackout.
