BREAKING. Shareholders to take On Digital Media (ODM) to court to prevent StarTimes business rescue plan of TopTV to go further.

Shareholders - which includes its former ODM CEO Vino Govender , extremely unhappy with the StarTimes bail-out and the business rescue plan of the struggling On Digital Media (ODM), now plan to take the Woodmead based South African satellite pay-TV operator to court to prevent the business rescue plan from the Chinese digital television conglomerate StarTimes from proceeding any further.

Unhappy and exasperated shareholders are now seeking an urgent court interdict to prevent what they see as wholesale changes to the TopTV service which are permanent and dangerous and which could be lethal to ODM should South Africa's broadcasting regulator not eventually approve the StarTimes bail-out application.

First National Media Investment Holdings and Atchuthandandan Moodley who together have a combined interest of 21,1% (20,4% and 0,7% respectively) are adamant to stop the business rescue plan being implemented by StarTimes from going any further.

The urgent court interdict will be brought on 29 October. If granted, it will further delay ODM's already delayed relaunch of its severely damaged TopTV brand into StarSat which was supposed to happen last week and which has been postponed to November.

With a court application and the interdict coming to the South Gauteng High Court, it now appears that a November launch of StarSat is also out of the question as conflict rages behind the scenes at TopTV.

The ODM shareholders voted on 30 April 2013 for China's StarTimes - already operational in several African countries - to take over a 20% share in the beleaguered company. What it means in reality is that StarTimes acquires an effective 65% economic interest in ODM.

A fifth of the shareholders have however been extremely concerned that On Digital Media will be "irreparably damaged" if the StarTimes business rescue plan goes ahead but isn't successful. Meanwhile some flaws in the implementation behind the scenes have already become very visible to not just shareholders but also to ordinary commercial TopTV subscribers.

"Currently the business rescue plan is the best opportunity for ODM, which is in a vulnerable position, to be rescued," says the shareholders, unhappy with what they claims are "significant aspects of the business rescue plan which appears to be permanent".

Already massive drama has been playing out behind the scenes at the company, once again rocking the struggling ODM as StarTimes' presence started to be felt the past two months.

It's been playing out for TopTV subscribers on their TV screens with weird new unexplained content, as well as high frustration and a consumer backlash over a new billing system which was introduced and instantly malfunctioned.

The ODM shareholders say that StarTimes is under financial stress of its own and that if StarTimes' business rescue plan proceeds that it will increase the risk of the business possible failing.

The shareholders are extremely concerned over the fact that StarTimes has been given control over ODM's billing methods and programming and they are worried over how ODM's own content - which it used to control - were suddenly sidelined and "outsourced" to China.

Then there is also grave concern over the termination of ODM's termination of German uplink contracts which were switched to StarTimes in Beijing  as well, and ODM's cancellation of satellite space on the SES satellite platform service which was taken over by StarTimes.

"In this respect, all content being broadcast into South Africa is now under foreign control," says the shareholders.

"This act by the business rescue practitioner outsources the very core of ODM's top channels which are packaged and owned by ODM. The ability to reactivate these channels will be a very lengthy process and the loss of these channels on the ODM product bouquet will certainly result in a huge loss of the subscriber base," says the shareholders.

These big changes have been done with the Independent Communications Authority of South Africa (Icasa) which has not even approved ODM's change of shareholding application with the broadcasting regulator.

Icasa is still considering and has to make a decision on ODM's request, submitted last month, requesting approval of the massive foreign shareholder change with StarTimes. In the application ODM asked for the unconditional transfer of the ENCS licence from ODM to Newco, which is in fact StarTimes Media SA.

If it's not approved, and with StarTimes already in control of crucial business aspects of ODM, ODM will be essentially cut off and lose its link to its TopTV subscribers without content and satellite distribution capability.

"The ownership and control of ODM is misrepresented in the Icasa application in order to circumvent the criteria for holding and transferring an individual Broadcasting Service Licence and an ENCS licence," the shareholders say.

"In my extensive experience as previous CEO of ODM, and from my long experience in the industry, it is clear that once a subscriber is lost, it is very costly and difficult to win that subscriber back," says Vino Govender.

"Unhappy subscribers who have cancelled their contracts and moved to ODM's competitors often do not return despite massive marketing attempts."

TopTV's interim CEO Eddie Mbalo says previous CEO Vino Govender 'had no broadcasting experience' and TopTV needs cash.

TopTV's previous CEO Vino Govender had no broadcasting experience and the struggling pay TV operator needs cash but is not ''cash-strapped''.

Eddie Mbalo, the interim CEO of TopTV who took over from Vino Govender told Jeremy Maggs of Maggs on Media on the eNews Channel that ''this was someone who had no background in broadcasting television at all''.

''Maybe we should not have launched at the time when we did. Launching at that time came with its own challenges. The response from the public was great and I think we got overwhelmed. Vino [Govender] was great for the launch but I think now we've got to take it to the next level.''

Eddie Mbalo said TopTV currently has ''about 360 000 decoders out there. We have about 140 000 to 150 000 paying subcribers on a daily basis''.

Asked about MultiChoice he said he doesn't see MultiChoice's DStv platform as competition, although he believes that MultiChoice is not playing fair.

''I don't even see MultiChoice as our competitor. We look at a specific segment of the market and that is not MultiChoice's market.''

On Maggs on Media he accused MultiChoice of not playing fair saying ''the regulator and the government allowed for a second pay TV operator and then they used their dominance to actually try and crush any other player''. Jeremy Maggs asked him to explain and he said MultiChoice tried to crush TopTV by launching the cheap DStv Lite bouquet. ''We think that was trying to anticipate our launch'', saying that ''that wasn't fair play''.

Eddie Mbalo said that TopTV is looking at MultiChoice's content acquisition strategies, their sports acquisitions, ''at how they've managed to close access to content, locally but also internationally.'' He said TopTV is however not talking to the Competition Commission. ''We are at the moment looking at our own business, we're looking at the weaknesses, and the opportunities that exist and that is our focus at this time.''

''Content is what keeps people watching. People are excited to buy the decoder but once they tune in, if the content doesn't appeal and resonate with their emotions, then we have to relook. We should become an alternative to what is available.''

For TopTV porn is possibly still an option despite the negative publicity and shareholders who threatened to disinvest.

Jeremy Maggs asked Eddie Mbalo whether TopTV have thoroughly researched subscribers about the need for the pornographic channels TopTV planned to launch but the application which was denied by the broadcasting regulator, the Independent Communications Authority of South Africa (Icasa).

''We're getting feedback. We have not gone out to do scientific research but we're looking at the feedback we're getting. People want choice,'' said Eddie Mbalo.

He said the TopTV board and shareholders will decide if TopTV is again going to try and make a push for the porn bouquet and appeal the Icasa decision. ''That decision will be made by the board''.

Eddie Mbalo said ''pursuing commercial advertising should not be our focus at this point in time. Our focus at this point is to acquire more subscribers and to retain the ones we have.  If we provide current subscribers the content that they want to see …  the truth of the matter is South Africans want to see more of themselves, so local content is an area where we are going to be competitive.''

Asked about the financial health of TopTV, Eddie Mbalo said ''we need cash at the moment. We are not in a cash crisis, but moving forward we might have to go to our shareholders and ask for more money.''

WHO KNEW? TopTV's chief financial officer also departed .. and then there's the 'very tragic' deaths at the pay TV operator.

It's not just TopTV's CEO Vino Govender who's gone and who has been with immediate effect been replaced by Eddie Mbalo (exactly as I said would happen) as the new interim TopTV CEO - the South African pay TV operator's chief financial officer (CFO) Michelle Meth is also gone, having left last month after she resigned. TopTV never announced it.

And then - completely unrelated - there's the deaths.

I'm told by TopTV staff - and it's not something the company will ever comment on - but TopTV has been rocked by several deaths in just the past few months.

TopTV workers at the Woodmead Office Park headquarters of TopTV are whispering to me about the sad deaths of colleagues which all took place in a very short period of time. ''Very tragic,'' said one; ''weird, sad and strange'' said another.

Six TopTV employees died recently - five of ''natural causes'' as they say and one person in a car accident.

BREAKING. Vino Govender out as CEO of TopTV with immediate effect as Eddie Mbalo takes over as new interim CEO.

On Digital Media (ODM) just officially announced that TopTV CEO Vino Govender is out with immediate effect and that Eddie Mbalo is taking over as the interim new TopTV CEO - exactly as I said would happen on Tuesday.

In the statement TopTV says the pay TV operator's board and Vino Govender have reached a ''mutual separation'' which ''both parties believe will benefit the company in tis future developments''.

Eddie Mbalo is quoted in the press release as saying ''We would like to take this opportunity to thank him for the enormous contribution he has made to the start-up operation that is TopTV today. The launch of a second pay TV operator into the local market brought with it a shake-up in the industry that resulted in more choice and pricing options for consumers.''

With Vino Govender's immediate departure from the pay TV operator that has experienced a tumultuous few months, TopTV announced possible restructuring saying it will be done to ''ensure that the company remains competitive and relevant within the pay-TV environment in South Africa''.

Vino Govender is quoted saying he has decided to step down ''as he fulfilled his role in planning and executing the setup of the business over the past six years. It is time for fresh blood to take the business to new heights and I am confident the board will implement and achieve its strategic plans.''

Vino Govender's exit as TopTV CEO follows the executive exit of Michelle Meth who left TopTV as the chief financial officer (CFO) last month after she resigned.

ALSO READ: Special report - South Africa's leading reputational management consultant on how TopTV, with its porn plan, got it all so wrong.
ALSO READ: Analysis - TopTV: A deeper look at the bigger problem with the pay TV operator.
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BREAKING: TopTV board on its CEO Vino Govender leaving: 'Mutual separation' being discussed.

Confirming the breaking news that TopTV CEO Vino Govender is on his way out at the South African pay TV operator, TopTV says a ''mutual separation'' between the board of On Digital Media (ODM) and Vino Govender is ''in discussion'' and that TopTV doesn't want to talk about any of it.

TopTV didn't answer specific media questions, but just issued a terse statement in answer, saying ''the board is in discussion with the CEO on a mutual separation but those discussions are not concluded yet, until then we will not comment further. The board will issue a statement in due course,'' says Eddie Mbalo, chairperson of ODM.

I'm told Eddie Mbalo, the former CEO of the National Film and Video Foundation (NFVF) is set to take over the CEO position from Vino Govender.

ALSO READ: Vino Govender out as CEO of TopTV with immediate effect as Eddie Mbalo takes over as new interim TopTV CEO.

BREAKING. TopTV CEO Vino Govender out at the struggling pay TV operator amidst pressure that he be removed; unhappiness over content.

OUT! I can spill that TopTV's CEO Vino Govender is getting the boot with the pay TV operator's beleaguered CEO that got shown the door as problems and pressure are mounting for On Digital Media (ODM) - today was the last day for Vino Govender who's getting replaced by Eddie Mbalo.

Insiders told me today about growing unhappiness from TopTV's angry board and incensed investors about TopTV's slow-growing subscriber numbers, content, and completely misguided porn package plans which are the primary reasons behind Vino Govender getting replaced. He will, according to sources, still be at the office tomorrow.

ALSO READ: ''Mutual separation'' negotiated between TopTV board and its CEO Vino Govender.
ALSO READ: Vino Govender out as CEO of TopTV with immediate effect as Eddie Mbalo takes over as interim TopTV CEO.

Vino Govender took over as ODM CEO in 2007 when the original founder Mergan Moodley became ill, but he's out now at the pay TV service which signed up over 300 000 subscribers at the end of last year before TopTV's titillating porn plan became know.

Vino Govender I'm told will be replaced by Eddie Mbalo, the former CEO of the National Film and Video Foundation (NFVF) since 2001. For how long Eddie Mbalo will stand in as acting TopTV CEO is currently not know.

I can exclusively reveal that the Industrial Development Corporation (IDC) apparently asked Vino Govender to be replaced as TopTV CEO - according to insiders they're allegedly not happy with the subscriber numbers or with TopTV's faltering content. The massive uproar over TopTV's porn plans and dramatic turn of the pay TV operator from family-friendly pay platform to wannabe porn purveyor and the reputational damage it inflicted, did not sit well with TopTV's investors and incredible pressure on the pay TV platform has been building behind the scenes the past couple of weeks.

The IDC is one of the major investors in TopTV since its launch. The IDC could not be reached for comment on Tuesday.

Meanwhile insiders are confirming what I've already told you - that TopTV has been coming in for severe criticism for its vast number of repeat programming, lack of new channels (and in fact losing channels since November) as well as a lack of following through on multiple promises like starting a sport channel.

There's also the severe reputational and brand damage inflicted on TopTV the past two months with wanting to start a porn package which lead to a public fight with South Africa's broadcasting regulator, the resultant court interdict (which was granted to the regulator), and the regulator eventually turning down the controversial application for TopTV to start showing hardcore pornography.

There is overall, huge unhappiness with TopTV's content and the pace at which the pay TV operator has been managing subscriber growth, I'm told.

I'm told that Eddie Mbalo, the current chairperson is replacing Vino Govender as TopTV CEO. I'm told that no ODM employees have been told about the news which will send a new seismic shock through the Woodmead Office Park building. With Vino Govender gone, ''they'll then be bringing in a consulting company to relook structure, position and skill sets but nothing has been communicated to the staff,'' an insider told me today.

TopTV's atmosphere and low morale is apparently one of fear and extremely scared and uncertain employees. ''Morale is down,'' said a source, saying ''staff are hearing rumours and no one is communicating what's going on. There's a lot of uncertainty and people are worried about their jobs.''

TopTV did not immediately answer media enquiries made about Vino Govender's exit from the pay TV operator.

Since TopTV's commercial launch in May 2010 Vino Govender has back tracked on several occasions regarding the companies plans - the promise to not run pornographic TV channels chief among them. Promises of TopTV's plans to have high definition (HD) channels, a PVR, and the addition of several new TV channels within months of launch have not yet come to pass, with constantly moving goalposts.

TopTV went through a restructuring exactly a year ago, recently lost the Hi Nolly and One Music channels, will lose the Current TV channel on 11 March (none of which have been replaced, despite promises to do so) and has meanwhile hiked monthly subscriber fees without offering anything more, better or new last year.

Meanwhile TopTV suffered a disastrous double debit order disaster early last year. Almost two years after launch TopTV subscribers are still complaining about lousy customer service and the pay TV operator regularly suffers from technical broadcasting problems.


ALSO READ: TopTV's porn problem: South Africa's leading reputational management consultant on how TopTV got it all so wrong.
ALSO READ: Analysis - Pondering porn: The fight for the heart of TopTV as the pay TV operator arrives at a crossroad.
ALSO READ: Analysis - TopTV's porn plans: a deeper look at the bigger problem with the pay TV platform.

HOT TOPIC. The fight for the heart of TopTV: As it ponders and pushes for porn, a pay TV operator comes to a crossroads.

Sex not only sells. If you're TopTV CEO Vino Govender you want your company to show it.

From originally family friendly to suddenly wannabe peep show purveyor, there's a big internal fight going on for the heart of the South African pay TV operator that's now pushing for pornography and looking to drive revenue with porn generated profits.

TopTV which has grown to over 300 000 subscribers since its commercial launch in May 2010 has submited an ''application for authorisation of channels'' to the Independent Communications Authority of South Africa (Icasa). If the regulator approves TopTV's pornography plans, the pay TV operator wants to start a separate porn package with a monthly subscription of R199 for 3 Playboy TV channels in 2012.

It's so seductive. So delicious. No ... Not the rated R18 hardcore pornography and bump-and-grind television that TopTV wants to pump to subscribers as a separate new stand-alone package. The money, silly. Like a stripper going for the dollar, TopTV is dancing closer and closer to where it sees the money. For make no mistake about it: There's a fight going on for TopTV's soul and yes, it does start with the letter ''P''. It's not the word pornography however, but positioning.

While any company and any CEO worth their mettle will always see room for growth and further innovation, TopTV is playing with fire in terms of its latest growth plans and innovation - specifically how ODM and its product will be seen in future: either wholesome quality or downmarket sleazy.

Imagine family retailer Pick n Pay saying they're opening a stand-alone, separate aisle in every shop  - one selling (gasp!) sex toys. You don't need to go to the unmarked aisle (ever), but it will be there. A tricky proposition. A company that's built its brand, reputation and original customer base very carefully with patience, care and attention on the needs of middle class consumers who selected it for a specific product mix and keep supporting it because of its offering, might suddenly find a lot of them simply no longer wanting to be associated with it.

And keep this in mind: TopTV has not done a single thing from a consumer end-point point of view in the whole of 2011 to broaden, expand and better its normal commercial offering this year except an electronic programme guide (EPG) download update. Instead of more general commercial TV channels added to the bouquet, TopTV increased prices and subscribers have two less channels while still having to pay the same. TopTV now focusing on, and investing in, a new stand-alone sex channel package whilst having no discernable product and service improvements for normal subscribers, should make alarm bells ring.

It's a bit like buying a family four door sedan, with the manufacturer promising future parts and upgrades. Then the manufacturer announces - after no real betterment for your car - a new sexy two door sportscar: a far departure from the brand you first approached. Will they still work on improvements and value-added stuff for your car seat's upholstery and better lights? Or will they now just focus on the flashy new addition which can be sold at such a higher profit margin? What does it really all mean?

It means that TopTV possibly sees porno channels as its only remaining driver, or a bigger driver of big revenue growth. For TopTV further ''ordinary'' subscriber growth is perhaps to difficult and too slow to come by. The company basically alluded that much in its press statement last week saying ''stagnating to past statements will not serve changed needs from our clients or assist our growth''. TopTV therefore clearly sees the new Playboy TV channels as something to help with its growth.

In pay television of course, ''growth'' means a growing number of subscribers, as well as a growing amount of money paid in subscription fees. TopTV wants a new type of subscriber (those who want to watch sex channels) as well as a higher paying subscriber (those willing to pay for a separate, more expensive monthly subscription).

What's happening is that TopTV as a city and residential planner no longer wants to just map out future residential areas and installing piping, lamp posts and utilities for families. TopTV is concentrating its efforts on wanting to zone a television red light district on its pay platform - a much more seedy yet very lucrative section of a city that requires less infrastructure and cost but which yields big returns for very little cost.

The indirect price to be paid and cost of course is in positioning and reputation. It appears that TopTV has listened, and succumbed to the adult industry's lure, sacrificing the values and market mix it launched with 19 months ago for the clientele and money that comes with an adult channel offering.

Keep in mind that TopTV said in May 2010 that it's entering the market to serve lower income households and to bring pay television to them. TopTV's cheapest entry level bouquet is R99 per month. The new Playboy subscription package will be a separate R199 subscription - 100% more expensive. Which subscriber will be treated better, handled with more care and chased with more intent and focus? The R99 subscriber or the R199 subscriber on which a operator make a much larger profit - derived from the massive mark-up that porn channels or so-called ''adult channels'' come with and which means big money in the pocket of the operator?

While every single other assuption and statement by TopTV CEO Vino Govender no longer holds true and should be disregarded as the company seems fully prepared to chart new waters (If you said you won't do porn, and suddenly you say you have no problem, what statements made by a company or its CEO previously can still be taken with any level of serious credibility?) what remains true is how lucrative sex television is for the pay TV industry.

TopTV's new naked ambition is now to try and cash in on the money to be made from a porno package, despite the growing public uproar and a growing group of upset subscribers. Porn TV channels is the media and television industry's form of nuclear power: very dangerous, profitable, always somewhat secretive, generating unwanted attention, and something nobody really wants to talk about in great detail except to just take the money pushed underneath the door.

TopTV is risking its whole brand premise and its entire brand perception by shaking off its inhibition for porn and unbridled profit wherever its to be found. Of course in South Africa's pay TV market it's obviously difficult as the second pay TV operator to drive subscriber growth as effectively as MultiChoice DStv product. But TopTV now seems willing to give up its hard-won brand markers - monikers such as ''cheaper'' and ''safe'' - for the sake of making money and making it faster. Meanwhile, normal subscribers might feel abandoned as TopTV now runs after sex.

When pay TV operator Kabletown takes over the company in the sitcom 30 Rock, it's what the fictional TV executive Jack Donaghy in an episode dryly-wryly calls ''the goose that lays the golden egg - channels 500 to 600''. He's talking of course about the dirty little secret of the TV business - the  sex channels which is the real money-spinner if you don't really care too much about your name.

If TopTV forges ahead and gets approval for the new channels, it will change the company forever. Having already applied for authorisation and now clearly indulging the more baser, carnal side of its money-making nature, it will be interesting to see how TopTV finally decides to proceed: building loyalty through patiently growing a consumer-considered ''safe'' brand, or going all out, hoping to make a quick(er) buck.

TopTV's porn plans has South Africa's civil society in uproar and TopTV subscribers fuming mad.

''I think what they're doing is low and cheap,'' a TopTV subscriber - echoeing the sentiments of many subscribers who've reacted and sent responses - tells TV with Thinus about TopTV's porn plans to launch three hardcore pornography TV channels from Playboy TV in 2012 as part of a new separate subscription package of R199 on the pay TV operator.

A reader who is a subscriber of TopTV sent in this picture he made - a fictional representation of ''000 Top Porn'' on TopTV's supposed EPG grid. ''The picture was done out of protest and I'm not supporting the idea of porno,'' he says. ''Why don't they call their channel 000 Top Porn!''

Meanwhile South Africa's civil society is also up in arms with several groups and institutions who've now sent very strongly worded letters as well as public letters to TopTV denouncing TopTV CEO Vino Govender's plan to start the pornographic video services on TopTV. Vino Govender originally said before TopTV launched in May 2010 that the operator won't be including these channels as part of TopTV's business.

BREAKING. TopTV: From 'strong Christian ethical codes' and not wanting 'to poison the minds of million of SA children' to adult channels.

''We are running our business with strong Christian ethical codes and we are not planning to introduce a porn channel. Besides, we don't want to poison the minds of millions of SA children out there.''

So said TopTV CEO Vino Govender in March 2010 just before the commercial launch of On Digital Media's (ODM) commercial launch of the pay TV platform a few months later in May 2010 in South Africa.

Today in a press release TopTV stated its intention to start at least 3 adult TV channels as part of a porn package, with subscribers who would - if approved by the Independent Communications Authority of South Africa (Icasa) gets access to the channels with an R18 age restriction in a separate subscription on the pay platform in 2012.

The company didn't explain or answer specific questions about the surprising turn-around as to why TopTV is renouncing its earlier smut free policy and now wanting to venture into explicit video entertainment, except to now say in a press release that ''recent research has shown that there is a definite market for adult content and channels among South African television viewers'' and that TopTV is ''constantly reassessing the market''.

TopTV has failed to add any other new commercial TV channels in 2011, did not keep its promise of adding a sports channel in the third quarter of this year, and recently lost the Hi Nolly and One Music channels.

''Television viewers have the right to choose what content they view in the privacy of their own homes. By offering these channels on a secure and encrypted pay-TV platform, it will not be possible for the three additional channels to be viewed inadvertently by TopTV subscribers,'' said TopTV today in the press statement. ''We have established that there is a niche market for such a service and are ensuring that we offer it to potential subscribers in a responsible and secure environment.''

TV with Thinus asked TopTV and CEO Vino Govender specifically as to why - before launch - TopTV said adult content channels will not form a part of TopTV service but has decided to do so now. Why did that change and when did that intention change?

Also asked about in the media enquiry is how TopTV sees the impact of carrying adult content on the image under consumers and subscribers on TopTV - aspects of TopTV's business plan the pay TV operator would have discussed as part of due diligence before applying for 3 channels of this nature from Icasa.

TopTV didn't respond to these and other questions put to TopTV as part of a media enquiry following the issuing of the TopTV press release at 16:02 this afternoon.


ALSO READ: TopTV, planning their own adult channels, now in an ugly porno spat with PSat.TV that has plans for their own porno channel.
ALSO READ: 'Will they call it Top T*ts?'' South Africa's wide-eyed TV industry reacts to TopTV's plans for channeling pornographic television.
ALSO READ: TopTV confirms its plans to pump pornographic channels to subscribers as part of a new rated R18 subscription package.
ALSO READ: TopTV wants to titillate; plans to provide 3 porn channels to South African audiences.
ALSO READ: Porn Satellite Television (PSat) targeting TopTV subscribers in South Africa; intends to broadcast hardcore pornography into the country from 2012.

BREAKING. TopTV wants to titillate; plans to pump 3 porn channels to South African audiences.

TopTV has big porn plans, with On Digital Media (ODM) that wants to pipe 3 porn channels to South African audiences.

ALSO READ: TopTV confirms plans for its big porn package: plans to pump pornographic channels rated R18 to subscribers as part of a new porn package.

On Digital Media (ODM) that operates the TopTV pay platform in South Africa wants to run at least 3 pornographic TV channels in South Africa. That comes at the same time as what PSat is getting ready to launch a porn channel as well in January and targeting TopTV subscribers who's satellite dishes are already aligned and would need to just swap decoders and smartcards.

TopTV's tittillating TV plans are in stark contrast to CEO Vino Govender's promise a year and a half ago when TopTV launched in May 2010 that TopTV will not be pumping porn to subscribers.

ALSO READ: On Digital Media on porn: No adult TV content for TopTV.

Now TopTV has applied to the Independent Broadcasting Authority of South Africa (Icasa) that regulates broadcasting in the country, to run 3 such adult television content channels.

On Digital Media's application for authorisation of channels was published in the Government Gazette on 17 November. The South African public had two weeks until 1 December to comment on the application.

TopTV hasn't yet responded to media enquiries made about the planned PSat service which want to pipe the French Lover TV hardcore pornography channel into South Africa - a French channel originating from outside of South Africa that's actually part of CanalSat's offering.

TopTV hasn't yet responded to follow-up enquiries regarding TopTV's own plans for porn and what led to the application and the company's apparent about-turn on its earlier launch statements regarding adult TV content.

Icasa's spokesperson Paseka Maleka tells TV with Thinus that TopTV ''has applied for 3 video channels. The application is currently under review. It's for adult TV content and the authority has not yet taken a decision.''

''There might be hearings, we are busy with the process. We are still waiting for comments from the public and stakeholders. Then we will look at all the submissions and there could be a public hearing,'' says Paseka Maleka.

BREAKING. TopTV passes the mark of 300 000 subscribers; signs up a further 100 000 customers since December 2010.

You're reading it here first.

I can exclusively break the news of TopTV's latest - and growing - overall subscriber number which I can reveal has now surpassed the 300 000 mark.

TopTV now has in excess of 300 000 subscribers, 100 000 more than the 200 000 TopTV subscribers the company managed to sign up by December 2010.

At launch in May 2010, Vino Govender, On Digital Media's CEO, said TopTV would need 500 000 subscribers to remain a viable business.

The more than 300 000 TopTV subscribers that now exist, means that ODM is more than 60% to where it wants or needs to be by the end of April 2013. April 2013 would be the 36th month of commercial operation for TopTV and is the envisioned break-even point for TopTV to reach at least 500 000 subscribers and to remain a sustained, viable pay TV business.

The new and further improved TopTV subscriber numbers will ally some fears, come as relief, and restore some trust in the perceptions of the longterm viability of TopTV by the wider South African TV industry.

Where TopTV at launch started off with a lot of goodwill as a new pay TV upstart, the market has turned decidedly more negative in its outlook of TopTV the past couple of months, mostly due to some unkept promises and a lack of regular updates, news and developments from the company.

The ongoing subscriber growth - basically an additional 100 000+ subscribers signed up by TopTV in 2011 - indicates viability of TopTV's offering as a pay TV platform in South Africa. In a wider perspective however it clearly indicates the continuing strong demand under South Africans for affordable pay TV options, as well as the continuing willingness of average consumers to use a part of their increasingly limited discretionary spending on subscription television despite existing strenuous economic circumstances and a sluggish South African economy.

About the latest subscriber number exceeding 300 000, TopTV told me ''we're happy with it in terms of business forecasts and our growth plans''.

ALSO READ: Special report. Pay TV households in South Africa grew by 600 000 in 2010; local pay TV sector set for massive growth and revenue.
ALSO READ: Special report. The South African market fuelled by rapid growth; a rapid pay TV and digital drive; set to earn billions in revenue.

BREAKING. South Africa's pay TV operators object to the order from the National Consumer Commission to sell TV channels separately.

South Africa's pay TV operators have rejected the compliance notice issued to them by the National Consumer Commission which has ordered South Africa's pay TV operators to perform a so-called ''unbundling'' of their TV channels and allow pay TV subscribers to choose TV channels from pay TV providers individually on a ''pick and pay'' basis.

In essense the National Consumer Commission sees individual TV channels as separate ''products'' and the delivery of multiple TV channels as ''bundling''.

Similar to a box of multi-coloured crayons that's sold as one product, the global pay TV model, as followed by operators in South Africa, works through making a collection of linear TV streams available through an economy of scale. The Commission is ordering pay TV operators to take the crayons out of the box and sell them one by one, individually.

ALSO READ: OPINION. South Africa's National Consumer Commission seems clueless as to why ordering pay TV operators to sell TV channels separately, is a bad move.

Last month the National Consumer Commission ordered MultiChoice that runs DStv and On Digital Media that runs TopTV to amend their contracts and to also ''unbundle'' the way they sell TV channels to subscribers and set a deadline of  November for them to respond to the Commission.

Vino Govender, CEO of ODM told TV with Thinus today that On Digital Media intends to reject the proposal by the National Consumer Commission ''that would force us to offer consumers the ability to pick and choose the channels they want to subscribe to''.

Vino Govender says ODM has ''taken legal steps to repudiate the commission's line of action because it threatens our business model''. He says if TopTV complies and allow subscribers to subscribe to only a few select TV channels it ''could force the only pay-TV alternative to MultiChoice out of business; this will not be in the best interests of the end consumers.''

''We have considered offering pick and mix a la carte options before TopTV launched but discovered the model made no financial sense as content providers would have hiked the cost of channels substantially. The model is also from a systems and administrative point of view impossible to maintain,'' says Vino Govender.

''If we remodel our product structure it will cause our business serious harm and could lead to our closure,'' he says. Vino Govender says such a move would cost South Africa as much as 6 000 jobs nationally.

MultiChoice feels the same as has also objected to the order from the Commission.

''MultiChoice South Africa has objected to the compliance notice served on us by the National Consumer Commission,'' says Jackie Rakitla, the general manager for corporate affairs at MultiChoice South Africa. ''We are not in a position to respond to any questions in this regard until the matter has been resolved at the Consumer Tribunal.''

BREAKING. TopTV set to talk in September; pay TV operator says its subscriber number is now 'in excess of 200 000'.

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The pay TV entrant TopTV that entered the South African pay television market a year and two months ago in May last year is unwilling to release subscriber numbers but says its in ''excess of 200 000'' and that TopTV CEO Vino Govender will be talking to to the industry at large about TopTV's performance and future plans in September.

While the market is looking for clues as to TopTV's viability and continued growth in the tough pay television sector and waiting for news about the roll-out of new services or the addition of channels, the operator says a full business update from TopTV will only happen in another two months from now in September.

TopTV isn't willing to give the latest subscriber numbers. TopTV last stated subscriber numbers more than half a year ago in January when TopTV said that it has crossed the 200 000 subscriber mark. ''Our subscriber numbers are now well in excess of 200 000, however the business has opted to only make an official announcement in the last quarter of this year,'' says TopTV. ''We are extremely grateful to those subscribers who have shown belief in us even though we are still a relatively new operator.''

TopTV says CEO Vino Govender will be able to talk about the pay TV operator's continued viability and the sustainability of its service and what the company is busy with at the earliest by September when he ''will be giving a full business update''.

TV executives from MultiChoice to TopTV, SABC and M-Net attend the annual LA Screenings looking at the new upcoming TV content.

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South Africa's top TV executives all went to the annual LA Screenings that just ended in Hollywood and I can reveal that they are now fully aware of what is out there in terms of new TV shows and what new TV content will become available, and hopefully new full TV series, this year.

I can reveal that M-Net sent representatives, and MultiChoice's Aletta Alberts, general manager for content was also there. She told me herself at the launch of the the Disney XD channel that she's going. Insider sources at On Digital Media (ODM) confirm to me that TopTV's CEO Vino Govender as well as other TopTV execs attended the LA Screenings this week. Sources told me last week that SABC3's new acting channel head Ed Worster is also there. 

The LA Screenings - that was held at The Hyatt Century Plaza in Los Angeles this year - is not a trade or buyers market, of course. TV executives can't and don't do deals at the LA Screenings - although they do hobnob and build relationships. Often its more the relationship than the money (although that's very important too) that later clinch the deal. Instead, international television executives are invited by the top Hollywood studios to watch the latest primetime pilot episodes of the American TV networks that will start in September when the new TV season starts.

South Africa's TV execs watched all the new pilot episodes made by Paramount, 20th Century Fox, CBS Studio International, NBCUniversal, Sony, Warner Bros. and Disney, and talked to a wide range of exhibitors ranging from AETN International and Discovery Networks to MTV Networks International, Warner Bros. International Television Distribution and NBCUniversal International Distribution to name just a few.

The biggest buzz was around the new Steven Spielberg time travel back to dinosaur action adventure series Terra Nova (Fox), although executives are wondering whether the quality of the show in terms of story and special effects would be sustainable for the entire first season. Executives were also impressed by Pan Am (Sony), the drama that's a Mad Men copycat and which is set in the 1960's airline that no longer exists.

Other exciting shows creating chatter amongst executives are Fox''s drama Alcatraz by JJ Abrams about old secrets discovered inside the island prison, the fantasy drama Grimm, the Desperate Housewives-ish primetime soap Good Christian Belles (called GCB), the teen witch drama The Secret Circle that's very much like The Vampire Diaries and Ringer which is Sarah Michelle Gellar's return to television.

TopTV turns one: TopTV CEO Vino Govender isn't talking about TopTV's first birthday - but he's going to be talking publicly soon enough.

TopTV's elusive and media shy CEO Vino Govender wasn't willing to do any interviews or talk about TopTV's first birthday when the pay TV operator turned one year old this past Sunday - but he will be talking publicly soon enough.

Vino Govender is a speaker at the SatCom Africa 2011 conference that kicks off on 30 May at the Sandton Convention Centre. Vino Govender will be addressing a panel at the conference for satellite TV operators on ''Business models that work for Africa'' during the 2nd day of the conference.

Of course Vino Govender won't be talking there about the more than 280 000 subscribers TopTV has signed up in the past year, the new TopTV PVR, or the new channels TopTV plans to launch around July, according to sources.

BREAKING. TopTV to launch HD TV channels and PVR only in early 2012, says TopTV CEO Vino Govender.

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Exactly as I've told you here in November that On Digital Media's (ODM) TopTV has no immediate plans to launch a (HD) personal digital video recorder (PVR) and will probably only do so by late this year or early next year, TopTV now says that the earliest it will have high definition (HD) channels will be in 2012 which is also when it will launch a PVR.

''New HD channels - at no extra subscription fee - (which) will come in about a year from now and an HD PVR,'' is planned says Vino Govender, TopTV CEO.

BREAKING. TopTV's CEO Vino Govender: ''Our performance has been phenomenal''; looking at PVR, HD and more channels.

While the 6 months old pay TV operator On Digital Media (ODM) steadfastly refuse to talk about its future plans and don't want to comment at all about where those new channels are it promised to add after 6 months, Vino Govender, ODM's CEO, tells me that TopTV's ''performance has been phenomenal''.

''We have stabilised our platform and capacity issues and are now in a position to grow our subscriber base exponentially,'' says Vino Govender. Looking at customer feedback and what subscribers are asking for, he tells me that TopTV is now looking ''at new technology, for instance personal digital video recorder capability (PVR) and high definition (HD). We are addressing this at the moment.''

When asked what there is that existing and future TopTV subscribers can or should look forward to in 2011, his answer is ''no comment''. Questions about TopTV's current subscriber base and the number of TopTV decoders are also left unanswered. Vino Govender is however more willing to talk about how he felt in May after TopTV's splashy commercial introduction and when TopTV decoders sold out nationwide. I asked him if he was surprised at what happened. ''Very much so. It has gives one a great sense of achievement. Our last quarter has produced excellent results that has exceeded our May activations,'' he says.

At the TopTV launch I attended, Vino Govender promised the addition of several more TV channels after 6 months, but besides TopStar (the Indian bouquet), MUTV and a Muslim channel, nothing substantial has yet materialized. I asked Vino Govender about this and what he can tell subscribers. ''There are several new channels we are planning for next year,'' he says, ''but unfortunately I cannot comment on this as well.''

ALSO READ: 6 ways in which TopTV has changed South African television the past 6 months.

BREAKING. On Digital Media wants to sell 200 000 TopTV decoders by November.

On Digital Media (ODM) wants 200 000 subscribers and TopTV decoders sold by November.

I was first yesterday to tell you RIGHT HERE that TopTV will have between 20 000 and 30 000 new TopTV decoders in store from tomorrow, Thursday and now I can tell you that ODM has updated their subscriber forecast. Vino Govender, ODM CEO, now believes that South Africa's new pay TV operator can attain 200 000 subscribers by November.

ODM's beefed up their call centre capacity further from an original 30 people to 70 at the moment and taking about 1 500 calls per hour.

BREAKING. ''We change the South African TV lanscape from Saturday by bringing 52 TV channels.'' - TopTV

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''If you look at the current TV landscape in South Africa, there is 5,5 million households that have access to a limited TV channel environment. We change the TV landscape from Saturday by bring 52 TV channels and I'm very excited,'' says Vino Govender, On Digital Media's CEO who is launching their TopTV pa TV service this Saturday, May 1.

At this afternoon's press conference at the Westcliff hotel in Johannesburg, Vino Govender said TopTV will create 153 permament jobs in South Africa. He said that TopTV needs 500 000 subscribers to remain a viable business. ''We'd love all 5 million - but if we get 500 000 that would make our business work perfectly. You must remember that this business has got a lot of variables in it. It's also subject to a lot of exchange risk in terms of increased in rand dollar rates, so those numbers move up and down. For us the perfect break even number is roughly 500 000 subscribers.''

ODM is placing 50 000 TopTV set top boxes in the market from Saturday. ''We grow that to 125 000 by the end of June, and thereafter 10 000 a week after that regularly,'' said Vino Govender.

ALSO READ: TopTV press conference - Q&A
ALSO READ: TopTV's complete TV channel line-up.
ALSO READ: TopTV's set top box revealed.

BREAKING. TopTV press conference: I asked, they answered. All the TopTV things you want to know.

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I've just finished the TopTV press conference at the Westcliff hotel in Johannesburg where TopTV revealed that its decoders will go on sale from Saturday for only R499 and free installation within 48 hours after a purchase by one of 900 installers across South Africa.

On Digital Media (ODM) starts the commercial broadcast of the TopTV pay TV platform on Saturday, May 1. Vino Govender, ODM CEO, was at the press conference and took questions from journalists and TV writers regarding TopTV. I can bring you my questions and some very revealing answers about everything right here, first - from the ODM infrastructure, price and TopTV installation, to its planned Top Sport channel.

For the Q&A, click on READ MORE below.