Wednesday, June 12, 2024

MultiChoice Zambia shuts shops and service centre outlets as over 100 staffers lose their jobs.


by Thinus Ferreira

MultiChoice Zambia is shutting several shops and service centre outlets across Zambia at the end of the month that will see over 100 people lose their jobs.

MultiChoice in response to a media query confirmed to TVwithThinus that it is shuttering branches across Lusaka and Kitwe at the end of June as part of "a business optimisation process" with others elsewhere in the country to follow.

Over 100 people working in Eastpark Mall in Lusaka, the ECL Mall and others will close down at the end of this month. 

"MultiChoice Zambia will be implementing a business optimisation process and to this effect, we will be restructuring our branches and migrating service to our full-service centre agencies The impacted branches are ECL Kitwe, Ndola Rekays, East Park and Manda Hill," MultiChoice Zambia says in a holding statement.

"The objective is to optimise and integrate customer experience in line with the mission to deliver value to customers by making great entertainment more accessible through cutting-edge technology. The business is optimising its operations to align with an advanced customer service delivery model, whilst increasing agility amidst challenging economic conditions," the company says.

"Operating in an industry driven by advancing technologies, the business must continue to drive efficiencies, whilst being responsive to evolving customer needs to ensure that the business remains relevant, competitive and sustainable in a challenging macro-economic environment," says Leah Kooma, MultiChoice Zambia managing director.

"As a responsible corporate citizen, we have worked hard to minimise the impact of this change on our people and remain committed to supporting all staff that will be affected. The process is guided by the labour laws of Zambia."

'A flight every 3 days': Inside Airlink's invitation-only Black-tier status.


by Thinus Ferreira

Attained by invitation only. These are the words that Airlink uses for Black-tier status - its mysterious and elusive top-tiered level only granted to a select few, literally high-flying individuals, in its Skybucks loyalty programme. 

If you have to ask how to get it, you likely don't qualify - but I went digging for the facts behind this top tier in the local aviation loyalty biz that conjures up dreams of perks and privileges for the well-heeled jet set before and when they take to the skies.

Airlink's new loyalty programme just turned one year old since Skybucks was introduced in South Africa in March 2023 and according to the airline has now reached over 110 000 members.

With Cemair offering SkyRewards, Lift and Flysafair having no loyalty programmes of their own and SAA that fell out of the race with Voyager, Airlink has become the fastest-growing local airline loyalty awards programme, offering fliers its Skybucks programme with Blue, Red and Emerald tiers.

Hidden in the small print, however ... an elusive Black tier - with barely any information, anywhere, about it. Suffice to say, the Airlink website says Black-tiered status - getting it, and keeping it - is "attained by invitation only". 

Of course a Black-tier is instantly reminiscent of the American culture of black credit cards - that ultimate consumer capitalist status symbol - like American Express' Black Amex Card for the ultra-rich like Oprah Winfrey and made from metal, that was first launched two decades ago.

"The Black-tier is an exclusive membership-by-invitation category for loyal members who fly 80 or more sectors in a 12-month period," Rodger Foster, Airlink CEO and managing director, tells me.

What that means in other words: Taking between six to seven flights per week on Airlink. And make no mistake - there definitely are those types of constantly-at-the-airport people.

"The air and non-air benefits and rewards exceed the Emerald-tier and include additional, meaningful non-air rewards such as exclusive one-of-a-kind experiences," Foster explains about its pinnacle membership level.

And how do you get it if you haven't got it? Well, just like the Black Amex Card, if you have to ask, you probably don't qualify. It's a polite case of "you don't have to call us, we'll call you".

About being invited into the rarified air of the Skybucks Black-tier circle, Airlink explains that "eligible members are contacted by a member of the Skybucks engagement team who presents them with their invitation to join the Black-tier". 

So, how many of these secret high-flying Airlink Black-tiered customers exist among us mere grounded mortals? Well, Airlink doesn't really want to say.

"The number of Black-tier members continues to grow as Skybucks' overall membership expands and the number of Emerald-members eligible for invitation to joining the Black-tier increases," Foster says. 

Is it a case of once you've reached the Black-tier that you get to remain part of the champagne-and-caviar brigade indefinitely? Uhm, no.

According to Airlink, membership for the Black-tier only remains valid for a year. To stay there, you've got to fly, baby. 

Airlink says after a year of Black-tiered membership, "members are individually evaluated according to the recency and frequency of their travel, their spend on tickets and membership engagement".

That's the nice way of saying you will drop from your thinner air in the sky back down to where you were lifted from, if you don't keep on flying.

Airlink explains that Black-tiered "members tend to keep themselves well-informed of their own tier status "and communicate frequently with our Skybucks consultants".

Who exactly are these people having Black-tiered status? Springbok rugby players, perhaps? TV soap stars? Insta-influencers? Pan-African bank CEOs?

Foster says Black-tier membership with Airlink isn't determined by fame or public standing. 

"Black-tier membership is for Airlink's most loyal customers," he says. 

"It's not influenced by an individual's fame, title, office, position, professional status or public standing. Although members include some corporate executives and well-known individuals, the majority are customers Airlink is rewarding because, for professional or personal reasons, they fly with Airlink a lot more than others."

As to why Airlink chose the colour black for its top tier, and why it was made "by invitation only", the airline boss explains that "We chose black as it is synonymous with timeless grace, elegance, style, sophistication, top quality, professionalism and exclusivity".

"Also, because the Skybucks programme was designed for simplicity, we wanted to differentiate each tier and give it a relatable name. There is also a mystique to 'black', which we hope will pique the curiosity of Airlink customers".

He says Black-tier members get a high-level priority at all touchpoints throughout their Airlink journey. Those who want it, need to start by enrolling within Airlink's Skybucks frequent travel programme.

"Incredibly, some Black-tier members have already achieved up to 120 sectors in a rolling 12-month period," Foster reveals. "That averages a flight every three days!"

Oprah Winfrey hospitalised with ‘very serious’ stomach issues.


by Thinus Ferreira

Oprah Winfrey has been hospitalised with "very serious" stomach issues, her friend Gayle King revealed.

Oprah Winfrey is now recovering after she was admitted to hospital for what her friend on Tuesday on the American morning show CBS Mornings described as "a very serious thing".

Winfrey (70) who recently appeared in public with a much thinner figure, in December revealed in a People magazine cover story six months ago that she is now taking weight-loss treatments like Ozempic which has since taken Hollywood and the world by storm. 

Her hospitalisation however doesn't have to do with taking the weight-loss treatments but with stomach flu.

"She had some kind of stomach thing - stomach flu - where stuff was coming out of both ends. I won't get too graphic," Gayle King said. "But needless to say, she ended up in the hospital - dehydration; she had an IV. So it was a very serious thing. She will be okay. I hope she's not mad at me for sharing that detail."

After Gayle King's on-air revelation, Oprah Winfrey's Oprahdaily Instagram account posted a statement, noting that "Oprah was scheduled to go on CBS Mornings today to announce her latest Oprah Book Club selection. When she came down with a stomach virus over the weekend, Gayle King - being the best friend she is - offered to make the announcement for her".

"We are happy to share that after receiving an IV due to dehydration at the recommendation of her doctor, Oprah is feeling much better. She is resting and feeling better every day. We wish her a speedy recovery".

Tuesday, June 11, 2024

StarSat denies it will be shutting down in September after South Africa's broadcasting regulator Icasa revokes On Digital Media's pay-TV licence.


by Thinus Ferreira

StarSat says it will not be shutting down – this despite South Africa's broadcasting regulator that has not renewed the Chinese-run pay-TV service's licence.

The 14-year-old pay-TV service headquartered in Midrand, Johannesburg started out as TopTV and is run by On Digital Media. 

On Digital Media is 20%-owned by the Chinese pay-TV service StarTimes – the maximum allowed for a foreign company of a South African media business – following a business rescue process a decade ago, after Top TV came to the verge of collapse following controversy and public outry over its eventually abandoned plans to carry a bouquet of pornographic TV channels.

Run under the StarTimes brand in the rest of sub-Saharan Africa and as StarSat in South Africa, the company competes with MultiChoice's DStv in the traditional pay-TV space. 

It however has far fewer subscribers in South Africa than MultiChoice's DStv where it offers a Special, Super and Max package with a lot of Chinese TV channels.

An insider told TVwithThinus that South Africa's broadcasting regulator, the Independent Communications Authority of South Africa (Icasa) has not renewed On Digital Media's broadcast licence for StarSat, with the pay-TV operator that has apparently been given until 18 September to close down.

"There's been no notice to staff and StarTimes is still selling StarSat decoders to new customers," the person said.

Icasa, in a letter in mid-March about the non-renewal of its individual broadcasting service licence which was sent to On Digital Media's CEO Debbie Wu as well as Ronald Reddy, ODM's general manager for legal, risk and compliance, the regulator states that it "does not have the legislative or regulatory mandate to consider a transfer application and/or renewal application an expired licence".

In the letter that TVwithThinus has seen, the regulator says "Take note that Icasa may publish a notice on its website and/or in the Government Gazette advising affected subscribers, content providers and stakeholders about the winding up of ODM's broadcasting services."

Icasa asked ODM to provide it with a plan on how and when it will tell StarSat subscribers, content providers and stakeholders on the winding up of its broadcasting services.

Three weeks ago TVwithThinus reached out to Icasa about On Digital Media broadcasting licence situation in a media query, asking for clarity from the regulator, whether StarSat indeed has to cease broadcasting on 18 September and several other specific questions around the case.

Two weeks ago, when asked again in a follow-up, Milly Matlou, Icasa spokesperson, said "the response is still being prepared and due to internal processes, there's a delay." 

Following multiple further attempts over multiple days to source comment from Icasa on the case, Matlou on Tuesday last week suddenly said "Thank you for your query, we think ODM is best placed to assist with your query" with no responses to any of the questions posed.

Debbie Wu, ODM CEO, told TVwithThinus last week in response to a media query about the non-renewal of its broadcasting licence that "ODM/StarSat is currently engaging with the regulator and cannot provide any public comments in that regard". 

 "Our engagements are such that we are exploring all the regulatory and legal issues regarding our obligations and licensing."We can assure you and the public that ODM/StarSat will not be closing its operations anytime."

"Should such an event materialise, which we doubt will happen, we will respect our obligation in terms of the law to notify all interested parties."Please note that ODM/StarSat will not be able to provide any further comments until this matter has been finalised."

Ster-Kinekor shutters 2 cineplexes as it seeks tie-ins with streamers on tentpole premieres.


by Thinus Ferreira

Sterk-Kinekor has ended its latest retrenchment process, shuttering two cinema complexes and letting go of 52 workers as it now wants to work with video streamers like Netflix, Showmax and Disney+ to try and do theatrical releases of some of their tentpole film and series premieres.

The South African cinema chain - owned by the British-based Blantyre Capital and Greenpoint Capital after exiting business rescue in November 2022 - initially told staff that it looked at closing up to 9 of its cineplexes and getting rid of up to 236 workers, or a third of its total workforce.

Ster-Kinekor - which competes with Nu Metro and a few independent cinemas dotted across South Africa - blamed plummeting cinema attendance in the country for having to close cineplexes and downsizing on staff.

Ster-Kinekor has 41 remaining active cinema complexes, with the local exhibitor industry facing immense pressure, similar to what is happening in the United States and the United Kingdom, due to the surge in digital video-on-demand streaming services like Netflix, Showmax and Disney+.

While the number of luxury and budget screens in South Africa has remained flat and indie exhibitors manage to remain afloat, there's been small growth in the novelty drive-in circuit the past four years.

In response to a media query, Ster-Kinekor confirmed to me that it completed its Section 189 retrenchment process at the end of May and instead of nine or more cinema complexes shuttered just two: the Boardwalk in Richard's Bay and the Greenstone Mall in the north-east of Johannesburg. 

According to Ster-Kinekor, it reduced the staff headcount at its head office by between 20% and 25%.

The cinema chain declined a request to interview CEO Mark Sardi and in a response said that of the other cinema complexes it identified for possible closure, the company "is currently in discussions with landlords and partners to consider different entertainment and education strategies within the cinema space".

Ster-Kinekor says it has now launched a "Throwback Cinema" campaign in which it is releasing classic titles at R50 per ticket. This will continue this month and during July with another eight titles.


Streaming: If you can't beat them, join them
Ster-Kinekor says it believes "that we can cohabit in the same ecosystem as streamers and work together", noting that "we have access to data that suggests that if a title launches on our platform first, it will stick longer with the streamers".

According to the company, "this principle of partnership applies across the board whether it be streamers, our landlords, or the movie distributors – the world has changed such that we need to work together".

"Coming out of the Section 189 process, as tough as it's been, has shown us the goodwill that exists among our partners, the mall landlords, our distributors and others with whom we engage."

"We are also protected by what we call the theatrical window, where the film is not allowed to be shown on any other format other than our own for a specific period - typically a 40 to 45 days. Again, once we've screened a title in cinema, people can catch it again on a streaming platform."

"We all work within this symbiotic environment where we can coexist alongside one another and benefit from greater collaboration."

Ster-Kinekor says that apart from Eskom's debilitating load shedding, there's also been the Hollywood writers' and actors' strikes that shut down the "movie factory".

"The consequence of the strike meant that 1.2 million admissions would be delayed by 12 to 18 months. And so, the combination of these two unanticipated events – more intense load shedding and the strikes, resulted in the position that we found ourselves in earlier this year, where we needed to restructure the business in the short term to survive in the medium to long term."


SA cinema cheaper than overseas
"During the Section 189 process, we took the opportunity to revisit and rethink our value proposition," Ster-Kinekor explains.

"Consumers say going to watch a film in cinema is expensive, and that is their reality. Going to a movie in South Africa is around half of what it would cost in the US or UK, but that is immaterial to cinemagoers who, when going to a cinema plus the food and beverages, perceive it to be an expensive outing."

"We need to demonstrate to our customers that it is a unique and valuable experience," the company says.

"We are currently working on new ideas and concepts that we will start testing at select sites over the next few months."

"We have to manage this 12 to 18 month period where the content might be a bit thin in some months, while managing pricing and offering real value to the customer."

"Some exciting new thinking and ways of working smarter have come out of the restructuring process from our teams. We are also fortunate that our investors and shareholders are also active in other markets across the world, so we draw on their US and European experiences to bring best practice to our local market."

"We know that when the content is right, people will visit the big screen. So, is cinema dying? An emphatic no. Cinema is globally one of the very few industries that has survived both a significant technological disruption event - streaming - and a pandemic and we remain resolute that there's still very much a place for it."

"What we need to look at now is how to position it as a more affordable experience for the family, friends and couples."


Wednesday, June 5, 2024

South Africa's arts minister Zizi Kodwa resigns after arrest and corruption allegations of taking R1.6 million in bribes.


by Thinus Ferreira

South Africa's sports, arts and culture minister Zizi Kodwa abruptly resigned on Wednesday after he was arrested and appeared in court in relation to corruption charges and receiving in excess of R1.6 million in bribes.

Zizi Kodwa appeared in the Palm Ridge Magistrate's Court on Wednesday morning and was later released on bail of R30 000.

In a statement from South Africa's department of sports, arts and culture - issued after his arrest and court appearance, Zizi Kodwa said that he "has informed the president that he will resign as minister of sports, arts and culture and member of cabinet, after being formally charged".

Zizi Kodwa appeared in court today with co-accused Jehan Mackay, a former EOH executive who allegedly paid Zizi Kodwa bribes. 

Jehan Mackay was mentioned in the Zondo Commission inquiry into state capture in South Africa, where allegations were made in 2021 that he paid bribes to several people, including ANC political party members, including Zizi Kodwa while he was the deputy minister of state security.

Steven Powell, the managing director of ENSafrica's forensic division, testified before the Zondo Commission that Zizi Kodwa got payments over R2 million, as well as luxury accommodation from EOH in exchange for getting lucrative contracts after bidding for various government tenders.

In addition, Zizi Kodwa got payments over R1.6 million from Jehan Mackay as bribes.

The case has been adjourned to 23 July. 

MultiChoice stings Waka TV, investigating 'thousands of individuals' connected to one of Africa's most extensive pirate streaming operations.


by Thinus Ferreira

Following a "meticulously planned raid" on 31 May as part of a sting operation with Western Cape police investigators, MultiChoice and its IT-security subsidiary Irdeto are busy fishing out "thousands of individuals"connected to the Waka TV pirate internet streaming service described as one of the most extensive in Africa.

MultiChoice calls the Waka TV sting operation in South Africa "a significant victory in the fight against internet streaming piracy", noting that Friday's raid netted and led to the arrest "of a key suspect involved in one of the most extensive pirate operations in Africa".

The suspected TV streaming pirate appeared in court on Monday and has been charged with both fraud and of contravening sections 2 to 8 of South Africa's Cybercrimes Act. MultiChoice says more arrests will take place very soon.

"This operation represents a major milestone in our relentless commitment to protecting MultiChoice Group's content and the integrity of our broadcasting services," the Randburg-based pay-TV provider says.

"The suspect, who is believed to have managed several pirate customers and resellers, was detained with Waka TV that illegally distributed live TV channels - including several DStv channels, movies and series. The disruption caused by this raid is a significant blow to the illegal streaming industry in Africa."

"MultiChoice is working actively with the police as investigations continue into the thousands of individuals connected to the Waka TV pirate network. Resellers supporting the pirate operation are also under investigation. This collaborative effort aims to dismantle the entire network and bring all perpetrators to justice."

According to MultiChoice, the police's Cybercrime Unit will analyse all equipment seized during Friday's raid with "The comprehensive analysis expected to provide additional insights into the extent of the pirate network, and more arrests are imminent".

"MultiChoice would like to extend our deepest gratitude to the Cybercrime Unit and the Western Cape provincial commercial crime investigation unit for their outstanding support and professionalism throughout this operation. Their efforts have been crucial in achieving this significant breakthrough".

Tuesday, June 4, 2024

M-Net pays evicted former Big Brother Mzansi contestant Yolanda Monyai to be Mzansi Magic brand ambassador who said she wants to 'f*cking molest' and 'rape' people.


by Thinus Ferreira

M-Net has decided to appoint and pay the evicted former Big Brother Mzansi contestant Eulanda "Yolanda" Monyai to become a new Mzansi Magic (DStv 161) brand ambassador who was removed from the show in March after saying she wants to "f*cking molest" one contestant and "rape" another.

M-Net says Mzansi Magic is "proud" to have Eulanda "Yolanda" Monyai as a Mzansi Magic brand ambassador after her abhorrent behaviour and utterances that saw MultiChoice, Red Pepper Pictures and M-Net evict her from the show in mid-March.

Yolanda is one of a group of five former Big Brother Mzansi Sya' Mosha reality show contestants who M-Net is now paying to be Mzansi Magic brand ambassadors.

The decision is raising questions as to why Mzansi Magic is so apparently talent poor that it's resorting to bottom-barrel reality stars with tarnished reputations to now represent the M-Net channel on DStv.

Christinah Mazibuko, head of marketing and publicity for Mzansi Magic, says M-Net is "extremely proud" to have the group of people, including Yolanda, represent Mzansi Magic.

"We are extremely proud and happy to welcome these five amazing young people to the M-Net family. For us this means aligning with our mandate of nurturing and sustaining talent, and we hope this opportunity will result in a long-term mutually beneficial relationship."

In March, after evicting Yolanda, MultiChoice said it takes threats and threatening remarks around gender-based violence (GBV) very seriously - but now it apparently doesn't, rewarding Yolanda with money through being a brand ambassador and saying she aligns with Mzansi Magic's brand values.

In March on television the 32-year old sales consultant and model from Limpopo said she was ready to sexually assault another contestant, saying "I want to f*cking molest her". 

She also said "I am going to rape Ghost. I'm going to force myself into his bed," in reference to Sabelo "Papa Ghost Ncube, who is TV presenter Andle Ncube's brother.

TVwithThinus asked M-Net on Monday why someone who threatened other people on DStv's airwaves that she wants to molest and rape them, represents Mzansi Magic's brand and brand values.

MultiChoice in response says "Mzansi Magic is committed to the safety and well-being of all housemates on the show. In the case of Yolanda's comments, the situation was addressed while she was still a participant on Big Brother Mzansi season 4."

"Following her exit, Yolanda received remedial training, demonstrating her willingness to learn from her actions. Mzansi Magic's approach to using former housemates as brand ambassadors is to nurture, develop and sustain talent."


MultiChoice accepts Vivendi's Canal+ takeover offer as they now look how to circumvent South Africa's foreign media ownership regulations.


by Thinus Ferreira

MultiChoice's independent board created to look into the takeover offer from Vivendi's Canal+ in France has now recommended the offer of R125 per share to the pay-TV operator's shareholders, with both companies now working to see how they can circumvent and get around South Africa's strict regulations on foreign ownership of local media. 

In a joint statement on Tuesday morning - MultiChoice sent their email blast at 7:22 and Canal+ sent theirs at 7:26 - the companies said that MultiChoice's independent board has concluded that the terms and conditions of the offer are fair and reasonable to MultiChoice shareholders.

South Africa's Electronic Communications Act (ECA) overseen by the Independent Communications Authority of South Africa (Icasa) prohibits foreign entities from holding more than 20% of the voting rights of a South African broadcaster like MultiChoice.

According to the ECA no foreign company or foreigner may have control over a commercial broadcasting licensee like MultiChoice in South Africa, and neither may a foreign company or foreigner have any financial interest, or an interest in either voting shares or capital of more than 20% in a commercial broadcasting licensee.

Canal+'s possible takeover deal of MultiChoice will be subjected to several regulations and approvals - including South Africa's Takeover Regulation Panel and the country's Competition Tribunal, the Johannesburg Stock Exchange (JSE), as well as the Financial Surveillance department.

MultiChoice sent out a "combined offer circular" today to its shareholders, in which it outlines the terms and conditions of Canal+'s offer.

MultiChoice and Canal+ are now hinting although not specifically saying how they are jointly working to circumvent South Africa's existing regulations on foreign media control.

"Canal+ and MultiChoice are in the process of assessing and finalising a suitable structure for the licensed activities of the MultiChoice Group to ensure compliance with the applicable limitations on foreign control on implementation of the mandatory offer, while also maintaining MultiChoice's BBBEE credentials," the companies say in their statement.

"Canal+ intends that, should its European listing proceed, there will be an opportunity for South African investors to become shareholders of the combined entity as part of a secondary inward listing on the JSE."

Maxime Saada, Canal+ CEO and chairman, in a new statement says "The publication of the Combined Circular is a step forward in our vision to create a global entertainment business with Africa at its heart".

"It includes a recommendation by the independent board of MultiChoice that our offer should be accepted by shareholders in the event it becomes unconditional, and an assessment that our offer is both fair and reasonable."

"By combining the scale, complementary geographies and content portfolios of our two companies we will create an entertainment group with international reach and strong local roots. Our aspiration is to provide viewers across the continent with a local champion that can both challenge and partner with the largest media companies in the world and which can serve powerful local stories and compelling sport, whilst investing in the local creative and sporting ecosystems to ensure their long-term success."

Elias Masilela, MultiChoice chairman, says "The offer from Canal+ is an endorsement of MultiChoice's 40-year track record and our compelling continental growth strategy".

"It is gratifying to note that foreign investors share our view that South Africa and Africa remain attractive growth markets. While we are currently successfully delivering on our mandate and strategy, Canal+'s offer provides the opportunity to accelerate these plans and form a global entertainment business with Africa at its heart, increasing value for shareholders in the process."

Max Gebhardt from FTI Consulting, and a former editor of the Financial Mail, now helps MultiChoice in the Canal+ buyout of MultiChoice with FTI Consulting saying it helps "companies seize opportunities and mitigate risk during both transformational and disruptive moments".