The FCCPC has summoned MultiChoice Nigeria to explain its planned subscription price increase effective March 1. The directive follows concerns regarding potential anti-competitive practices and consumer impact. MultiChoice’s proposed adjustments for DStv and GOtv packages have raised further questions about fairness and market practices, which the FCCPC is determined to address through regulatory oversight.
The Federal Competition and Consumer Protection Commission (FCCPC) has formally summoned MultiChoice Nigeria to clarify its forthcoming subscription price hike, scheduled for implementation on March 1. This directive, communicated by Mr. Ondaje Ijagwu, the FCCPC’s Director of Corporate Affairs, requires the Chief Executive Officer of MultiChoice to participate in an investigative hearing at the FCCPC headquarters on Thursday.
This summons arises from concerns surrounding MultiChoice’s notification of repeated unilateral price increases, leading to allegations of possible market dominance and anti-competitive behaviors within the pay-television sector. The FCCPC expressed apprehension that Nigerian consumers are facing ongoing price hikes while questioning the fairness of MultiChoice’s strategies compared to those in other markets.
In response to the price adjustments, MultiChoice announced a range of increases for its services, indicating adjustments for DStv and GOtv packages. According to their announcement, the DStv Compact package will see a rise from N15,700 to N19,000, while the Premium subscription will increase to N44,500. GOtv customers will also experience increases, with fees rising from N3,600 to N3,900, and GOtv Plus from N4,850 to N5,800.
Despite the proposed hikes following a previous review about a year ago, the FCCPC has emphasized its intent to safeguard consumer interests. It has indicated that should MultiChoice fail to justify the price increases adequately or be found in violation of fair market principles, the Commission may impose regulatory sanctions to ensure consumer protection. The FCCPC is also collaborating with sector regulators and pertinent agencies to promote fair competition in Nigeria’s broadcasting landscape.
In summary, the FCCPC’s summon of MultiChoice centers around its upcoming subscription price hike, which raises concerns about fairness and competition in the market. MultiChoice must justify the increases, failing which regulatory ramifications may occur. The ongoing collaboration between the FCCPC and other agencies aims to protect Nigerian consumers amid these challenges.
Original Source: nannews.ng
