Pay TV: How Increased Competition Brings Hidden Costs

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By Livinus G. Acholonu

Over the last 13 years, the Nigerian pay-television market has seen new service providers arrive at intervals, provoking, somewhat correctly, greater viewing choices for audiences. This year, two new providers-Kwese TV and TSTV-joined the fray, sparking delight among subscribers.

While the latter has kicked off, the former appears to be held down by an incubus, notably arising from accusations of intellectual property theft and squalid pre-launch preparation, which have eroded the optimism among those it initially seduced with grand promises.

On the face of it, competition is good for consumers, as it offers benefits in terms of pricing and variety. Looked at more closely, pay-television economics, which in recent times has proved to be treacherous to many recent entrants into the Nigerian pay-TV market space, indicate that the vaunted benefits are…



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