Broadcasting
Telcos Pocketed Majority of Profit from SMS Votes on BBNaija- Ugbe, Multichoice Boss
John Ugbe, managing director, Multichoice Nigeria, in an interview with journalists on the sidelines of Digital Dialogue conference in Dubai, talked about the recently-concluded Big Brother Naija, DStv’s charges, the pay-TV model, social responsibility programmes, rain fade which is caused by bad weather, among other issues.
What is your reaction to the assertion that 170 million votes from BBNaija came exclusively from SMS, thereby yielding profit in the billions?
Ugbe: There has been a lot of focus on the figure 170million, but to set the record straight; 170million votes came from 49 African countries, and more than 90% came from online voting. Under 2% of the entire votes came from SMS voting.
Nigeria is the only country that was enabled to vote via SMS. The actual revenue generated from SMS voting could not be further from the much-touted purported figure. Over and above, the administration and platform set up costs, the majority of the profit went directly to the GSM and data service providers.
Is there a way to ensure BBNaiija is domiciled in Nigeria so that all the economics of the hosting and its associated benefits come to Nigeria?
Ugbe: Tinsel is domiciled in Nigeria and shown all over Africa. We just premiered a new epic series in Lagos. For this, we built an entire village from scratch to portray the realities of a village setting.
Our group of channels are called Africa Magic to reflect our African heritage. Nigeria has the biggest movie industry that is why our productions are domiciled in Nigeria.
For Hotel Majestic, we had to take over a hotel in Nigeria for two years as a set. It’s a lot of investment. Big Brother demands a lot of complexities and outfitting a house.
For the Big Brother shows, we set up one facility for Nigeria, Angolan and other editions. It makes sense from a production perspective. It is impractical to replicate sets across our operations in 49 African countries.
We choose the best location for each specific production. Big Brother Naija’s production team is made up of 90% Nigerians even though it wasn’t set in Nigeria – so a good deal of skills transfer occurs. Africa Magic Viewers Choice Awards (AMVCA) comes to Nigeria every year. Speaking as a Nigerian and an advocate of Nigeria, we keep looking at what it will entail to run it locally.
Have you considered implementing a ‘pay as you consume’ model considering that work and life schedules make it difficult to catch shows without steady power?
Ugbe: From a producer’s perspective – we have to buy the movie in full and we have to buy enough content to fill the channel and put it on air.
That’s what the pay-TV model prescribes anywhere in the world. We have to aggregate content for our different packages, this means ensuring there is something for everyone on the package depending on your interest and pocket strength. But there is a good spread of a variety of content across all packages. Everyone thinks of today.
From day one, you have to buy enough movies to make up the channel and sell that package to one person. It’s a risk as you cannot determine if after buying content, only one or ten people will subscribe.
If only one person does, you cut your losses and move on, but you continue to invest in content with the hope that more people will be interested in watching.
Regarding breaking off viewing according to your availability, the challenge is in the model of the business. We don’t know when your decoder is on or off. That makes it impossible to say I want to start billing because this customer has started viewing.
Pay as you go is a mobile network term. The mobile operators have the technical resources to measure what is being used. For pay-Tv on the other hand, it is not the same thing.
Last August, the Mayweather vs. McGregor Boxing match was delayed for close to 3 hours. The reason it was delayed is because of the technicalities of pay-per-view in the US. Pay-per-view for a fight like that would be $99 – that is more than your one-month subscription on Premium – about double.
However, we buy the fight and aggregate it for our Premium subscribers, who were able to record it, even when the live event did not happen on schedule. What we encourage our subscribers to do is download DStv Now, and you can watch all the content on your current subscription on the go, on your phone or tablet. You do not have to be bound by availability of power. Catch Up is there… Get it before the World Cup so it’s right there on your phone and your iPad and your laptop. Those are the innovations we’ll continue to make.
What social responsibility programmes do you invest in as an organisation?
Ugbe: We focus on education, health and youth and economic empowerment. Our MultiChoice Resource Centre project is our
education initiative that we have been active with for over 14 years. What we do here is work with the governments in each state to select beneficiary schools. We then provide audio-visual equipment (which include a dish, decoder with educational channels, TV, generating set, tables, chairs, UPS), to bring learning and the school’s curriculum to life.
We set up our education package in the chosen schools, train the teachers on how to select relevant programs intended to illuminate and animate information that would otherwise have remained theoretical or textbook based.
The MRCs are present in over 400 schools across 33 states in Nigeria, tens of thousands of students have benefitted from these centres since inception. The feedback has been astounding.
The rate of passing school leaving exams has improved. Several beneficiary students have gone on to become medical doctors, lawyers, and a good number are working in several other professions, as a result of this foundation that changed how they learn and retain information.
I have experienced how this centre is used and saw how students responded when they saw how a tsunami actually happens. They saw it happen on our platform and this made it easier for them to imagine how destructive a tsunami could be.
Also in terms of education, we have partnered with Eutelsat for many years to roll out DStv-Eutelsat Star Awards, a satellite-based competition for secondary school students across Africa.
The students are required to answer questions on how satellites can be used to improve processes, the advantages of satellite and so on.
These questions need to be answered through an essay or a poster. Last year, a Nigerian; Emmanuel Ochenjele emerged overall winner from the poster category. He met a real life astronaut – Claudie Haignere, right here in Nigeria, and not long ago, he returned from Paris, as part of his winning prize, where he went to the Eutelsat headquarters to witness how rockets are assembled. This has changed his perspective forever.
We implement our health responsibility by supporting the Sickle Cell Foundation. We have been partners for many years. We support them because the statistics of how sickle cell anaemia affects Nigerians paints a dire picture.
The foundation seeks funds to carry out research, treat and inform sufferers. Their key objective is creating awareness on how to minimize its effects, research on how to avoid and ultimately cure the ailment. On our part, we offer support through creating awareness, which we do on an ongoing basis through educational videos, community outreach programs, fundraising and other initiatives to support them in what they do.
Our GOtv Boxing Next Gen clinics support the growth of boxing, which we brought out of near extinction in Nigeria.
Over and above the boxing matches which provide an avenue for the boxers to earn a living, the clinics provide tips on welfare, training and psychological support to these young ones.
Some of the young boxers were picked from our Next Generation Search (for talented and passionate amateurs), they have now proven themselves in mainstream boxing and have won millions over the years. Ultimately, we train them to go professional, so that one of our boxers can proudly fly the Nigerian flag internationally.
Is it possible to put my subscription on hold when I travel for a month?
Ugbe: Yes we have made it possible for you to do that. You can put your subscription on hold when you travel for up to two weeks each time, twice a year.
One of the things we thrive on is technology. The dual view decoder was first introduced in the world by MultiChoice. Digital Satellite TV (DStv) was only second after the US. When we build the DTT network we had Russians coming to study it. We look to the future for what is possible to do.
Recently, MultiChoice ran a promo asking subscribers to pay for two months and get one month free, but there were complaints from customers who didn’t get the promised month. What is your response to this?
Ugbe: It is true that we ran a retention offer late last year. When we received feedback that some customers did not get the free month on schedule, we identified those customers that were affected and we fixed it. We introduced a new process which helps to identify those who received the offer, and ensure that get the benefit immediately.
Additionally, in terms of improving on technology, we upgrade our decoder software from time to time to improve customer viewing experience. We ran a free swop campaign where we asked customers to bring in obsolete decoders for a free swop.
It’s all in line with always striving to improve our offers to our customers. We also introduced tollfree lines a few years ago. These numbers are available on our website and social media care platforms. On Twitter, the address is @DStvNgCare.
Is the call centre 24 hours? DStv should have a 24-hour call centre.
Ugbe: This is good feedback and something we tested in December. However, there are a few challenges with labour laws. So we’ve been looking at how best our customers can reach us at any time of the day. We will communicate changes and updates in due course.
The strength of your signal is still a problem, especially when it rains. Why is that the case?
Ugbe: To shed some light on that, it is called rainfade. Satellite signal from the KU Band is susceptible to weather.
I have taken pictures of my TV screen when I’ve been in New York or other parts of the world and I experienced interruption as a result of bad weather. It’s not a Nigerian problem. Your DSTV will work even with 40% signal.
There is a need to boost the signal to have less interruption. We also make available quality cables to reduce interference. If rain comes in it will affect the quality.
We recommend getting a certified installer to conduct regular checks to verify signal strength. Also, some dishes have not been checked in up to five years. Regular checks ensure that your dish works optimally, thereby reducing rainfade.
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Star Trek inspired a lot of Americans to go into science and to the moon. What does Big Brother inspire among Nigerians?
Ugbe: We are in pay TV, we are in entertainment. Entertainment is a mix of fun, inspiration and education. Remember, reality TV is reality.
This is what happens. The fact that they are on TV doesn’t change it. Entertainment can inspire in a variety of ways. A lot of people have come out of Big Brother and have grown into entertainment powerhouses. It’s a platform for exposure and advancement.
Furthermore, we have a lot of educational and kids content. We ask our viewers to set up parental guidance so you can control what your child views.
The parents have and have always had the control. Kids, these days, have smartphones and can download anything, but the blame is often put on TV. You can opt out of a channel or block it completely at any time. We put the power into your hands. And back to Big Brother, we can learn from their interaction in the house. They have tasks that promote nationalism, patriotism. You see those contestants singing the national anthem proudly. When they talk about malaria day, we use it as an opportunity to educate. A lot of the tasks are subtle but meant to inspire and lead.
The Federal High Court sitting in Abuja on Thursday ruled over a dispute between the Federal Competition and Consumer Protection Commission (FCCPC) and MultiChoice Nigeria over the recent hike in subscription fees for DStv and GOtv services, declaring that only the President has the power to fix or suspend prices in Nigeria.
Justice James Omotosho, trial Judge,ruled that the suit filed by MultiChoice Nigeria constituted an abuse of court process as similar proceedings were already pending elsewhere, adding that the plaintiff should have pursued its arguments in that court, rendering the current filing procedurally inappropriate.
Justice Omotosho noted that while the FCCPC has investigative powers under its establishing Act, it lacks the authority to fix or suspend prices unless specifically delegated by the President through a gazetted instrument and held that such delegation was not presented to the court.
“The power to fix prices is exclusively that of the President. Any decision taken without such delegation is a nullity,” the Judge held and added that Nigeria operates a free market system and service providers like MultiChoice retain the right to set their prices, with consumers free to accept or reject them.
The Judge further ruled that FCCPC’s actions, including directing MultiChoice to suspend its price increase, breached the company’s right to fair hearing and appeared selectively targeted.
He dismissed the FCCPC’s claim that MultiChoice held a dominant market position, calling the argument untenable.
“The use of services like those provided by the plaintiff is discretionary and not essential. Nigeria can do without it,” he added and warned that attempts to fix prices by regulatory bodies could scare off investors and harm the economy of the country.
The court held that while the FCCPC may investigate market practices, it cannot impose price controls without proper legal backing.
MultiChoice Nigeria, the parent company of DStv and GOtv, announced a price hike on March 1, 2025, citing inflation and rising operational costs. The adjustments saw subscription fees increase by up to 25% across various packages.
By Diana Tenebe, Chief Operating Officer, Foodstuff Store
Nigeria’s foodtech sector holds immense promise to transform our nation’s food production, distribution, and consumption systems.
However, this burgeoning industry currently navigates a complex maze of challenges that could significantly hinder its progress. While innovation and entrepreneurial drive are abundant, a confluence of infrastructural deficits, economic headwinds, technological disparities, and logistical complexities casts a shadow on the sector’s long-term viability.
Understanding and addressing these multifaceted hurdles is paramount for foodtech companies aspiring to thrive and contribute meaningfully to Nigeria’s food security.
One of the most significant impediments to the foodtech sector’s advancement is Nigeria’s persistent infrastructural weaknesses.
The unreliable power supply, a well-known constraint for businesses nationwide, directly threatens food preservation, increasing spoilage risks and driving up operational costs for companies reliant on refrigeration and consistent processing.
Similarly, the often-deteriorated state of our road networks complicates logistics and transportation, hindering the efficient movement of goods from farms to consumers and across the supply chain.
Furthermore, limited access to clean water exacerbates operational challenges, particularly for maintaining food processing and hygiene standards. Collectively, these infrastructural shortcomings inflate operational expenses and introduce vulnerabilities throughout the food supply chain.
Economic constraints add another layer of intricacy. Fluctuations in currency exchange rates create instability in pricing and procurement, especially for businesses dealing with imported technologies or ingredients. Persistent inflation erodes consumer purchasing power and increases the cost of essential inputs, squeezing profit margins for startups.
Moreover, limited access to credit and investment capital makes it difficult for emerging foodtech companies to secure the necessary funding to invest in crucial technology, infrastructure, and expansion efforts.
This financial constraint can stifle innovation and prevent promising ventures from reaching their full potential.
The digital divide also poses a unique challenge for foodtech companies aiming to leverage online platforms and digital solutions. While mobile phone usage is widespread in Nigeria, disparities in digital literacy and access to reliable internet connectivity can restrict the widespread adoption of online food ordering and delivery services, particularly in rural and underserved communities.
This necessitates creative and inclusive strategies to bridge the digital gap and reach a broader consumer base.
Inefficiencies within the supply chain represent a critical bottleneck in the Nigerian food system. Fragmented agricultural supply chains, characterised by numerous intermediaries and a lack of transparency, contribute to alarmingly high post-harvest losses.
Inadequate storage facilities and inefficient transportation infrastructure further compound these issues, leading to significant waste and price volatility.
Addressing these systemic weaknesses is crucial for ensuring a stable and affordable food supply for all Nigerians.
Navigating Nigeria’s regulatory landscape can also be a daunting task for foodtech businesses. The presence of multiple regulatory agencies, coupled with often bureaucratic and time-consuming processes for obtaining licenses and permits, can create significant hurdles for startups. Clear, consistent, and streamlined processes within the regulatory framework are essential to foster a more enabling environment for innovation and growth.
Building consumer trust and acceptance for new food technologies requires overcoming inherent skepticism and unfamiliarity. Concerns regarding food safety, quality, and the security of online transactions can hinder the adoption of novel food products and digital platforms.
Transparent communication, robust quality control measures, and consistent consumer engagement are vital for building confidence and fostering widespread acceptance.
Finally, a notable talent gap exists within the Nigerian foodtech ecosystem.
A shortage of professionals possessing specialised skills in food science, technology, business management, and logistics can limit the growth and innovation capacity of companies in this sector. Addressing this skills deficit through targeted training and development initiatives is crucial for long-term success.
Despite these significant challenges, promising pathways forward can be forged through innovative and context-specific approaches. Investing in localised infrastructure solutions, such as independent power generation and efficient localised logistics networks, can mitigate the impact of broader infrastructural deficiencies.
Exploring diverse funding avenues beyond traditional banking, including angel investors, government grants, crowdfunding, and revenue-based financing, can alleviate financial constraints.
Adapting to the digital divide by leveraging basic mobile technology and employing offline strategies like local agent networks can expand reach and inclusivity.
Building resilient supply chains through direct farmer relationships, investing in aggregation centres, and utilising technology for farm management offer tangible solutions to logistical inefficiencies.
Proactive engagement with regulatory bodies and advocating for clearer, more supportive policies are crucial for navigating the regulatory landscape effectively. Building consumer trust necessitates transparent sourcing practices, clear communication about product benefits and safety, and active engagement with consumer feedback.
Finally, investing in talent development through collaborations with educational institutions and in-house training programs can bridge the critical skills gap.
Foodstuff Store is emerging as a business with a clear vision to directly confront several of these challenges. We are actively developing a decentralised network of businesses supported by strategically located distribution hubs across target states.
This approach will directly address the limitations imposed by poor road networks, ensuring more localised access to our food products.
Furthermore, the establishment of regional storage facilities, including a state-of-the-art solar-powered cold storage, directly tackles infrastructural deficiencies related to food preservation and ensuring a consistent supply.
Foodstuff Store’s ambition for end-to-end management of the food supply chain, encompassing in-house production, direct sourcing, advanced storage solutions, and efficient distribution, offers a powerful solution to existing supply chain inefficiencies.
This integrated approach promises enhanced quality control, significant reductions in post-harvest losses, and a more reliable supply of both perishable and non-perishable goods for our customers.
Our aspiration to become the “Amazon for Food Products” is a clear and ambitious goal underpinned by a technology-driven approach to all aspects of our operational management.
Foodstuff Store’s vision underscores a business model strategically designed to overcome significant hurdles within the Nigerian foodtech sector, offering a beacon of potential and a pathway to a more secure and efficient food system in a challenging yet remarkably promising landscape.
TVC News has broken new ground in Nigeria’s media space with the launch of the country’s first Artificial Intelligence (AI) news presenters.
Rolled out in May 2025, the AI anchors will deliver news bulletins in English, Yoruba, Hausa, Igbo, and Pidgin, reflecting the broadcaster’s commitment to technological advancement and linguistic inclusion.
The initiative is designed to enhance news delivery by supporting human journalists, not replacing them.
TVC Communications, the parent company of TVC News, described the development as a milestone in its efforts to integrate cutting-edge technology into broadcast journalism.
“We are thrilled to pioneer this innovation in Nigeria’s media industry,” said Victoria Ajayi, chief executive officer, TVC Communications.
“Our AI news anchors represent a new era in news reporting, and this move underscores our dedication to using technology as a tool for growth and progress.”
Ajayi clarified that the AI-generated content will undergo thorough editorial review.
“Trained journalists and editors will assess every output to ensure it meets our standards of accuracy, balance, and credibility,” she noted.
In response to concerns about the potential misuse of AI, the organisation said it had established rigorous editorial safeguards, including watermarking and verification protocols. It also reaffirmed its adherence to the Nigerian Broadcasting Code and journalistic ethics.
With this launch, TVC News has become a trailblazer in AI-assisted journalism in Africa, setting a bold example for future media innovation across the continent.
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