A new satellite broadcaster, Platco Digital, is to launch in South Africa offering free-to-air services across the country.
Platco has signed a 15-year contract with satellite operator SES to lease two transponders on the latter’s SES-5 satellite….
A new satellite broadcaster, Platco Digital, is to launch in South Africa offering free-to-air services across the country.
Platco has signed a 15-year contract with satellite operator SES to lease two transponders on the latter’s SES-5 satellite. The agreement includes an option for additional capacity in 2014.
Platco is the sister company of e.tv, South Africa’s first private commercial free-to-air broadcaster. Launched in 1998, e.tv is the second most popular channel in South Africa and the most-watched English-language channel.
Both companies are owned by Sabido Investments (Pty) Limited, a South African media group that was initially founded as the holding company for e.tv and has since expanded to own stakes in several other media-related businesses including YFM, Cape Town Film Studios, The Refinery, Sasani Television Studios, Sabido Productions, and the Natural History Unit South Africa (a wildlife film-making business).
Sabido itself is owned by Hosken Consolidated Investments, a black empowerment investment holding company that is listed on the Johannesburg Stock Exchange and controlled by the South African Clothing and Textile Workers Union.
Commenting on the venture, Sabido Investment’s CEO Marcel Golding said, “Platco Digital will offer local and international television businesses the opportunity to broadcast free-to-air channels on the DTH platform, in addition to the digital terrestrial television and mobile TV platforms.
“Sabido is excited about this new multi-platform initiative, which will provide South African and African viewers more entertaining, informative and educational programming for free.”
The company’s strategy is to initially launch Platco across South Africa and then expand into neighbouring countries. The plan will be aided by the fact that e.tv launched a syndicated service in 2009, e.tv Africa, which is now available in 49 African countries and has direct investments in broadcasting businesses in Botswana and Ghana.
The South African DTH market is dominated by Multichoice, the pay-TV provider owned by Naspers, and rivals have struggled to secure enough of a market share to become profitable.
In May 2013, satellite broadcaster TopTV was saved from potential bankruptcy when StarTimes, a China-based technology company with operations in Africa, bought a 20% stake as part of a business rescue plan.
The plan was launched in 2012 by TopTV’s majority owner On Digital Media after the broadcaster’s losses steadily increased due to high costs and a fall in subscriber numbers. Shareholders in On Digital Media include the National Empowerment Fund (10%), the Industrial Development Corp (11.3%) and SES (20%), which provides capacity via SES-5.
