The Pay-As-You-Go (PAYG) billing model advocated by Nigerians is not technically and commercially feasible, the Chief Executive Officer of MultiChoice Nigeria, owners of DSTV John Ugbe has stated.
Few weeks back, Nigerians renewed the call on MultiChoice DStv to introduce PAYG in the country or else, they’ll dump their decoders. MultiChoice have responded…
Ugbe, who spoke when he appeared before the House of Representatives Ad Hoc Committee investigating the non-implementation of the PAYG subscription model by satellite television operators, said the company does not have the technology to offer pay as you go at the moment.
According to him, Pay-Per-View (PPV) is often confused with PAYG, adding that the PAYG model used in the telecommunications sector is not the right fit for pay television.
PAYG in telecommunications is a metered service that ensures consumers are billed only for the service they consume and not for a fixed period. He said.
He argued that Pay-As-You-Go is possible in the telecommunication sector because it relies on a two-way communication system, which enables operators to determine when a consumer is connected, the service consumed, and the duration of the connection.
He maintained satellite broadcasters, unlike telecommunications firms, cannot offer pay television services because satellite broadcasting is a one-way system and does not enable broadcasters to determine when a subscriber is connected and/or watching or what channel is being viewed.
He said: “It is only in instances where there is two-way communication between the device at the subscriber’s home and the headend of the pay-tv service provider, which will enable the provider to determine when a subscriber is connected or not, that a billing system could be designed to take into cognizance the subscriber’s behavior”.
However, TStv a PayTV satellite operator promised Nigerians over 100 channels and will be made available for as low as N2 per day and as high as N5 for a channel.
Source: The Nation