Saturday, May 28, 2011

Wananchi Group Launches Satellite Pay TV Service in Kenya

The Wananchi Group, who already owns a cable television service with customers in Nairobi, has engaged other partners to rollout satellite Television service in Kenya. The strategy comes after the injection of Kshs.5 billion in expanding its services to reach more customers. By launcing a pay TV service in Kenya, the Wananchi Group will be able to reach more customers across Kenya, whether in North eastern province, in Nairobi or Mombasa. The investment will also be directed towards expansion of its fibre optics network across major towns in Kenya such as Mombasa, Nairobi, Nakuru and Kisumu.

The Wananchi Group is committed to ensuring that its major services whixh include; pay tv, broadband internet and voice captures a reasonable market share in the already competitive Kenyan market. Pay TV market is currently dominated by Dstv which is owned by a South African company Multichoice; however, the cost factor is expected to determine providers share and influence in the Kenyan market segment. Provision of Pay TV in Kenya is gaining momemntum after Smart TV rolled out its services utilizing the digital terrestrial infrastructure established by Signet during the Analog to Digital migration process in Kenya.

Smart TV is currently available in Nairobi and it’s expected to expand to other major towns within the country such as Mombasa and Kisumu in the near future. The Wananchi Group has invited producers with local Television content to provide such content that will be broadcasted by its Satellite pay TV service. The group has engaged in what is seen as an effort to join Dstv and Smart TV in competitively luring cutomers to use their services. There are other providers in the market segment such as Star TV and My TV who are expected soon.

Television lovers and local content producers are expected to benefit from the emergence of more pay TV service providers in Kenya. The most difficult aspect will be to convince consumers and win more audience for their services. The Wananchi group is set to buy content from local producers to in a strategy to match its rival Smart TV which has presence in Nairobi area.  
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