The Federal High Court in Abuja has dismissed MultiChoice Nigeria Limited’s request to uphold its recent price increases for DStv and GOtv subscription packages, delivering a significant victory to the Federal Competition and Consumer Protection Commission (FCCPC) and Nigerian consumers. Justice James Omotosho, in a ruling on Wednesday, May 7, 2025, rejected MultiChoice’s application, affirming the FCCPC’s authority to investigate potential anti-competitive practices and market dominance in the pay-TV sector.
The decision, which follows months of legal battles, has sparked widespread reactions across Nigeria, with consumer advocacy groups hailing it as a step toward protecting subscribers from exploitative pricing.
Background of the dispute
The legal battle stems from MultiChoice Nigeria’s announcement in February 2025 of a price hike across its DStv and GOtv packages, set to take effect on March 1, 2025. The company, a dominant player in Nigeria’s pay-TV market, cited rising operational costs, inflation, and currency depreciation as reasons for the adjustments.
Under the proposed pricing structure, the DStv Premium package was to increase from N37,000 to N44,500 (a 20% rise), while the Compact bouquet would rise from N15,700 to N19,000 (a 25% increment). GOtv subscribers were also affected, with the Supa Plus package increasing from N15,700 to N16,800, among other adjustments.
The announcement triggered immediate backlash from Nigerian subscribers, who expressed frustration over the frequency of price hikes. MultiChoice had implemented increases in May and November 2023 and again in May 2024. Consumer advocacy groups, including Save the Consumers, criticised the move as “exploitative” and “insensitive”, particularly in light of Nigeria’s economic challenges, including inflation rates exceeding 30% and significant naira depreciation.
The group also highlighted MultiChoice’s contrasting pricing strategy in South Africa, where it reduced subscription fees by 38% during the same period, accusing the company of treating Nigerian consumers as “second-class subscribers”.
In response, the FCCPC summoned MultiChoice’s leadership to an investigative hearing on February 27, 2025, to justify the price adjustments. The commission raised concerns over potential abuse of market dominance, anti-competitive behaviour, and frequent price hikes that appeared to disregard consumer welfare. When MultiChoice proceeded with the increases despite the FCCPC’s directive to suspend them, the commission filed a lawsuit in a Lagos High Court, alleging violations of regulatory directives and obstruction of its inquiry.
MultiChoice’s legal manoeuvre
MultiChoice, represented by Moyosore J. Onibanjo SAN, sought judicial protection through an ex parte motion filed under case number FHC/ABJ/CS/379/2025. The company argued that Nigeria operates a free-market economy where prices are not regulated and that the FCCPC lacked the authority to control pricing or require prior approval for price adjustments.
Onibanjo further contended that MultiChoice had notified the FCCPC of its plans in a letter dated February 21, 2025, and that the commission’s concerns about excessive pricing were an “afterthought”. He emphasised that only presidential approval could authorise price regulation, a mandate the FCCPC did not possess.
In an affidavit deposed by Gozie Onumonu, MultiChoice’s Head of Regulatory Affairs, the company claimed its Nigerian subscription rates were the most competitive globally, with the Premium package costing $29.81 in Nigeria compared to $85.11 in Kenya. The affidavit also argued that MultiChoice’s price adjustments were necessary to sustain its operations amid economic pressures. On March 12, 2025, Justice Omotosho granted an interim injunction restraining the FCCPC from taking administrative actions against MultiChoice pending the resolution of the case.
Meanwhile, during the final hearing, FCCPC’s counsel, Prof. Joe Agbugu, countered MultiChoice’s arguments, clarifying that the commission’s actions were not about price regulation but about preventing potential abuse of market dominance, a core mandate under the FCCPC Act. Agbugu noted that MultiChoice’s notification of the price hike on February 25, 2025, acknowledged the FCCPC’s supervisory role, yet the company failed to comply with requests for further investigation. He urged the court to dismiss MultiChoice’s application, arguing that the commission had the authority to impose an “authorised price” on dominant players to protect consumers.
Justice Omotosho, in his ruling on May 8, 2025, dismissed MultiChoice’s request, finding that the FCCPC’s actions were within its regulatory powers. The court held that MultiChoice’s price increases, implemented despite ongoing investigations, raised legitimate concerns about market dominance and consumer exploitation. The judge emphasised that while Nigeria operates a free-market economy, regulatory bodies like the FCCPC are empowered to intervene when businesses engage in practices that harm consumers or stifle competition. The court also lifted the interim injunction, allowing the FCCPC to proceed with its investigation and potential sanctions.
The ruling has been met with widespread approval from consumer groups and subscribers. Dr Aliyu Ilias, Executive Director of Save the Consumers, described the decision as “a triumph for Nigerian consumers who have long been subjected to MultiChoice’s exploitative practices.” He called for the National Broadcasting Commission (NBC) to foster greater competition in the pay-TV sector to prevent future price hikes. Social media platforms, including X, buzzed with reactions, with users expressing relief and urging alternative providers to challenge MultiChoice’s dominance.
However, some industry analysts argue that MultiChoice faces genuine economic challenges, including currency depreciation and rising costs of acquiring international programming in U.S. dollars. They warn that without reasonable price adjustments, the company’s ability to deliver quality content could be compromised. MultiChoice has not yet announced whether it will appeal the ruling or adjust its pricing strategy in response.
The FCCPC, in a statement, welcomed the court’s decision, reaffirming its commitment to protecting consumers from unfair practices. The commission indicated that its investigation into MultiChoice’s pricing and operations would continue, with potential penalties looming if violations are confirmed.
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