Nigeria Sees 35% Increase In Use Of Satellite Television - Sundiata Tech

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Tuesday, May 1, 2018

Nigeria Sees 35% Increase In Use Of Satellite Television

Nigeria has seen a significant 35 percent increase in the use of satellite TV from 2015 to 2017, this is according to Satellite Monitor, a market study commissioned by SES.

The survey which provides insights on the broadcasting industry shows that there are a total of 35 million TV homes in Nigeria, of which close to 10 million are served by satellite, and the rest are served by terrestrial networks.

In the report, penetration of digital TV has expanded to 25 million homes receiving digital TV signals, which represents 35 percent growth compared to 2015.

The growth in use of satellite can be attributed to a number of factors including the fact that SES, a leading satellite operator, which has IPSOS as its partner in Nigeria, has significantly increased its technical reach in Nigeria to over 11 million TV homes in 2017, up from 3 million in 2015.

The Satellite Monitor survey results also reveal that SES now reaches over 11 million TV homes, of which 3.5 million are directly served by its satellite fleet – a twofold increase compared to 2015. This means SES now directly serves 37 percent of satellite TV homes in Nigeria. Digital Terrestrial Television (DTT) homes fed indirectly by SES also contributed to the increased reach.

However, digital switchover for terrestrial TV is still lagging, as 40 percent remains analog.

Presenting facts from the recently released report to select ICT journalists in Lagos, Ricardo Topham, senior market and business analyst, SES, said, “terrestrial TV in Nigeria has a long way to go to be fully digital.

“Out of 25.1 million terrestrial TV homes in Nigeria, 10.1 million (40 percent) of them are analog while 15 million (60 percent) are digital,) Topham said.

Paul Freeman, Vice President at SES marketing told BusinessDay that there is still a long way to go on a couple of things in Nigeria’s TV market, including the fact that the market still has more than 10 million homes to convert to digital. However, he said that this is happening very rapidly.

“With the increased availability of data service, we will see more IPTV in the market but data is still quite expensive. To have enough data to run TV on handheld devices all the time is very expensive, so satellite free to air television and pay TV is actually much cheaper by comparison and you can get local and international content available, Freeman said.

Explaining the reason behind the less than one percent cable TV access in Nigeria’s residential market, Freeman told BusinessDay that tapping/dubbing of cable TV channels from the few paid subscribers in very common in many markets in Africa.

“As digital satellite TV becomes more prevalent; we expect this trend of passing wires to tap cable TV channels from neighbors to reduce. The SuperSport content on DSTV tends to be more pirated and this is the reason for the loess than 1 percent cable TV subscription in the survey results,” Freeman said.

The prime orbital position at 28.2 degrees East was a key driver for the growth of SES’s direct reach, with three million TV homes directly served via this orbital slot, up from 1.3 million in 2015. This video position hosts SES’s premium free-to-air TV platform for Nigeria, giving broadcasters access to the highest technical reach in West Africa. The growth of SES’s reach was also driven by direct satellite broadcasting and feeding DTT head-ends via 5 degrees East.

“SES has been committed to driving the growth of digital TV in Nigeria for many years, and local partners in the country appreciate the Satellite Monitor study as a token of our commitment,” said Clint Brown, Vice President, Sales & Market Development for Africa, SES Video. “We are particularly excited by our growing technical reach at 28.2 degrees East, which broadcasters and content programmers will be able to leverage to increase their audience via our Nigerian TV platform. In addition, the results show that the hybrid DTH/DTT approach is the winning strategy to deliver TV entertainment to the highest number of TV homes.”

SES has also expanded its reach to 30 million TV homes across Africa. In addition to the growth of homes reached in Nigeria, the study also shows that there was an increase from 2 million to 4 million homes reached in Ghana. Ethiopia, Uganda and Tanzania – which are being included in the Satellite Monitor for the first year – account for an additional 7 million homes reached by SES.

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