The closure of local streaming channel Showmax is likely to reverberate across the African film and television industry, sparking concerns over dwindling storytelling platforms and the future of productions across the continent, where Showmax operates in 44 markets.
This closure comes a couple of years after MultiChoice relaunched Showmax, partnering with Comcast’s NBC to broadcast content from Universal Pictures, HBO and Sky, aiming to compete with Netflix and other global giants entering the continent.
CANAL+ and MultiChoice announced the decision to shut the platform on Thursday, citing financial losses.
In its annual results for the year ending March 2025, MultiChoice experienced what it called unprecedented headwinds, with Showmax accounting for R4,9-billion in trading losses, up from the R2.6-billion in losses recorded in the previous financial year.
Although the media giant has re-emphasised its support for African productions, the South African Guild of Actors cautiously expressed that only time would tell. Saga chairperson Jack Devnarain told Sunday World they had noted with interest the closure of Showmax.
He said they would be keeping tabs on developments and the likely impact on the television and film industry.
“From Saga, we are viewing this with interest… We knew that they were not coming here bearing gifts. There is no entertainment platform from the global front bearing gifts for Africa. We are starting to see now what the deal means as they find a foothold in South Africa and South African subscribers. We are starting to see that there is a gradual but pronounced erosion of South African identity that has been presented to South African subscribers,” said Devnarain.
French global conglomerate CANAL+, which took over MultiChoice last year in a $2-billion deal, said this move reflects its focus on building a sustainable, competitive business for the long term. Although the company promised to continue investing in premium content for MultiChoice subscribers, there are concerns that this latest decision might negatively affect an industry already beset by challenges.
“This is not alarming to us, as MultiChoice knew the type of deal entered with CANAL+. We mustn’t fool ourselves that CANAL+ has any interests in protecting the values of South African audiences,” said Devnarain.
“We knew from the start that this was an entirely commercial decision and that South African subscribers are going to be taken on a long ride that is all about the profitability as opposed to carrying what South Africans like. We consider concerns of South African creators to be important, and we have to be concerned as creators create job opportunities for South African actors,” he said.
However, the company was quick to point out that the discontinuation of Showmax would not affect jobs, in line with a three-year job preservation clause set out by the Competition Commission in its conditional approval of the deal.
CANAL+ spokesperson Elvire Charbonnel said the decision of the board to can the streaming subscription service reflects the continued focus of CANAL+ and MultiChoice on financial discipline and investment optimisation in an increasingly competitive and
capital-intensive global streaming environment.
“The substantial annual losses experienced by the Showmax business have proved unsustainable. We have informed our subscribers and will make further announcements in due course. But we want to reassure our subscribers and partners that production projects remain one of our priorities.
“The decision to discontinue Showmax services will not involve any retrenchments. The group will be engaging and supporting employees through various transition options,” said Charbonnel.
