(Quartz) Africa’s biggest media company will fight Netflix for control of the global streaming market

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(Reuters/Mike Blake)

netflixWritten by Omar Mohammed

When Naspers, the South African media conglomerate, launched its video-on-demand (VOD) service Showmax earlier this year, the assumption was this was an attempt at keeping out Netflix. The US-based streaming platform aims to expand its service globally in 2016, including in Africa’s second-largest economy.

But it seems like this was just the opening salvo for Africa’s biggest media company. Naspers is reportedly expanding its three-month-old platform beyond the continent. The aim is to go global and challenge Netflix everywhere else, too, according to a report by Bloomberg. Naspers is hoping to attract potentially 15 million subscribers in North America, Europe, and Australasia.

The company, which already owns one of the most popular pay-TV outlet in Africa, has always believed it can compete beyond the continent. “We’ve never limited our ambition to South Africa,” Bob van Dijk, the chief executive of Naspers, said in August.

Naspers’ expansion strategy will be boosted by the partnership it has reportedly agreed with Samsung to have Showmax available on its smart TVs. Samsung controls almost a third of the global smart TV market. That’s a potential audience of about 60 million people.

But the manner in which Showmax aims to distinguish itself from Netflix appears to be around offering content that has yet to be the natural purview of the American platform. While it will continue to stock shows from the likes of CBS, the BBC and Time Warner, an area of strength for Netflix, it aims to show Africa-specific content as well, according to Bloomberg.

On this point, it has a clear edge over Netflix, at least for the moment. Through its MultiChoice outlet, the pan-African pay-TV platform, the company has access to significant content from across the region. This could help it attract the sizable African diaspora to its platform, which is estimated to be about 30 million people worldwide.

In addition to that, Naspers owns a stake in a Middle Eastern VOD platform that specializes in Bollywood and Arabic content. Housing this kind of programming could attract this demographic to Showmax and once again position itself differently from Netflix.

Naspers has shown itself to be astute in playing at a global level, particularly in emerging markets. It invested early in the Chinese internet giant Tencent and the Indian platfrom Ibibo, one of the country’s largest travel companies. With Showmax, Naspers—a $65-billion business and Africa’s biggest company by market value—is making another bet at a global audience.

To compete, Netflix needs to up its game, too.

This article was published on Quartz Africa.

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warned that a delay would have caused significant disruption to the export cycle and endangered tens of thousands of jobs in Africa

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President Obama signed into law a bill reauthorising the African Growth and Opportunity Act (Agoa) for another 10 years. Since 2001, the non-reciprocal trade programme has allowed more than 6,400 items from around 40 sub-Saharan African countries to be imported into the US without duties or quotas.

The African textile and apparel sector, one of the main beneficiaries of the scheme, had urged the US government to proceed with the extension of AGOA well ahead of its expiration in September. Industry bodies warned that a delay would have caused significant disruption to the export cycle and endangered tens of thousands of jobs in Africa.

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But who is behind the push for cargo drones in Africa, why has it got the business world so excited, and how is progress on this embryonic technology panning out?

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As the evolution of mobile banking continues to disrupt the financial services sector, the founder and executive chairman of privately held telecoms conglomerate Econet Wireless Group sounded the death knell for traditional transaction banking.

“The transactional side of banking is gone,” Strive Masiyiwa tells This Is Africa on the side of a Clinton Foundation forum in Marrakech, Morocco. Read more

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Ghana’s mobile phone sector is booming. The country’s regulator NCA reported that the country’s mobile phone operators signed up some 400,000 subscribers during February, a sign that the sector is prime for a new round of promotions.

The regulator said that the total number of customers has now reached 31.03 million. Read more