They call it the domino effect, and now we’re seeing it in action as Eskom’s price increases (and the rand’s plummeting value) see a number of other services pluck a few extra rand from our pocket.

We’ll focus on DStv here, that bouquet of channels that is about 90% absolute garbage. Seriously, what actually goes on between the end of the sports channels and the beginning of the news ones?

Anyway let’s look at what DStv will be charging from April 1 of this year:

Here’s Duncan McLeod, editor of TechCentral, talking to EWN about why DStv have ramped up prices:

“A lot of DStv’s content is based overseas so it buys it in dollars and euros. Its operating costs have increased substantially over the past year so it’s seeking to pass on some of those increases in subscription fees in the various bouquets it offers.”

Asked if the satellite service isn’t taking a risk by increasing prices, McLeod conceded that it’s risky.

“For the first time South Africans have the option of pay per view. For example there was the launch of Netflix at the beginning of the year. We have other local services which are priced in the region of R99, Showmax which is owned by Naspers, is also a streaming service which is doing well.”

So why do DStv think they have us by the short and curlies? Well it’s pretty obvious really, they show more live sport than almost any other broadcaster in the world. Here’s McLeod again:

“If you want access to sports you have no option but to fork out. The people at the top of the market will pay this fee to get access to sports and entertainment but later there will be pressure felt by the people who are on compact with an 8,2 percent increase.“

Following the announcement of the price increase Twitter turned snarky:

Here’s a thought – you can actually stream sport online, and someone once told me there are sites on the internet where you can download movies and series for free.

Or, you know, just keep on forking out all that cash for the same old movies and a few episodes of The Voice SA.

[source:ewn]