Business
Video on Demand services present a major opportunity for African telecoms operators and investors in Africa
The arrival of LTE (long-term evolution, marketed as 4G LTE) in many African markets, will provide Video on Demand service providers with increased opportunities, and the number of people streaming content from the large African cities will significantly increase over the next 5 years.
The Video on Demand market in Africa is already quite competitive. There are at least 6 home-grown platforms: AfricaFilms.tv, MeTVAfrica; Wabona; Buni TV; iROKO and DStv Box Office. More are promising to enter the market. International brands like iTunes, Deezer and Spotify have begun to arrive and although these are largely music driven, they represent a new level of interest in the continent. Clearly not everyone is going survive even if the market grows quickly.
So it is smart strategic move that two of these platforms – Buni TV and www.AfricaFilms.tv, have announced that they had entered into a content acquisition partnership. This partnership represents the first consolidation in this dynamic market.
“Our objective is to generate extra revenues for African producers. We have observed that there is now a very promising new generation of African film makers, producing fast, pushing up new talent with high standards. 2012 was for example an excellent year for Senegalese filmakers; Africa is big, the diaspora is complex and it is hard to compete in the Video on Demand space both on the sourcing and distribution sides,” says Enrico Chiesa of AfricaFilms.tv
The deal gives birth to the first African Video On Demand solution to bridge East and West, English and French-speaking Africa. The two platforms will share their catalogs to target both the continental and diaspora audiences, but will continue to operate under their own brands.
“Our partnership opens an unprecedented monetization avenue for African and Caribbean filmmakers,” according to Chiesa. “By working together, AfricaFilms.tv and Buni TV will be able to distribute their content throughout Africa – from Dakar to Nairobi – and the entire diaspora. It’s a “sign once, be seen everywhere” plan, with no middlemen taking their cut.
Kenya-based Buni TV, which recorded an impressive debut with 300,000 unique visitors and more than a million views in just a few months, brings to the table its expertise of reaching African viewers through mobile devices.
AfricaFilms.tv, out of Dakar, Senegal, focused its efforts so far mainly on diaspora audiences. Historically the first African Video on Demand web-platform, it boasts a catalogue of about 1,000 premium titles and hours with a robust tracking and anti-fraud encryption system that won high marks from rights owners for its transparency.
The two African platforms also have a strong presence in Western markets, with Buni TV keeping offices in Los Angeles and AfricaFilms.tv in Paris. The newly formed alliance has extended its reach to New York, London and Barcelona.
“AfricaFilms.tv and Buni TV share a deep commitment to bringing the best African content to African audiences, wherever they may be and however they may want to consume it,” said Buni TV CEO Marie Lora Mungai. “Our strengths are very complementary, and may well lead to future synergies in technology and marketing.
Source: Balancing Act Africa