Chinese pay-TV operator StarTimes is refusing to comply with South Africa’s communications regulator, Icasa, which has ordered the shutdown of its StarSat platform.
The controversy began when StarSat’s parent company, On Digital Media (ODM), failed to renew its broadcasting license by the July 2023 deadline. Although ODM submitted a renewal application in November, Icasa deemed it too late, despite having issued several reminders regarding the deadline.
ODM attributed its late submission to challenges in securing new investments and the financial repercussions of the COVID-19 pandemic.
The company sought assistance from Icasa but claimed they did not receive the necessary support. While the regulator lacks the authority to renew an expired license, they have allowed ODM until September 2024 to wind down operations and ensure customer care.
Despite this directive, StarSat has no immediate plans to cease operations. ODM’s CEO, Debbie Wu, stated that they are actively engaging with Icasa and exploring all legal avenues to continue providing services.
StarSat, which was originally launched as Top TV in 2010, has struggled to compete against MultiChoice’s DStv, even entering business rescue just two years after its debut. During this challenging period, StarTimes acquired a 20% stake in ODM.
Over the years, StarSat has faced various financial challenges, including a rebranding in 2013. While it emerged from business rescue in 2016, the company has continued to grapple with subscriber retention and channel lineup maintenance. Icasa’s recent decision could pose another setback for StarSat, but for now, the platform remains resolute in its operations.