According to a Bloomberg report, South Africa’s telecommunication provider Telkom SA SOC Ltd has discontinued Netflix from its phone and internet set-top box.
Telkom’s Content Executive, Wanda Mkhize, said that the partnership between the two firms would not be renewed but did not provide any further details.
Netflix has been identifying growth opportunities across Africa over the last few years in the hope of growing its subscriber base. It’s not clear whether it plans to go for a different route for its consumers in South Africa now that its relationship with Telkom has ended.
Last month, the company announced a free plan to attract new subscribers for Android mobile phones users in Kenya. Access to about one-quarter of its TV shows and movies was given under this offer.
Netflix, in an attempt to win and retain subscribers across Africa, features content produced in various markets across the continent like South Africa’s “Queen Sono,” Kenya’s “Sincerely Daisy,” and Nigeria’s “Two weeks in Lagos.”
Netflix is looking to tap 303 million people connected to mobile internet, according to the GSMA mobile economy report. People connected to mobile internet is expected to grow to around 40% of this population by 2025, which offers a bigger market for businesses like Netflix.
Netflix still has another partner in the country. MultiChoice Group Limited who are the continent’s largest pay-TV provider. After signing deals with them in the middle of last year, they offer Netflix and Amazon services as part of their paid video services. This move aims to retain MultiChoice’s subscriber base, creating more moat around its budget streaming service, Showmax, introduced in 2015.