Showmax to Close: Industry Expert Weighs in on what this means for the streaming landscape

Following the news that MultiChoice will shut down Showmax in South Africa. The announcement marks the end of one of Africa’s most ambitious streaming experiments and signals a broader strategic change within the media giant’s digital operations.

Launched in 2015, Showmax was developed by MultiChoice as a homegrown streaming platform designed to compete with global services like Netflix, Amazon, and Disney. Over the past decade, it became known for its strong lineup of African content and locally produced originals, helping to bring South African and regional stories to audiences across the continent.

Leslie Adams, Sales Director at Reach Africa (a leading connected TV (CTV) and streaming specialist), weighs in, “The streaming industry globally is moving out of its ‘growth at all costs’ phase, which saw it prioritize subscriber count, and into a period where sustainable economics and scale matter far more. Content costs continue to rise, from premium series to sports rights, which makes it increasingly difficult for platforms to compete without significant scale. As a result, consolidation across the sector is inevitable, and we’re likely to see more moves like these. At the same time, we’re also seeing more bundling, aggregation, and advertising-supported models emerge as platforms search for new revenue streams. For viewers, this likely means fewer standalone services but stronger platforms, more bundled offerings, and a growing mix of subscription and ad-supported viewing options.”

Industry analysts suggest that the closure reflects a broader effort to streamline operations and focus on more sustainable digital offerings in an increasingly competitive streaming market:

• Streaming moves from growth to profitability: The early streaming era prioritized rapid subscriber growth, often at a loss. The industry is now shifting toward sustainable economics, where scale and viable business models matter more than pure market share.
• Escalating content costs: Competing in streaming requires an increasingly large investment in premium content, from original series to sports rights, making it difficult for smaller platforms to keep pace.
• Consolidation becomes inevitable: As the market matures, fewer standalone services are likely to survive, with scale increasingly determining which platforms succeed.
• What this means for viewers: Audiences may see fewer services but stronger platforms, more bundled offerings, and a growing number of lower-cost or ad-supported viewing options.

For now, Showmax subscribers will still be able to access the platform while the service is gradually phased out. MultiChoice has not yet provided full details about timelines, migration options, or whether content will move to other platforms within its ecosystem.

The next phase could involve new partnerships, platform consolidation, or expanded digital offerings designed to reach audiences across the continent.