The Pay-As-You-Go(PAYG) billing model advocated by Nigerians is not technically and commercially feasible, the Chief Executive Officer of MultiChoice Nigeria, owners of DSTV John Ugbe has stated. Ugbe, who spoke when he appeared before the House of Rep...
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The Pay-As-You-Go(PAYG) billing model advocated by Nigerians is not technically and commercially feasible, the Chief Executive Officer of MultiChoice Nigeria, owners of DSTV John Ugbe has stated. Ugbe, who spoke when he appeared before the House of Representatives Ad Hoc Committee investigating the non-implementation of PAYG subscription model by satellite television operators, said the company does not have the technology to offer pay as you go at the moment.
He explained that Pay-Per-View (PPV) is often confused with PAYG, adding that the PAYG model used in the telecommunications sector is not the right fit for pay television. According to him, PAYG in telecommunications, is a metered service that ensures consumers are billed only for the service they consume and not for a fixed period.
He argued that Pay- As-You-Go is possible in telecommunication sector because it relies on a two-way communication system, which enables operators to determine when a consumer is connected, the service consumed and duration of connection.
He maintained satellite broadcasters, unlike telecommunications firms, cannot offer pay television services because satellite broadcasting is a one-way system and does not enable broadcasters to determine when a subscriber is connected and/or watching or what channel is being viewed.
He said: “It is only in instances where there is a two-way communication between the device at the subscriber’s home and the headend of the pay-tv service provider, which will enable the provider to determine when a subscriber is connected or not, that a billing system could be designed to take into cognizance the subscriber’s behaviour”.
He said the Pay- As-You- Go can only be feasible if there is a total and global remodelling of the satellite broadcasting technical and billing architecture, adding the result will be that consumers will have to much higher tariffs to access the service.