Canal+ has made a big early decision as the new owner of MultiChoice by axing loss-making streamer Showmax.
The decision follows a “comprehensive” review into Showmax, which has carved out a reputation for high-end original series such as Spinners, Catch Me a Killer and Khaki Fever, which found “substantial annual losses at the subscription streamer.
Canal+ took over Showmax parent MultiChoice in a $2B deal last September, vowing to “double down” on big local hits such as Spinners and Shaka iLembe at the same time.
Canal+ had noted upon closure of the deal that it would make a decision over the future of Showmax in coming weeks or months.
Per Canal+ this morning, the decision to shutter Showmax was made by the streamer’s board and reflects a focus on “financial discipline and investment optimisation, in an increasingly competitive and capital-intensive global streaming environment.”
“The substantial annual losses experienced by the Showmax business have proved unsustainable,” added the France-based multinational in a statement. “The decision to phase out Showmax reflects our focus on building a sustainable, competitive business for the long term in an increasingly demanding global streaming environment.”
Canal+ added: “The decision to discontinue Showmax services will not involve any retrenchments. The Group will be engaging and supporting employees through various transition options.” This appears to suggest there will be no redundancies and we have reached out to Canal+ for clarity.
The plan is now to focus on MultiChoice’s streaming services. “Canal+ will continue to invest in premium content for MultiChoice subscribers, technological innovation and strategic partnerships to consolidate its leadership in the African entertainment market,” the company said.
No detail on when the service will shutter, or what an “expanded content offering and platform upgrades” entail, with more details to be shared later down the line.
Showmax had operated in its current form since February 2024, when it relaunched with the technological backing of Comcast, which had taken a 30% stake in the business.
Our sister publication Variety was first with news of the closure.
