In a significant legal win for MultiChoice Nigeria—the media giant behind DStv and GOtv—the Federal High Court in Abuja has dismissed a lawsuit brought by the company against the Federal Competition and Consumer Protection Commission (FCCPC) over regulatory interference in its recent subscription price increase.
Justice James Omotosho, who presided over the case, ruled that the suit constituted an abuse of court process, citing similar legal proceedings already underway in other jurisdictions. However, his judgment went further, offering clarity on the extent of the FCCPC’s regulatory powers and drawing a sharp line between oversight and overreach.
While affirming that the FCCPC has the statutory authority to investigate and monitor market practices under its establishing Act, Justice Omotosho noted that the commission has no constitutional power to fix, suspend, or dictate pricing structures unless expressly authorized by the President of Nigeria through a gazetted directive.
“The power to fix or control prices lies solely with the President, and it must be executed through a formal delegation of authority,” the judge declared. “Absent such a directive, any attempt by the FCCPC to impose pricing decisions is legally null and void.”
He emphasized Nigeria’s adherence to a free-market economy, where private service providers are at liberty to set their own pricing strategies, and consumers retain the right to accept or decline the offerings. The judge further ruled that the FCCPC's directive to halt MultiChoice’s planned price hike infringed upon the company's right to a fair hearing and smacked of discriminatory enforcement.
The court also dismissed the FCCPC's argument that MultiChoice operates as a market-dominant entity. Justice Omotosho countered that the use of Pay TV services in Nigeria is non-essential and optional, meaning consumers have a choice—and alternatives.
“No one is compelled to use MultiChoice services,” he remarked pointedly. “This isn’t an essential service. Nigeria will continue to function just fine without it.”
The judgment also raised a red flag regarding the broader implications of regulatory interference, warning that unchecked price control mandates could scare off foreign investors and stifle the competitive spirit of Nigeria’s digital and media economy.
MultiChoice had earlier raised its subscription rates by as much as 25% on March 1, 2025, attributing the increase to surging inflation, rising content acquisition costs, and mounting operational expenses. The FCCPC quickly opposed the move, calling for a review and threatening sanctions, which ultimately triggered the legal showdown.
Tuesday’s ruling not only clears the path for MultiChoice’s revised pricing to stand, but also serves as a landmark interpretation of regulatory boundaries in Nigeria’s consumer and competition law framework.
As Nigerians continue to debate the rising cost of digital services, this verdict sets a precedent likely to shape the dynamics between regulators and private sector players for years to come.