South Africa: Nafcoc invests in Mobile TV
Organised black business group, the National African Federated Chamber of Commerce and Industry (Nafcoc), has bought a 20% stake in Mobile TV, the television broadcasting start-up founded by Mothobi Mutloatse.
Mobile TV, which has applied for a broadcasting licence from the Independent Communications Authority of SA, plans to introduce mobile television services using Korea’s digital multimedia broadcasting (DMB) standard and intends providing the country’s first digital audio broadcasting (DAB) radio stations and “visual radio” services, which offer visuals over normal radio broadcasts.
“The new technology that Mobile TV brings into the broadcast sector will deal with the issue of lack of access to information and entertainment in the rural and deep rural areas,” says Lawrence Mavundla, chairman of the newly created investment arm of Nafcoc.
“If one considers the investment required to purchase a set-top box to decode encrypted television signals, it makes complete sense to circumvent the cost and go directly to the mobile technology that is available,” says Mavundla, who will join Mobile TV’s board.
“The business opportunities are endless and the investment decision wasn’t a hard one to make.” The value of the investment has not been disclosed.
“After 15 months of testing and a temporary licence to refine the technology, Mobile TV is ready for the next round, which includes raising capital and applying for a permanent broadcast licence,” says Mothobi Mutloatse.
“We will have a combination of aggregated content as well as introducing new channel streams under the brand TVG4U.”