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White-owned media companies still call the shots - report

31 Jul 2009 08:2821 commentsBizLike
Fifteen years after the dawn of democracy in South Africa, the ownership and control of print media is still largely concentrated in the hands of the white-owned ‘Fantastic Four', Naspers (through Media24), Caxton, Avusa and foreign-owned Independent Newspapers, claims a report released yesterday, Thursday 30 July 2009, by the Media Development and Diversity Agency (MDDA).
This situation is claimed to exist in spite of various interventions by the state through promotion of transformation processes and the Black Economic Empowerment (BEE).

“This research shows that the print media landscape in the post 1994 South Africa has not transformed much in terms of ownership and control,” the 150-page report, titled Trends of Ownership and Control of Media in South Africa and launched in Parktown, Johannesburg, said.

“This report serves as a baseline, which will assist the industry and interested parties in researching what changes take place in the future,” MDDA CEO Lumko Mtimde said.

“The main objectives of the research were, among others, to take stock of the number of print and broadcast media in the country on a national, provincial and district municipality basis and to assess the extent to which the previously disadvantaged communities are taking ownership and control,” Mtimde added.

SABC dominates radio waves, TV

The MDDA commissioned Z-Coms to conduct the study, which culminated in the report. The study found that the SABC, with its 18 public radio stations, still dominates the radio industry, accounting for 41.6% of the total audiences in the country. The report also said that there are currently 126 community radio stations in SA, of which 87 stations are on-air, according to figures taken from the Independent Communications Authority of South Africa (ICASA).

Community radio accounts for 4.6% of total radio audience, the report said, citing AMPS data.

Others findings include the current number of TV households in SA (11.1 million), with the government-controlled SABC accounting for 69.3% of total viewership thanks to its three public terrestrial channels, well ahead of e.tv - the only private-owned free-to-air station - which represents 22.3% of the viewing audience.

Another white-owned media company, MultiChoice, still ‘colonises' the pay-TV space through DStv, with its subscription currently standing at around 1.61 million and M-Net around 128 000, in the first quarter of 2009.

White ownership to fuel ‘heated debate'?

Furthermore, the report said there are currently three licensed community TV stations operating in SA, namely the popular Soweto TV (Johannesburg-Gauteng), Cape Town TV and Trinity Broadcasting Network (TBN) in the Eastern Cape.

Other community TV stations, Bay TV (Empangeni and Richards Bay in Kwazulu-Natal) and Tshwane TV (Pretoria area) are licensed but are not on-air yet.

While the shocking findings into the ownership and control of media by the ‘Big Four' will likely steer a heated and frustrating debate in the corridors of Luthuli House (headquarters of ruling ANC), many observers will nevertheless take a swipe at the ANC-led government for ‘not doing enough' to enhance the diversity and development of media in SA due to its ‘mediocre' funding of community media.

The government-owned MDDA continues to struggle to fulfil its ‘heavy' mandate, due to lack of adequate funding. In the current financial year, the MDDA could only manage to fund 239 media projects and award bursaries worth R77 million, according to board chairperson Gugu Msibi - well short of its target of R150 million worth of applications it receives every year.

Visit www.mdda.org.za to get the full report.
 
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About Issa Sikiti da Silva

Issa Sikiti da Silva is a winner of the 2010 SADC Media Awards (print category). He freelances for various media outlets, local and foreign, and has travelled extensively across Africa. His work has been published both in French and English. He used to contribute to Bizcommunity.com as a senior news writer.View profile and articles...
What is shocking about well run, competant, non corrupt companies being successful.-
Oh grief, here we go again. The wicked colonialists are taking advantage of us. Any well run, uncorrupt companies will be dominant. When will that message sink in. In Zambia - 40 years into independance, there is none of this black/white nonsense. It is all about what can you do, when can you do it and at what cost? South Africa really needs to get past all this pathetic drivel and realise that it is about ability and competance - not the colour of your skin. Posted on 31 Jul 2009 09:08
When will this end!-
Articles of this nature are so frustrating! At what point in time will South Africa start running and evaluating industries and companies on merit. Posted on 31 Jul 2009 10:54
Concerned media Black Talent
LONG WALK TO FREEDON!!!!-
I guess there is still a long walk to freedom for BLACKS in the media industry. It will take some time because a lot of this companies are owned by white people who do not want to give black an opportunity. Black people are trying very hard to get in the media industry but they are not given a chance. WHEN WILL THIS LAST????? Apartheid my DIE Posted on 31 Jul 2009 11:49
Unfazed Black Dude!!!
Resources can buy anything!!-
Well its not a case of being competent or not - with the right budget and trust in your abilities (a lot can be achieved). Recently we saw a Coke soccer Ad (or series of them), being directed by an amateur film student - it was quite impressive. These companies have all resources needed to spearhead any campaign. They manage multimillion rand bugets, and are equipped to the T. If so many companies want to bank on them - surely they must be doing something right. Posted on 31 Jul 2009 12:48
Malcolm
To Concerned media Black Talent-
When you learn to spell you can own your own media house.
Get that step right first then the rest will fall into place regardless of your colour. Posted on 31 Jul 2009 13:27
Puza
Research-
Did it have to take an inquiry or research to reach this obvious conclusion? Don't waste time and money man, just do your jobs properly! SA media, except the SABC, is fully white owned. That is fact. "What's wrong with that?" someone asked. By asking you clearly show yourself to be regressive in your thinking. Don't you see how much this country can grow by empowering and developing black assets? Don't you realise how much more buying power can be tapped into by helping these folks get their money on? Isn't it apparent that if the majority benefits then crime will diminish, that more money will be spent/ received, that everyone will ultimately gain? Posted on 31 Jul 2009 13:39
Why do black people believe that white people must give them everything?-
Instead of whining and continually complaining, get off your backsides and create a media of your own. Whities took the risk, so should you, without expecting it all to be handed to you on a plate. And the calibre of stupid responses to my opening reponse to this racist article confirm what I say. Posted on 31 Jul 2009 14:04
Why do black people believe that white people must give them everything?-
Instead of whining and continually complaining, get off your backsides and create a media of your own. Whities took the risk, so should you, without expecting it all to be handed to you on a plate. And the calibre of stupid responses, inability to construct a basic arguement or spell properly confirm what I said in my opening response to this racist report. Posted on 31 Jul 2009 14:06
Alan
Who is calling the shots?-
“Shocking findings” what actually came as a shock? That the print media is dominated by “white” companies or that the broadcast media is dominated by the government controlled SABC?
To quote from the text “pointed out that the SABC, with its 18 public radio stations, still dominates the radio industry” and “government controlled SABC accounting for 69.3% of total viewership”.
Please explain how this equates into “white owned media companies still call the shots” if you have a problem with the print industry then say so, from what I can see from this report State owned and managed media still call the shots. Posted on 31 Jul 2009 14:18
Black Publisher
This is true-
It is indeed true that White-owned media still call the shots. what makes it worse is that there are also still very many large white owed companies who look down upon black owned media houses to an extent that they will not advertise in black owned publications. At one time I personally was told by an agency rep of a big retailer that they would rather go with ...... naming one of the big four.
It is unfortunate that articles like this one by Sikiti alone will not address this huge problem. We need a convention of black owned media houses or a conference that will make some really loud noise. we need this quite urgently.
I actually withdrew my application for funds with MDDA because some of the big four are the ones who fund MDDA and they sit on the board - it seemed like just going to a bank again - mockery and a waste of time. Posted on 31 Jul 2009 16:22
Black Dude Frm Fantastic Four
Stop Spreading The Funding-
Instead of giving funding to many black companies instead concentrate on few so that the backing is sizeable and can sustain this new entities. In that way they will have a better chance of reducing the dominant four and the radarless SABC. We must stop following and thinking everything white is better and therefore we must have a piece of it. I sense a bit of colonised thinking when people level themselves with a particular nation as a barometer. Yes whites had the unfair advantage but they don't necessarily have the monopoly on innovative thinking. Blacks are big in numbers in this country and getting better income - this is a market of the future. So black brothers and sisters put your forward thinking caps, do the maths and start building. The content churned out by the so called big four is predominantly skewed to white audiences. Start building your own publishing empires that will fill the space within our black communities and package it the way the consumer will relish it not according to the white man's taste. Remove roadblocks in your heads and transcend the white way thinking. They are in business so stop complaining and start yours. Amen Posted on 31 Jul 2009 16:22
Media 24 were handing out shares to non-whites.-
I would also love to buy shares, when was it about two years ago when they were selling shares to people of colour only, stop frikking complaining we are also feeling the pinch you idiots. Posted on 31 Jul 2009 17:15
Gorgeous. George
We Will Get There ...-
The difference between black and white people is that ... white people have been doing this for years - we [as blacks] have been only doing it for 15 years ... so it will take time, for us own media. The sad part is that most successful black publications are not owned by blacks - there ones that were black owned have all shut down, blick, tribute etc ... im just saying ... Posted on 2 Aug 2009 04:42
wolf
Listed shares-
If transformation's the issue here, it's a better benchmark to ask what proportion of the SA media is owned by white South Africans. Between BEE structures, international fund managers and international media businesses investing here, white South Africans' participation in the media is no longer a majority (I presume nobody's going to hold a white Irishman accountable for appartheid).

Each of the four heavyweights mentioned in the article are listed companies. If you want to own part of them quickly go online and buy shares. Posted on 3 Aug 2009 09:18
Leon
Failed states-
At the end of the day SA will become just another failed state, like the majority of African states. Nothing can stop it and anyone who believes otherwise, lives in a fool's paradise. Why? Because in Africa grassroots vote grassroots to power, and grassroots still battle with the very concept of the state. Remember, the modern state is, like almost everyting else, an European invention...and Africans battle to understand it. They are trapped, because they must live in this European world (it's the only world there is), but they are not equipped to handle it. Shame. Posted on 3 Aug 2009 10:34
Nomsa
To anonymous "Why do blacks want whites to give them everything?"-
Firstly, English is not our mother tongue. So excuse us if the calibre of comments (spelt caliber) is not up to the standards of a mother tongue English speaker who cannot even spell argument and uses grammatically incorrect phrasing such as “a media” to illustrate his point. So, on the caliber of the comments – enough said.

Secondly – please think very carefully before you respond on public forums with knee jerk, defensive and reactionary retorts. In what political and economic environment did the ‘whities’ take the risks? Were blacks given the opportunity to compete with whites and take those same risks until 15 years ago? What chance do new, challenger, black media companies have against established ‘white’ owned media companies built on the back of black oppression.

Grow up.

Oh, and if the ‘calibre’ of my comment leaves a lot to be desired, blame it on Bantu education – what’s your excuse???? Posted on 3 Aug 2009 14:02
Nomsa Again
To all the respondents who use merit and competence as a crutch for their argument-
Please listen to what you are saying! I beg you, ndiyanicela! Based on merit and competence, in a country with a 73% black population, the white population controls the media industry of South Africa? Does this mean the white population is naturally more competent than the black population? Leon does this mean that any state run by black Africans is bound to fail? Are you even thinking as you write this racist rhetoric?

The comments on this page are disheartening for a young black professional to say the least. And then you wonder why liberation politics continue to dictate how black South African’s vote.

Change in this country is only going to happen when white South African’s wake up to the fact that there is something fundamentally, wrong and inherently evil with the status quo. Posted on 3 Aug 2009 14:15
Leon
Dear Nomsa-
Dear Nomsa, do you disagree that the majority of African states failed or are failing? Do you disagree that in Africa, grassroot vote grassroots to power? Do you disagree that the modern European state is still the major actor in the international political system? And, do you disagree that Africans are still battling with the very concept of this state? Why play the race card then? Facts are not about race, facts are simply, facts. Posted on 4 Aug 2009 14:19
Dear Nomsa-
Shame you just don't get it. Using the race card yet again just shows you up. Get over this continual crap and grow up. Posted on 5 Aug 2009 15:17
belowspeed
@ Leon-
The most common exposure the rest of the motherland receives is that of famine, disease and civil war. These things do occur on the continent, but can hardly be described as the sum of African culture.

Post-colonial realignment is a much more complex process than you think. Posted on 5 Aug 2009 16:48
Dear @Leon-
Maybe the perception of Africa is created by Africans? How about doing something to change that perception? Africa just keeps blaming everything on the past instead of taking care of the present. Instead of revoting corrupt and incompetant leaders back into power, how about doing something constructive? It is up to Africa and Africans to stop complaining and do something constructive. And take responsibility. Posted on 6 Aug 2009 09:13
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