Chris Dziadul Analysis: Canal+ makes waves in Hungary

Canal+ has placed itself firmly in the spotlight in Hungary, announcing an innovative offer and the sale of a key asset to 4iG, the country’s leading telco and IT group.

In the former case, and following on from recent launches in several European markets including Austria, the Czech Republic, Slovakia and the Netherlands, the Vivendi-owned company will next year introduce a service that includes linear channels, series and movies bundled in a branded Canal+ streaming app. In the latter, it has agreed to sell its Hungarian DTH operation Direct One, and potentially also its cable TV assets in the country, to 4iG for an undisclosed fee.

For 4iG, which, incidentally, will make Canal+’s new offer available to its customers in 2025, the acquisition of Direct One will provide it with an additional 150,000 subscribers and further strengthen its satellite broadcasting business. This already includes Digi, which it bought from Romania’s RCS&RDS for €625 million two years ago.

Canal+, on the other hand, has owned Direct One since 2019, when it acquired Luxembourg-based M7 Group. This, in turn, had recently acquired Liberty Global’s DTH assets, including Direct One, in Central and Eastern Europe.

Given that Canal+ has effectively been present in Hungary for five years, any headlines that say it is launching in the country are misleading. Its services are already being made available by Direct One and it will introduce a much-improved offer next year.

The real winner here appears to be 4iG, which seems to go from strength to strength both in its home market Hungary and the Western Balkans. Questions may also be asked as to whether Canal+ has plans to sell any of its other assets in the CEE region in the future. The company is heavily invested in Poland, where it has been present for three decades, and also has a strong presence in the Czech Republic, Slovakia and Romania.  

 

 

© Chris Dziadul, 2024