The long term benefits of a secure system outweights the once off small cost that is saved on the stb.Dvb-t2 boxes are selling for $40-$45 in many African countries,
with encryption.Now dstv also argue that the stb will be much more expensive.You share the same sentiment so you would have to show me a real cost difference that will points to a much higher cost.
Smartcards are so yesterday and costly,i'm talking cardless conditional access here. Nagravision,NDS and even Irdeto have cardless solutions which is low cost.I believe Zuku tv in Kenya also uses the cardless Verimatrix encryption.The sabc channels will still be free,but the platform will be secured.Not only does a secure platform gives you access to better content,small paytv operators could have piggyback on it,making niche content feasible.
Just think,companies like Closetv ,
they applied for a license, could have run a 1 or 2 channel paid offering on top of this for like R15 a month,authorized at a closetv point.Many smaller providers could have provided niche content the same way and you as the customer could've had 3/4/5 subscribed channels you actually want from different providers,but one universal box.