Television business is always very complicated and the incumbent always seems to have to upper hand in the market.
Multichoice seem to have signed exclusive content rights with the major content providers, leaving any new entrant without anything of value for their products. This is not unique to Africa or even Kenya, it happens all over. You might have heard that Apple is not able to offer Fox or Universal movies and TV shows on the Apple TV because these companies had already signed exclusive content rights with HBO.
In this business, you need to be patient and also willing to spend a lot of money and no quick returns. And I think Zuku may be heading there, albeit slow, but heading there. The other providers especially DVB ones seem to be briefcase businesses with nothing to offer other than the already free free-to-air channels. You also need to be ready to develop your own content that is relevant. Reel in movie and TV producers and have your own exclusive content. Look at DSTV with Jacob's Cross, Tinsel, Changes, Channel O. These are expensive to produce but they differentiate you from your competitors.
So, don't whine about DSTV, let other entrants compete in quality products. Legislation never works well in these markets.