The surge in online video options has been matched by a flood of subscribers out of traditional television services. AT&T acquired DirecTV for US$48.5 billion past year, making it the largest USA pay-TV operator with 25.3 million video subscribers, in an effort to diversify into the media and entertainment business. In the coming weeks, they’ll be joined by Alphabet’s (GOOGL) Google Unplugged and a similar service from Hulu. Unlike its competitors in over-the-top TV, AT&T’s enjoys a national network of mobile customers, at a time when video is dominating mobile usage.
When contacted by Ars, an AT&T spokesperson declined to say how long the $35, 100-channel offer will be available. The list of networks to appear on DirecT Now includes every major content product apart from CBS, Netflix (NFLX) and Amazon (AMZN). The carrier will add more devices Roku streaming players, Roku TV, Amazon Fire tablets, and Smart TVs from leading brands next year. AT&T Mobility customers will not use their allotted data when watching DIRECTV NOW or FreeVIEW in the App. “This is TV your way”, said Stankey. “We want them to have two products….”
Although the price increases are steep, especially from the entry level to the “Just Right” package, they are still far more palatable than cable packages in many markets. Staying true to its word, AT&T has now officially announced that DirecTV Now will go live on November 30. Consumers who want more than the basic packages can sign up for the premium services HBO and Cinemax for $5 a month.
Gotta Have It! ($70/month) – The 120-plus channels include all channels in the Go Big tier plus Univision Deportes.
Hello Sunshine, a channel from Witherspoon and Otter Media, a content company formed in 2014 by AT&T and The Chernin Group, will be available next year on DirecTV Now and DirecTV.
To put this into perspective, Vue costs $30 per month for 45 channels and Sling TV is $20, although this comes with even less networks.
The services are also created to promote the company’s main product. Also, AT&T Originals will provide on the service content from Joe Buck and Dan Patrick. Under the same objective, it has successfully been able to reach deals, including Walt Disney, 21 Century Fox, Time Warner Inc., and various others.
Comcast and Alphabet are holdings in Jim Cramer’s Action Alerts PLUS Charitable Trust Portfolio. It’s not associated with the company’s other DirecTV offerings. And more features will follow over time, he said.
In many ways, DirecTV Now is a new move for AT&T. It’s also offering 3 months of service to folks who buy a LeEco LE S3 or LePro 3 smartphone or a LeEco Super4 X43 Pro TV.
AT&T says it will be able to make the economics work at that price in part by cutting out legacy equipment like satellite dishes. AT&T is offering four separate packages for subscribers to choose from.