AT&T has officially announced that their upcoming streaming service, named DirecTV Now would be launched in the market by the end of the year. The company has also made it clear that their latest online streaming service would become the primary video platform of the company by 2020. However, this doesn’t mean that the traditional satellite TV platform of the company would be totally abandoned.
Reports say that AT&T was working for the past one year to launch an internet-based video service that can offer multiple live feeds to their internet users. Apparently, such a service would eliminate a user’s need for any other cable connection or satellite dish. With DirecTV Now set to be launched in a couple of months’ time, AT&T would surely try to attract many cord cutters on a national level.
The Telco giant also revealed their plans of targeting those users in the US, who have never subscribed to any cable or satellite service ever. According to reports, there are around 20 million households in the country, which have no traditional TV connection. If DirecTV Now managed to gain these households, AT&T would become the most dominant player in the phone, internet, and TV industry.
As per the recent statement by AT&T, their streaming service will carry around a hundred channels, including many national and international premium channels. It is expected that DirecTV will also support streaming content to multiple devices, without the need of any subscription lock or satellite connection.
“This is exclusively an over-the-top product,” CEO Randall Stephenson said. “This is no set-top box; this is no truck roll; this is a customer pulling down an app, getting a very robust platform.” He further added that DirecTV Now will aim at the budget-minded consumers initially, allowing AT&T wireless subscribers to stream TV content for free for some time. However, the pricing details of the streaming service are not yet revealed to the public.
AT&T CEO also said that the company’s profit margin would be much “thinner” than what they are used to with DirecTV Now. Nevertheless, he also highlighted that the capital investment on the same would not be too much either.
Experts expect DirecTV Now to be a tough competitor for other TV streaming services like Sling TV and PlayStation Vue, even though AT&T has made a clear statement that they will not offer any skinny bundle with the launch of their streaming platform.